What are Carbon Offsets?

The fire that fuels EcoCREDIT.

Carbon offsets represent carbon that is removed from the atmosphere by sustainable projects worldwide. Sometimes working on sustainability is not feasible at smaller scales. That’s where carbon offsets come in. They provide the capital required to incentivize sustainability projects, allowing businesses to go greener, faster.

Initiatives must meet rigorous international standards put in place by third parties to qualify for carbon offsets. Assuming an initiative meets these standards, they receive carbon offsets for every ton of carbon offset by their activity. They can then turn around and sell these carbon offsets to individuals and businesses that want to offset their carbon emissions.

Let’s use an example.

John raises sustainable cattle and uses silvopastoral grazing. His approach removes 100 tons of carbon from the atmosphere each year when compared to traditional ranching. John receives carbon offsets representing these 100 tons.

Eric goes green where he can but wants to do more. He calculates that he produces roughly 100 tons of carbon each year. He wants to emit zero carbon but needs to drive to work and have his morning coffee. John agrees to sell Eric his 100 carbon offsets. This offers John a profitable incentive for his sustainable practices while allowing Eric the opportunity to finance activity that completely offsets his carbon footprint.

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