Is offsetting enough for businesses looking to go green?

Writer: Elizabeth Long

Carbon offsetting seems to be the latest thing we’re seeing companies commit to in order to up their green credentials. With awareness around the climate crisis on the rise, many consumers are now looking towards the companies they buy from and work for to lead the change. As a result, businesses are having to examine their carbon footprint policies, both to keep in line with government guidance and to keep attracting customers and new team members.

But what exactly is carbon offsetting? And is it enough? We take a look.

What is offsetting?

Carbon offsetting refers to the process of paying to remove some carbon dioxide (CO2) from the atmosphere, to balance out the emissions that your business produces. You might not immediately realise how much you are generating, but even digital businesses have a carbon footprint. For example, research shows that even one email produces around 4 grams of CO2, and this goes up to 50g if you add a large attachment.

There are usually two options for carbon offsetting – planting trees or some other natural product, and paying for credits that go towards sustainable energy projects, like clean energy stoves in developing countries.

What are the problems with offsetting?

The argument against offsetting is that it can allow companies to get lazy when it comes to actually reducing the emissions they can control. Offsetting was only ever intended to be an additional solution for managing necessary emissions, but many companies now use their wealth to buy carbon offset credits rather than doing the work to examine their processes and cut emissions in-house first.

It can also take a long time for carbon offsetting to make a difference. For example, an airline company might offer to plant trees for every booking, but those emissions go straight into the air, and the trees take 20 years to grow and mature enough to capture the carbon. In the meantime, temperatures continue to rise and trees around the world are dying, releasing the carbon they stored in their trunks.

What should companies be doing to go green?

The real work comes from companies taking a deep look at their process and products and making the whole model more sustainable. This guide to reducing carbon emissions for businesses suggests categorising emissions into direct, energy indirect and other indirect emissions in order to get a better understanding of what’s being produced. Companies can then start collecting data and use a calculator to get an overall picture.

This can be a big process, so there are sustainability consultants who can help with this – it might be a financial commitment, but it’s the right thing to do, for the future of the business and for the planet.

Carbon offsetting is a useful tactic for companies that have gone through this process and made all the cuts that they can. Trees might take a while to grow, but they do support wildlife in the meantime, and protect land that could otherwise be built on. Supporting clean energy projects can also help people move towards a sustainable future.

To sum up

Carbon offsetting certainly has its benefits, but it isn’t a fix-all solution. Companies should take a proactive approach to reducing carbon emissions, and then use offsetting to help balance the remaining balance.