Carbon Offsets 101: Your Questions Answered

1. What are carbon offsets?

A carbon offset (also referred to as a Verified Emissions Reduction—VER) is the reduction of a specific amount of greenhouse gas (GHG) emissions resulting from carbon mitigation projects.  An offset ensures that one metric ton of carbon dioxide (CO2), or its equivalent in other greenhouse gases, such as methane, is removed from the atmosphere or prevented from entering it.

2. What project types generate offsets?

Project type refers to the technology used in offsetting carbon emissions. Project types can include land-use (e.g. forestry), methane capture and destruction, energy efficiency, and fuel switching.  For example, carbon offsets used to reduce business travel emissions may be purchased from a dairy farm that is capturing methane, or from a forestry project sequestering carbon in trees.

3. Who buys offsets?

As it is nearly impossible to eliminate all emissions through reduction efforts and efficiencies alone, the world’s leading organizations utilize offsets to affordably and credibly reduce their carbon footprint. When organizations purchase offsets in a 1:1 ratio to counterbalance their emissions, carbon neutrality may be achieved.

4. How can Schneider Electric connect you to offsets?

Schneider Electric advises companies on how to set a carbon offset procurement strategy within the context of their overall energy and sustainability programs. After an intentional strategy is developed, we assess the procurement and retirement opportunities by engaging leading project developers around the world. Representing the interest of our clients to navigate the risks and opportunities associated with a carbon offset strategy, procurement, retirement and communications program is our top priority. All projects that are considered are registered with leading assurance agencies such as Climate Action Reserve, Verified Carbon Standard, WWF’s Gold Standard, the American Carbon Registry and others.

Ready to learn more? Contact us today.

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