Edinburgh firm Central Taxis says it is on its way to becoming the first black cab company in Scotland to go "carbon neutral" for all booked journeys.
At the launch of its new "green" cab, the company said it plans to cut CO2 emissions on all booked journeys to net zero without passing on any of the related costs to customers.
CarbonNeutral Company, a firm that provides solutions for reducing carbon footprint, is partneringCentral Taxis for the initiative.
A carbon offset scheme in China, the Tieling Coal Mine Capture Project, will help the taxi firm bring down its net emissions.
Operating in six coal mines across China's north-eastern province of Liaoning, the project prevents coalmine methane (CMM) from escaping into the atmosphere, capturing it instead for use as fuel in home and industries.
Scotland's Justice Secretary Kenny MacAskill helped launch the company's new "green" taxi at Festival Square in Edinburgh.
Central Taxis chairman Bill Purnell said: "By investing in becoming carbon neutral, Central Taxis is leading the way in taking responsibility for the unavoidable emissions associated with car travel, and helping to cut Scotland's carbon footprint."
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