Much Ado About Carbon Offsets

by Brett Borders

Maybe you’ve bought a carton of soy milk with a picture of a wind turbine on it. Or you get internet service from a company claims to be carbon neutral. It is marketing designed to bring up warm fuzzy feeling, unless you take a more skeptical view of carbon offsets.

wind1.jpg

Last week I went to a local environmental group discussion that was sponsored by Renewable Choice, a local carbon offset company. As we sat at a Nepali restaurant drinking beer and munching on *papadums*, two company representatives passed out pro-offset literature and moderated a lively discussion.

Most of the audience members who spoke up challenged the two company reps, grilling them questions that were difficult for them to answer. There was a pretense of politeness, but a palatable undercurrent of skeptical antagonism.

I’ll spare you the coverage of the pretense and principles. Here’s what I was able to “read between the lines” from conversation:

* **[Carbon offsets](http://http://www.businessweek.com/magazine/content/07_13/b4027057.htm/ “another inconvenient truth”) are intangible, even symbolic.** When traced back to the source, the offset credits usually encourage climate protection that would have happened regardless of buying or selling of paper certificates.

* **Carbon offsets are a “middle-man” business model, kind of like the charity telemarketing or multi-level marketing (MLM).** An undisclosed cut of the profits goes to support the offset purveyors, and *some* of it is (hopefully) passed on to renewable energy infrastructure.

* **High-carbon corporations like Pepsi and Whole Foods are some of the biggest buyers and fans of carbon offsets.** Rather than take steps to actually reduce their carbon emissions and environmental impact (i.e., by recycling or driving electric cars), they carry on with business as usual and leverage the credits for advertising and PR to “green up” their image.

* **Carbon offsets are sold to individuals and corporations at different rates, with no outside regulation.** Some people question the integrity of the accounting.

* **While most carbon offsets may not do much to reduce carbon or help the environment, they may be an easy first step that gets people thinking about carbon emissions and environmental issues.** Some awareness is better than none. It’s a start.

* **Some dubious companies have sold carbon offsets and gotten called out, blurring the line between green marketing and greenwashing.** The stigma of this could harm more legitimate non-profit environmental action groups and causes.

After an hour of discussion with the environmentalists and carbon offset sellers, I felt like there was an inconvenient truth about carbon offsets. I’m not saying that **all** offsets are inherently questionable, but it feels to me like a symbolic/economic thing doesn’t really get to the root of the problem or leave the Earth any greener and pristiner than before.

I’m on the lookout for energy conservation technologies and products that make a significant, direct difference. And I don’t want to get distracted.

  • Engaging job =) will definitely visit again
  • Malinda Parrish
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  • James Cameron

    Its called additionality. For a project to generate carbon offsets it has to be additional. If not, then you aren't offsetting anything. Also, RECs are not offsets! Sorry Renewable Choice, you are selling RECs that are from business as usual projects. Would have happened anyway. 1 REC equals 1 MWh of renewable electricity. 1 carbon offset equals 1 metric tonne of carbon. Unfortunately 1 MWh does not offset 1 metric tonne of carbon. These offset companies know this, but it is easier to sell RECs and the margins are bigger. The American public wont pay the prices that come with robust, additional offsets. Offsets work when they are offsets.

  • I'd really like to know concrete details about this. On Appropedia (the sustainability wiki, which I work on a lot) I've wanted to start a (wiki) page on carbon offset, because of exactly this concern - so people could know whether they're paying for effective offset, and what the alternatives are.


    If you have info, please add it to Carbon offset - many thanks.

  • Chris

    Man, die and planet saved. Everything else is pure bullshit.


    Green this and Green that. Who are you fooling?

  • Carolyn,


    I think a lot of progress is being made in the renewable energy industry... serious quantum leaps are being made with biofuels, solar, electric batteries, etc. And blogs and social media are spreading the word.




    Matt,


    Glad to hear there is a move towards some kind of standards. I never said offsetting was "bad" (well, okay... maybe I insinuated it) but after studying more about the industry I don't get the warm fuzzy feeling from that picture of a wind turbine of my carton of soy milk any more... I wonder what it's all about.. and it does appear that making money out of thin air and appeasing corporate guilt are an inseparable part of the current offset industry...




    Curtis,


    I'm all for organics and don't find the industry to be nearly as questionable as offsets (again...not "bad".. but questionable as in... there are a few questions that need to be asked).


    While some consumers may not appreciate the subtle difference of organic produce, I think it's more about the process than the end product. Organics don't use gallons of pesticides and chemical fertilizers that go into the earth and water supply. That's a mostly undisputed fact, and I can feel good about supporting that.


  • Curtis

    Carbon offsets, along with the golden word "Organic" are, in my opinion, more geared towards "producing a warm fuzzy feeling in the consumer" thereby prompting the consumer to "feel good" about spending whatever price is necessary to "help save the world" more than the real, tangible effects...

  • Don't throw the baby out with the bath water. Yes, there are some companies that have less then questionable offset projects. Yes, planting a tree is not the best offset project either. Carbon offsetting itself is not bad. You must first reduce, then reduce again, after that you offset the carbon you create. Outside regulation is going to happen to the offset market, there are several bills working their way through congress addressing this issue.
    One of the major tenets of carbon offsetting is that the offset would not have been created without the money. There does need to be some regulation for projects that would happen regardless of the money you give.

  • Carolyn

    I enjoyed reading this article. I learned a lot from it. It's hard not to get cynical about this stuff when so many people are clearly working an angle. I hope you find lots of instances of progress too. It needs to happen and I need to hear about it.

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