The Concept, Types, and Legal Nature of Greenhouse Gas Emission Reduction Units (in Russian)

Among today’s mechanisms for decarbonising the economy, greenhouse gas emission reduction units have been developing particularly rapidly. The emerging infrastructure of national carbon markets requires clear rules governing the issuance of carbon assets, understood by all participants, so that such assets can subsequently be traded and used.

This study clarifies the relevant terminology and maps the relationship between different types of carbon assets used in carbon markets, including in Russia, such as carbon units, carbon credits, carbon offsets, and emissions allowances.

Drawing on a comparative analysis of current practices in the European Union, the United States, China, Germany, the United Kingdom, and other jurisdictions with developed markets, the study examines approaches to the legal nature of carbon assets (public-law vs. private-law), the mechanisms of their issuance and registry systems and assesses the implications of applying general civil and tax law rules to carbon assets, as well as the potential for the limited application of securities regulation.

These findings help identify key barriers to integrating Russian carbon assets into global markets and may serve as a scholarly basis for subsequent rulemaking, aligned with international standards and aimed at minimising the risks of legal inconsistency across carbon-unit regimes.