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Carbon rationing, as a means of reducing CO2 emissions to contain climate change, could take any of several forms.[1] One of them, personal carbon trading, is the generic term for a number of proposed emissions trading schemes under which emissions credits would be allocated to adult individuals on a (broadly) equal per capita basis, within national carbon budgets.[2] Individuals then surrender these credits when buying fuel or electricity. Individuals wanting or needing to emit at a level above that permitted by their initial allocation would be able to purchase additional credits in the personal carbon market from those using less, creating a profit for those individuals who emit at a level below that permitted by their initial allocation.[3]
Some forms of personal carbon trading (carbon rationing) could be an effective component of climate change mitigation, with the economic recovery of COVID-19 and new technical capacity having opened a favorable window of opportunity for initial test runs of such in appropriate regions, while many questions remain largely unaddressed.[4][5][6] However, carbon rationing could have a larger effect on poorer households as "people in the low-income groups may have an above-average energy use, because they live in inefficient homes".[7
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