Emission Allowance
/ɪˈmɪʃən əˈlaʊəns/
Definitions
- (n.) A tradable permit allocated to entities, authorizing the emission of a specified quantity of pollutants under environmental regulation schemes.
The factory purchased additional emission allowances to comply with air quality standards.
Forms
- emission allowance
- emission allowances
Related terms
See also
Commentary
Emission allowances function as legal instruments in cap-and-trade systems to limit pollution, and their precise allocation and transfer can be critical in environmental compliance strategies.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.