Joint implementation provides U.S. companies an opportunity to contribute to an officially sanctioned effort to reduce greenhouse-gas¹ emissions, the anthropogenic cause of global warming. Joint implementation typically takes place in developing countries, with the financial and technical assistance of sponsors in the developed world. They are part of a sophisticated initiative, the potential social benefits of which include not only mitigating climate change, but also preserving biodiversity in threatened locales in the developing world and making a significant contribution to poorer nations' sustainable development.

The most recent international climate-change agreement² alludes to the possibility of the emergence of a trading regime for greenhouse-gas emissions, similar to the domestic acid-rain program. If such a regime does emerge, domestic investors can expect accrual of prospective pollution allowances generated by joint-implementation projects to provide them some return on their overseas investments. Other financial incentives for participating in joint implementation include advantageous entry into developing-world markets (in particular, the emerging global energy market); relatively inexpensive research and development for innovative energy and land use processes; and direct short-term returns through biodiversity prospecting, timber sales, and energy revenues.