Publication Name

KICK THE HABIT

THE CYCLE – OFFSET

170

Carbon offset standards

There have been many problems with the carbon offset market, and in par-

ticular with the voluntary market, in the past.

One problem is that the offset industry lacking transparency. Some excel-

lent offset projects do address climate change, help wildlife and ecosystems

and produce social benefits, but others have little or nothing to show for

all their claims. Beyond that, the price of an offset for a specified amount

of carbon can vary wildly between different companies. The offset industry

offers a variety of calculations and prices for what sometimes appears to be

the same activity.

Where carbon registries are missing, double counting can arise when sever-

al people try to take the credit for the GHG emissions reduced by one proj-

ect. This can occur unintentionally through bad management of a project

with a bad audit trail, or deliberately when somebody tries selling a credit

more than once – a fraudulent act.

Projects sometimes simply fail, in both the compliance market as well as in

the voluntary market. In one famous case 40 per cent of the trees in an off-

set plantation died because not enough water was made available to support

the project. The same sort of thing can happen when a project causes unin-

tended damage. For example, if a forestry scheme uses a significant amount

of a local water supply, this can damage local agriculture and people’s ability

to grow crops outside the project.

Another trap to beware of is that your project should not be to the detriment

of the people “profiting from it”. One example reported involved a project

which was accused of working only because people were obliged to use low

technology to avoid emitting CO

– hand-powered pumps relying for energy

on human muscles, which critics said perpetuated underdevelopment. The

project’s supporters, though, said the people using the pumps had deliber-

ately chosen them.

When looking at the wide range of projects, providers and locations of off-

setting projects, you would probably appreciate some guidance in this off-

set-jungle. In particular with voluntary offsets, where there is no unified