Consider this your smartest lead of the day: A straightforward way to learn what makes a good carbon credit. Sure, they’re an intricate solution to a very complex problem. But we’ve boiled it all down to a few easy takeaways from our free white paper about finding great carbon credits—enjoy!
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Carbon Credit CliffsNotes
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Not All Credits Are Equal
There’s a plethora of internationally recognized standards. The most common ones are:
- Gold Standard
- Verified Carbon Standard
- United Nations’ Clean Development Mechanism
- Climate Action Reserve
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The Most Common Carbon Offset Buyers
- Airlines
- Automotive manufacturers
- Financial institutions
- Large tech companies
- Energy companies
- Manufacturing companies
- Other large global brands and businesses
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Pitfalls
- Lack of transparency: Large multinational companies (e.g., airlines and automotive) often do not make public the procedures and internal checks used for the projects they select.
- No long-term integrity: All too often we see great projects that immediately fall apart when they stop receiving funding and grants.
- Questionable calculations: When offsets are sold to other companies to neutralize their emissions, one must be sure that the tonne of carbon reduced actually happened and was correctly calculated.
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Win-Win
A great example of this is clean cookstove projects that have proven to yield significantly high monetary and social benefits while also reducing greenhouse gas emissons.
Value of Social Benefits of Carbon Credits
An Imperial College University study shows that for every tonne of CO2 emissions removed from the atmosphere through a carbon offset program, a further value of $664 is delivered in economic, social, and environmental benefits for local communities around the world.
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