Climate-aware corporations are striving to reduce their greenhouse gases (GHG) emissions with a view to achieve net-zero GHG emissions in the future. It is globally recognized that achieving ambitious greenhouse gas emission reductions is a vital but challenging road ahead to reach climate related goals.
Airlines are committed to meet the GHG emission reduction targets following compliance requirements under the CORSIA.
Governments may use Article 6 mechanisms to raise their climate change mitigation ambition in setting and meeting their NDC targets.
In this context, the Intergovernmental Panel on Climate Change (IPCC) noted that GHG offsetting through carbon credits can have an important role to play in enhancing climate ambitions. Hence, reducing a company’s carbon footprint may be achieved by:
- Reduction and/or removal of direct and indirect GHG emissions due to organizational activities.
- Offsetting unavoidable GHG emissions that are difficult or impossible to reduce or remove.
Reducing greenhouse gas emissions is the first choice, but some hard-to-abate emissions may remain regardless of efforts, so offsetting can help address them. Entities planning to offset their hard-to-abate greenhouse gas emissions can do so with carbon credits generated by projects that have objectively demonstrated a need for carbon finance (i.e., additionality) and have contributed to sustainable development in line with the United Nations Sustainable Development Goals (UN SDGs).
The Global Carbon Council (GCC) issues high-integrity carbon credits resulting from projects that in addition to reducing greenhouse gas emissions contribute to sustainable development. Our credit labelling system distinguishes projects based on their contribution to achieving the UN SDGs.
