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South African government considers carbon offset scheme

The South African National Treasury has published proposals for a carbon offset scheme. The scheme aims to increase investments in projects that will reduce greenhouse gas (GHG) emissions. It will also enable business to reduce their liability to carbon tax (which is due to be introduced in 2016).

Carbon offsets are a form of trade. Buying an offset helps to fund projects that reduce GHG emissions.

The government hopes that the scheme will drive investment in GHG mitigation projects that reduce emissions at a lower cost than the carbon tax; and fund projects that will generate considerable sustainable development benefits in South Africa…

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