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ICROA is working with leading academic institutions to understand the drivers of the voluntary market, and to research and demonstrate the additional non-carbon benefits of voluntary offsetting and insetting. 

Drivers and Benefits of Offsetting 

In 2016, some 43.5 million carbon credits were removed from the marketplace, demonstrating a healthy appetite for offsetting within the business community. However, there is a disconnect between where science says we need to be and how far the Paris Agreement will take us, and the voluntary carbon market is crucial in bridging the gap on the global goal of a 2°C limit.

This report considers the current demand for carbon offsetting, what drives organisations to use it as one of its solutions to climate change, and what the benefits are. Its findings were taken from responses to a survey conducted among respondents across a wide range of sectors, including private, public and non-profit / NGOs.                                                                   

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Voluntary offset projects' co-benefits

Offsetting is impactful above and beyond emissions reduction. ICROA has commissioned several studies to help understand the full value delivered by carbon offset projects.

Our 2014 report showed that every one tonne of CO2 offset, delivers an average of $664 worth of socio-economic and environmental co-benefits. We expanded this research in 2016 by commissioning a study to apply the Benefit Transfer method to three case studies. This highlighted further how investment into carbon offset projects generate benefits to local communities in addition to mitigating climate change. 



The term Insetting has appeared with growing frequency over recent years to describe a management strategy whereby companies in the private sector invest within their own supply chain to reduce emissions.

Through a comprehensive market consultation with more than 50 organisations and individuals that have expertise of Insetting, this research set out to define the term, and recommend best practice for its implementation as a management strategy within the private sector.  


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