Basic Element sells emission reduction units to US fund

En+ Group, a part of Russian billionaire Oleg Deripaska’s holding Basic Element, has concluded an agreement to sell 1 million emission reduction units (ERUs) to U.S. investment fund Natsource, En+ Group said Friday.

One ERU is equal to 1 tonne of carbon dioxide.

En+ Group is selling the ERUs from United Company RUSAL’s Bratsk Aluminum Smelter, whose emissions were reduced thanks to the launch of a new production system, the company said.

Basic Element controls UC RUSAL.

Natsource represents major industrial and energy companies in the E.U. and Japan.

The deal was concluded under the Kyoto protocol, which Russia ratified in 2004. In accordance with the Kyoto protocol, countries that produce greenhouse gas emissions below the levels stipulated in the protocol, including Russia, may sell their surplus quotas to countries that produce emissions over the levels set in the protocol.