Carbon offsets are generated as the result of a greenhouse gas emission reduction project delivering measurable reductions in emissions through a variety of technologies, including renewable energy, waste gas to energy and forestry. The projects create emission reductions by displacing more fossil fuel intensive activities or by reducing the direct release of GHG into the atmosphere.

, significant capital investment, and/or behavioral change, all of which take time e.g. a company may want to upgrade all of its buildings to become more energy efficient, but it may not have the capital to do so all at once. Offsetting, on the other hand, provides the short-term environmental benefits some companies seek, and is an excellent way of balancing the carbon footprint that you currently cannot reduce by internal abatement measures alone. 

Factors which lead many companies to offset include:

• Commitment to employees, stakeholders and customers to reduce emissions or become carbon neutral
• Preparing for impending emissions regulation
• As part of a new carbon neutral product offering
• As part of a CSR policy focusing on environmental impact improvement
• Need to promote brand recognition/differentiation
• Position your company as a climate leader

EcoSecurities has one of the largest and most geographically and technologically diverse carbon offset portfolios in the world, and over ten years experience developing carbon offsets. With its unrivalled global network of emission reduction projects, EcoSecurities is able to supply high quality offsets to fit any buyer’s needs, taking consideration credit types, geographies, risk appetite, volumes, terms, and technologies. 

 

 

Standards are important because they provide assurance for buyers of emission reductions. In order to ensure that buyers are purchasing a real emission reduction, offsets must be calculated according to a standard. Because buyers generally pay more for offsets verified to stricter standards, each GHG emissions reduction project has the incentive to strive towards meeting the highest quality standards. Different standards can be applied to different projects and EcoSecurities seeks to verify each project to the strictest standard available to that project type and sector.

There are several standards currently being used throughout the world and each sets out different rules governing the project types that are acceptable and way emission reductions are measured. 

Kyoto Protocol Flexible mechanisms (CDM & JI)
Under the Kyoto Protocol there are two programs by which emissions reductions can be certified – the Clean Development Mechanism (CDM) and Joint Implementation. These programs provide for certification of project-based emissions reductions, and include rules for baselines, additionality, monitoring, reporting, verification and certification, all outlined on the website. 

CDM Gold Standard
The Gold Standard was created to meet CDM (see Kyoto Protocol above) requirements, but has a strong focus on sustainable development benefits and restriction on technology types (no forestry, large scale hydro or energy from waste projects can be included). It provides a consistent approach to assess the contribution of project towards sustainable development, and is endorsed by a number of NGOs. 

Gold Standard VER
As for CDM Gold Standard, but specifically for the voluntary sector with simplified validation and verification processes. Aimed at small scale and micro scale projects that would not receive funding under regulatory schemes. The Gold Standard VER has a strong focus on sustainable development benefits. 

Voluntary Carbon Standard
The Climate Group, the World Economic Forum and the International Emissions Trading Association are developing this standard for exclusive use on the voluntary market. The standard is based on CDM framework and creates a tradable Voluntary Carbon Unit (VCU). 

VER+
The VER+ standard was developed by TÜV SÜD, a Designated Operational Entity (DOE) for the validation and verification of CDM projects. It was designed for project developers who have projects that cannot be implemented under CDM yet who want to use very similar procedures as the CDM. The VER Plus was launched in mid 2007. 

California Climate Action Registry - CCAR
The California Climate Action Registry is a private non-profit organization originally formed by the State of California. The California Registry serves as a voluntary greenhouse gas (GHG) registry to protect and promote early actions to reduce GHG emissions by organizations. The California Registry provides leadership on climate change by developing and promoting credible, accurate, and consistent GHG reporting standards and tools for organizations to measure, monitor, third-party verify and reduce their GHG emissions consistently across industry sectors and geographical borders.