This book concentrates on transactions involving forward carbon credits, in other words transactions where the parties to a contract agree to buy or sell carbon credits to be generated and delivered in the future. As a result, it does not deal either with transactions involving carbon credits already issued for immediate delivery on the spot market or with derivatives in the form of option contracts or future contracts through the developing exchange markets.

The impact of climate change on the world of today and the future is undeniable. Stipulated emission reduction targets for developed countries are still too modest under the Kyoto Protocol and the US, the world's largest polluter remains outside the agreement. The scientific community warns that a global coordinated response with participation of the major emitters and rapidly growing economies of China and India is the only way forward to avoid the worse predicted effects of global warming. This paper reviews the debates and attempts to trace the path to the future.

In view of the far-reaching consequences of climate change in India, the festival, held by the Centre for Media Studies, has declared the theme for this year's festival as 'Climate Change' and will hold a one-day "International Summit on Climate Change" on 13 September.