Introduction
Emissions Trading (Also known as Carbon Trading or Cap and Trade) is a tool to limit the release of emissions into the atmosphere that are accused of causing climate change. The program provides an economic incentive beyond lower energy costs by allowing companies to sell any unused carbon credits within the system for additional revenue. In theory, this system encourages businesses to reduce their environmental impact by improving the payback period of energy retrofit projects. In addition, the carbon market is a major step to move towards ecological economics and overcome the tragedy of the commons.