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Carbon offsetting is a practice that is aimed at reducing and compensating for carbon emissions produced by a particular activity. For example: ‘Green’ web hostingIt involves investing in organisations and projects that aim to reduce or remove equivalent amounts of carbon emissions. But how does this work, what are the benefits; and what are some things for your business to consider before venturing into carbon offsetting? 

How does Carbon offsetting work?

  1. The first step in Carbon offsetting is to calculate the amount of carbon emissions generated by a specific activity. For a web hosting provider, this may be the emissions generated from electricity that is used by data centers. 
  2. After calculating your carbon footprint, your company can purchase carbon offsets. These offsets represent a reduction in CO2 emissions achieved by various environmental projects. Each offset typically corresponds to one metric ton of CO2 reduced or sequestered. 
  3. Research into projects. There are so many different projects that you can invest in and support. These projects could be centered around forestation, renewable energy, energy efficiency, carbon capture and storage, or methane capture. 
  4. To ensure the credibility and effectiveness of carbon offset projects, they are often certified by third-party organisations. 

Benefits of carbon offsetting

There are clear benefits of reducing the overall concentration of greenhouse gases in the atmosphere however what are the other benefits to the climate that carbon offsetting has?

Promotes sustainable practices: Carbon offsetting programs can help to raise awareness around climate change and the importance of reducing emissions. This not only raises awareness for the public but also promotes businesses being sustainably responsible.

Supporting local communities: many offset projects, especially those in renewable energy, create jobs in local communities, supporting economic development. Many of these projects are also located in developing countries and therefore this brings in investment and development opportunities to some areas which might otherwise lack resources. 

Balancing unavoidable emissions: While reducing emissions at their source is ideal, some emissions are currently avoidable due to technological and practical limitations. Carbon offsetting allows these emissions to be balanced by investing in projects that reduce an equivalent amount of greenhouse gases elsewhere. 

Considerations

While carbon offsetting has several benefits, it also faces criticisms that must be addressed and considered fully. 

Temporary fix: Some consider carbon offsetting a ‘temporary fix’. Many offset projects involve natural processes like planting trees or preserving forests. While these methods do capture carbon, they only store it temporarily. Trees eventually die and decompose, releasing the stored carbon back into the atmosphere. 

Short-term focus: Offsetting can sometimes divert attention from the more critical need to transition to low-carbon technologies and infrastructures. 

Additionality: This means that the carbon reduction or sequestration would not have occurred without the investment from the offset purchase. 

Conclusion

Overall, it is clear that carbon offsetting offers a pragmatic solution to address the challenges of unavoidable emissions in our effort to combat climate change. For businesses, carbon offsetting showcases a commitment to corporate social responsibility and sustainability. For individuals, it offers a way to take personal responsibility for the environment and the impact they are having on the environment. While carbon offsetting isn’t a substitute for direct emissions reduction, it is a crucial tool to transition into a low-carbon economy. There are so many steps you can take to contribute to carbon offsetting. You can read all about ‘Green Hosting’ and businesses’ impact on sustainability here.