Top 5 Ways to Purchase Carbon Credits to Effectively Minimize Your Carbon Footprint
Top 5 Ways To Buy Carbon Credits
People are becoming increasingly aware of the carbon footprint they are leaving and the damage it can cause to the planet. Organizations across the globe are finding innovative ways to cut down on toxic carbon emissions and transacting in carbon credits is an effective way to do so. Carbon credits allow organizations to emit a certain quantity of greenhouse gas in exchange for investing or working on a project that would reduce the greenhouse gases from the environment. There are several ways through which a company or an individual can buy these carbon credits, let's explore how.
1. Carbon Trading Platform
Carbon trading platforms are marketplaces where companies can participate in buying and selling the credits to release a particular amount of carbon dioxide into the atmosphere. These platforms exist at national and international levels. As of today, the price of a carbon credit is $0.24 with a 24-hour trading volume of $0.65. This price depends on factors such as supply, demand, and jurisdiction. Some of the popular carbon trading platforms include Xpansiv CBL, AirCarbon Exchange, and the Shanghai Environment and Energy Exchange.
2. Carbon Offset Provider
Carbon offsetting is a way through which companies can help reduce their carbon footprint by investing in programs aimed at reducing greenhouse gases. For instance, if the company buys carbon offset credits equivalent to the carbon emissions it is releasing, that means the company is trying to remove the same level of carbon from the environment, making it a carbon-neutral organization. Some popular carbon offsetting providers include 3Degrees, Native Energy, Terrapass, and Myclimate.
3. Renewable Energy Certificates
A renewable energy certificate is a proof that the certified entity has produced 1MWh of electricity from renewable sources of energy. Companies and individuals can buy these certificates to fund projects that target energy production from sustainable and clean sources. Renewable sources of energy don’t emit any carbon emissions, making them a promising alternative. Even the electricity these carbon-emitting companies purchase can be bought from these renewable energy-based projects. RECs can be sold to businesses in exchange for profit.
4. Voluntary Carbon Offset Program
There are voluntary carbon offset programs for individuals and companies, where they can contribute to the project which would help in cutting down on carbon emissions. In return for their contribution, they are entitled to carbon credits. These projects are often associated with environmental or social initiatives that aim to reduce the carbon footprint across the world. Cool Effect and My Climate are some of the few organizations that offer these sustainable projects in exchange for carbon credits.
5. Corporate Sustainability Responsibility
Some organizations are being more vigilant toward saving the future by incorporating carbon offset programs as part of their corporate sustainability responsibility. These companies even allow their customers to be part of these programs, thereby increasing the impact of such projects. Moreover, engaging in CSR initiatives includes setting emission reduction targets, investing in renewable energy sources, and adopting circular economy practices. Ethical business practices and transparency in reporting contribute to holistic carbon footprint reduction efforts. Through CSR, businesses not only fulfill environmental obligations but also enhance brand reputation, attract conscientious consumers, and contribute to a more sustainable and resilient future.