The US has unveiled a new carbon offset scheme called Energy Transition Accelerator (ETA) for climate finance.
GS III: Environment and Ecology
Dimensions of the Article:
- Energy Transition Accelerator (ETA)
- Benefits of ETA
Energy Transition Accelerator (ETA)
- ETA is carbon offset plan that will allow companies to fund clean energy projects in developing countries and gain carbon credits that they can then use to meet their own climate goals.
- The plan will be developed by the US along with the Bezos Earth Fund and the Rockefeller Foundation.
- It would receive inputs from public and private
- The concept is to put the carbon market to work, deploy capital otherwise undeployable, and speed up the transition from dirty to clean power.
Benefits of ETA
- It may be good for renewable energy projects for sure and for those coal plants that are very old and unviable and which India wishes to shut down.
- The scheme comes at a time when there is growing mistrust among developing countries about developed nations failing to deliver on climate finance commitments.
-Source: Indian Express