According to a new law on CO2 emissions accepted last month, companies are permitted to emit more CO2 gasses if they invest in forestry.
The annual meeting of the representatives of forestry in Iceland was held on March 24 and 25, where the new law on CO2 emission was discussed. RÚV reports.
Thröstur Eysteinsson, department director of the Iceland Forest Service, said: “This is a prerequisite for some kind of a market for emission allowances and those who own forests can produce these allowances and be paid for it.”
The idea is that companies can invest in forestry if they wish to emit more CO2 gases than permitted. Forests bind CO2 gases in the atmosphere, and thus help prevent pollution.
Eysteinsson told RÚV he believed people involved in forestry could make profits from these new laws in the future considering the price of planting forests compared to the price of CO2 emission quotas.