Carbon credits are part of “cap-and-trade” policies. The cap is the quantity of carbon emissions a business can restrict to produce. The cap typically diminishes with time.
The trade is a business’s capacity to purchase carbon credits, and then sell them to reduce or increase the carbon emissions it emits. Many states in the US are making efforts to enact such policies.
In the US, programs to cut carbon emissions are mostly voluntary and are not available in all states. This can make the process of offsetting carbon footprint confusing. But here are a few options to get started.
How To Offset Carbon Footprint
Method 1: Using ClimateTrade Marketplace
ClimateTrade is one of the leading and world’s first blockchain-enabled climate marketplace. ClimateTrade helps companies in achieving their decarbonization goals by financing certified carbon offsetting and climate-regenerative projects around the world.
ClimateTrade’s vision is to enable climate action through technological innovation. In 2021, ClimateTrade’s blockchain-backed marketplace allowed companies to offset almost 2 million tons of CO2.
Recently ClimateTrade also launched an API and Widget to allow companies to offer carbon-neutral products and services to their customers.
How to find Carbon Offsetting Projects with ClimateTrade Marketplace
- Just Register yourself on the ClimateTrade official Website.
- Choose the projects that best suit the objectives and territories of your company.
- After purchasing they will send you a certificate to follow your investments with total transparency.
Method 2: Manual
1. Research Carbon Mitigation Projects
First you need to get familiar with carbon mitigation projects in the region of your choice. There are many types of projects that generate carbon credits: renewable energy, biogas, forest conservation and more. Get to know these projects and define the best option for your carbon offsetting needs.
2. Understand Standards and Pricing
Once you have found relevant projects, you will need to ensure they are certified by an internationally recognized standard like Gold Standard or Verra. These entities conduct due diligence to verify the impact of each project.
Choosing a certified project is the only way to make sure your offsetting activities are having a real impact. You will also need to understand the factors influencing the price of carbon credits to choose the best option for your needs.
3. Make your first Transaction
Once you have done the research work, you can buy your first carbon offsets, either directly from the project or, more likely, through a broker.
To manage demand from buyers, many projects hire brokers who handle all carbon credit sales for them. Brokers will conduct the transaction for you, but they often charge high and opaque fees for this service.
Above mentioned are the two best possible ways to offset your carbon footprint by buying carbon credits. Let us know your thoughts on this in the comment section.
