What is Carbon Offsetting?
A carbon offset negates or "neutralises" a tonne of CO2 (carbon dioxide equivalent) emitted in one place by avoiding the release of a ton of CO2e elsewhere or absorbing / sequestering a tonne of CO2e that would have otherwise remained in the atmosphere.
Carbon offsets should only be used once an individual or company has minimised their emissions to the greatest extent possible.
Carbon offsets are created through various types of projects, such as renewable energy, energy efficiency, destruction of various industrial gases, and carbon sequestration underground or in soils and forests.
For Example: If a company emits 20,000 tCO2e per year it could negate its emissions by investing in a wind farm or a project distributing energy efficient stoves to poor communities in developing countries that would effectively absorb 20,000 tCO2e per year.
Working with Cleaner Climate the company first embarks on an "Assess and Reduce" phase to measure and lower energy consumption (through efficiency and education initiatives) or use renewable energy and only then purchase carbon credits to offset the emissions that cannot be avoided through other means.
Types of Offsets
There are two choices for companies looking to purchase emissions credits to offset their emissions: the "compliance" market or the voluntary market.
Cleaner Climate's voluntary offset projects are certified under the Voluntary Carbon Standard (VCS) and are procured from pre-CDM projects.
Pre-CDM projects are projects that produce emission reductions while waiting for CDM Executive Board registration.
Once registered by the CDM EB the emission reductions are no longer voluntary emissions (VERs); they become and are reffered to as Certified Emission Reductions or CERs. |