The carbon credit industry is integral to many of the strategies designed to limit the rise in global temperatures. Carbon credits provide a trading mechanism that enables the producers of carbon emissions to pay other organisations to undertake activities to offset the carbon emissions. In theory, this should prevent carbon emissions from warming the climate. In practice, it encourages the continued production of CO2 at a time when every effort should be dedicated to reducing CO2.

However, there is a risk that carbon credits distort markets, slow the adoption of renewable technologies and create a false impression that we are making progress toward a cleaner, greener world.

This episode provides an entertaining examination of an issue that is often poorly understood.