Carbon Credit using Mathematical Modeling: A Primary Stage Analytical Approach

Climate change mitigation has become a global priority, and carbon credits have emerged as an effective market-based mechanism to reduce greenhouse gas emissions. A carbon credit represents the reduction of one metric ton of carbon dioxide equivalent (CO₂e) and can be traded in regulated or voluntary markets. This paper presents a primary-stage mathematical model to analyze carbon credit generation and emission reduction dynamics. Using differential equations, the study models the relationship between emission rates, mitigation efforts, and carbon credit accumulation over time. The proposed framework provides a simplified yet robust foundation for understanding carbon credit mechanisms, particularly in developing economies such as India. The model aims to assist policymakers, researchers, and stakeholders in designing transparent and efficient carbon trading systems.