This paper presents methodologies for using social cost of carbon estimates to address the value of temporarily stored carbon and the implications of that value in the context of biological offsets and
life-cycle analyses of the GHG content of biofuels.

U.S. policymakers have relied on offsets from developing countries as a primary form of cost containment in proposed cap-and-trade legislation. These legislative proposals allow for emitters to use up to 1.5 billion tons CO2e of offsets from developing countries to meet their annual compliance obligations.

When implemented properly, an early action component of a cap-and-trade program can reward early actors while preserving or enhancing the environmental outcomes of the cap-and-trade