Although the International Emissions Trading mechanism of the Kyoto Protocol has yet to be set-up, GSK participates in the Greenhouse Gas Emissions Trading Scheme (ETS) initiated by the UK in 2000. This scheme allows UK companies that exceed their targets for energy reduction to "bank" credits for the reduction in carbon dioxide emissions that result. ETS provides a mechanism for companies to trade banked credits. Credits have a monetary value based on demand and by trading them companies can profit from, or balance the costs of, energy saving programmes.

In 2002, several of GSK's UK Primary Supply Manufacturing and R&D sites reached their targets for carbon dioxide emission and went on to exceed the targets by emitting 40,000 fewer tonnes of carbon dioxide. That 40,000 tonnes of carbon dioxide, which didn't get emitted to the atmosphere, are equivalent to what would be emitted when producing energy to run 6,800 average homes in the UK for a year. When verified by external auditors these tonnes were converted to credits and banked for GSK.

ETS requires that participants have a consistent, programmatic approach to energy conservation which demonstrates that they are doing more than targeting the quick wins. GSK has been able to participate in carbon trading because our Global EHS Standards, particularly on energy conservation, meet or exceed these requirements.

GSK's participation in the ETS scheme makes sustainable energy sources more economically viable and encourages investigation of opportunities for future global sustainable energy projects.