Clean Development Mechanism can best be described as a series of guiding economic constructs formulated towards structured economic activity for the prime purpose of driving-down carbon emissions in order to achieve an eco-friendly environment conducive to sustainable development on a global scale. CDM facilitates the transfer of skills from Annex 1 countries to developing countries under strict economic, accounting and pro-active management principles. The short-term goal of CDM is to drive down global, toxic, carbon-emissions to such an extent, that local ecological systems have an enhanced capacity for natural and cyclical renewal. The Clean Development Mechanism is therefore an economic tool designed to promote social welfare on a global scale by transferring technology in a manner that promotes sustainable development and ecological renewal.