Carbon markets part 1 — How to assess carbon offsets
- Oliver Wise
In the first section of 9fin‘ s two-part educational series on carbon offsets, we examine the credibility of carbon offsets traded on voluntary markets and provide insights into how to identify best practices for LevFin issuers
Carbon offsets: A brief overview
Companies are under increased pressure to achieve emissions targets, but in some sectors decarbonisation is not yet possible at the scale required. Carbon offsets can help companies to compensate for any unavoidable emissions by financing a reduction in emissions elsewhere (more on emissions targets in 9fin’s Educational).
Carbon offsets are priced per tonne of carbon dioxide reduced or removed from the atmosphere and are traded on voluntary or mandatory markets.