What financial structure allows companies to subsidize clean cookstove costs via environmental benefits?
Integration with the carbon market via monetization of carbon credits
A crucial, modern layer of invention in the clean cookstove movement involves financial structuring rather than just physical design. Companies have successfully integrated stove deployment with the carbon market. This process monetizes the environmental improvement achieved when a household replaces highly polluting, inefficient fires with a verified clean cookstove. By rigorously quantifying the reduction in carbon emissions and other pollutants, verified carbon credits can be generated and sold on these markets. The revenue derived from selling these credits then serves to subsidize, or entirely cover, the purchase price of the appliance for the low-income consumer, effectively bridging the gap between high environmental benefit and low consumer cost.

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