When an entity's net emissions are greater than the permits they hold,at the end of the year they may:

Question

Quizplus · Accepted Answer

If an entity's net emissions are greater than the permits they hold, they have three options: 
A) purchase approved carbon offsets, which are investments in projects that reduce greenhouse gas emissions.
B) purchase unused emission permits from other entities, which allows them to increase their own emissions up to the amount on the purchased permits.
C) have to pay an emissions fee to the government for the excess emissions. 
Therefore, the best choice is D, which includes all three options.

When an Entity's Net Emissions Are Greater Than the Permits