- The International Chamber of Commerce (ICC) has decided to use the AirCarbon exchange to foster a carbon credit-trading network for air travel.
- Headquartered in Singapore, AirCarbon is a commodities exchange that designs and distributes and trades carbon credits using the blockchain technology of Ethereum.
- The ICC intends to use its massive global presence spanning across 100 countries to encourage commercial airlines to adapt and make use of the AirCarbon platform.
The International Chamber of Commerce (ICC) has decided to use the AirCarbon exchange to foster a carbon credit-trading network for air travel.
The International Chamber of Commerce (ICC) is one of the most important and most representative business organizations in the world, and they have over 45 million members globally whose area of interest varies across diverse fields.
The ICC stance on a specific business issue is crafted by almost 3000 experts collectively selected from their pool of member companies who use their knowledge and prior experience in the industry to assist them with the same.
Headquartered in Singapore, AirCarbon is a commodities exchange which distributes and trades carbon credits using the blockchain technology of Ethereum.
It has speculated that Bitcoin mining negatively affects the environment. However, research has shown that these are merely blanket hypotheses and that the original amount of carbon emissions is only one-third of the contemplated amount.
It said that airlines are solely responsible for 2.5% of the global carbon emissions and that the AirCarbon technology explicitly aims at reducing and monitoring the same how the system functions are that they place a financial cost on emissions. Therefore that incentivizes people to decrease their carbon emissions to avoid having to pay extra.
However, it is difficult to garner participants who would be willing to participate in this initiative to combat the rising percentage of carbon emissions. Therefore, the International Chamber of Commerce makes it easier to gather participants.
The ICC intends to use its massive global presence spanning across 100 countries to encourage commercial airlines to adapt and make use of the AirCarbon platform, which they are doing with the assistance of Perlin, which is an enterprise blockchain company based out of Singapore.
The timing of the announcement is carefully thought out since the United Nations Conference on Climate Change is also being held in Madrid later this month.
It is evident from various political agendas that most governments across the world have intended to establish a proper, institutionally backed framework to combat climate change by reducing carbon emissions. The AirCarbon platform will allow companies to work in consonance with such a structure.
The International Civil Aviation Organization put forth environmental standards for the aviation industry called the Carbon Offsetting and Reduction Scheme for International Aviation, or CORSIA. Nearly 200 countries ratified this in 2016, and some of them intend to implement it within the next two years.
As AirCarbon’s COO William Pazos says, their collaboration with ICC is a tool to make combating carbon emissions and, therefore, climate change more accessible to the aviation industry and to incentivize such corporations into doing it.