What is clean development mechanism in SAP EHS-CI - SAP Carbon Impact?

SAP Term: clean development mechanism

• Component: EHS-CI

• Component Name: SAP Carbon Impact

• Description: A mechanism established by Article 12 of the Kyoto Protocol for project-based emission reduction activities in developing countries. The CDM is designed to meet two main objectives: to address the sustainability needs of the host country, and to increase the opportunities available to Annex 1 Parties to meet their GHG reduction commitments. The CDM allows for the creation, acquisition and transfer of Certified Emission Reductions CERs from climate change mitigation projects undertaken in non-Annex 1 countries.

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• Key Concepts: 
  The Clean Development Mechanism (CDM) is a mechanism established under the Kyoto Protocol to help industrialized countries meet their emission reduction targets by investing in emission-reduction projects in developing countries. The CDM allows industrialized countries to invest in emission-reduction projects in developing countries and receive certified emission reduction (CER) credits for each tonne of CO2 equivalent reduced. These CERs can then be used to meet their emission reduction targets.
  
  How to use it: 
  The Clean Development Mechanism (CDM) is used by industrialized countries to invest in emission-reduction projects in developing countries and receive certified emission reduction (CER) credits for each tonne of CO2 equivalent reduced. The CERs can then be used to meet their emission reduction targets. The EHS-CI SAP Carbon Impact component allows companies to track and manage their carbon emissions and investments in CDM projects. It provides a comprehensive view of the company’s carbon footprint, including emissions from energy use, transportation, waste, and other sources.
  
  Tips & Tricks: 
  When using the EHS-CI SAP Carbon Impact component, it is important to ensure that all data is accurate and up-to-date. This will ensure that the company’s carbon footprint is accurately tracked and managed. Additionally, it is important to ensure that all investments in CDM projects are properly documented and tracked.
  
  Related Information: 
  The Clean Development Mechanism (CDM) is part of the Kyoto Protocol, an international agreement designed to reduce greenhouse gas emissions. The EHS-CI SAP Carbon Impact component is a tool that helps companies track and manage their carbon emissions and investments in CDM projects. Additionally, the World Bank’s Carbon Finance Unit provides information on CDM projects and CERs.