- Submitted by: Chile
- Topic: Green economy in the context of sustainable development and poverty eradication
- Location: Santiago
- Date of completion:
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- This voluntary initiative came from Green economy policies, practices and initiatives
Santiago Climate Exchange
Description/achievement of initiativeSCX, Santiago Climate Exchange, is the first private initiative of its kind in the Southern Hemisphere, and the first to adopt the strictest criteria and methodologies for tracking the reduction of greenhouse gas emissions (GHG), worldwide. The overall objective is the creation and development of a large greenhouse gas emissions reduction industry in Chile.
Through a clear methodology, the SCX will provide access to any individual interested in carrying out CO2 emission reduction projects, to issue carbon credits and simultaneously will allow companies to reduce their emissions through a cap and trade market. The creation of the SCX clearly delivers relevant information such as supply and demand, and the transaction price of CO2 equivalent (CO2-e) reduction tonnage, while providing traceability in the transacted reduction certificates. The SCX is a non-mutual exchange, that is, brokers that operate and transact on it are not required to be registered shareholders. Transactions are allowed for a wide group of participants, from large corporations to individuals. In the long term, instruments such as derivatives are expected to be available, just as in developed markets.