The terms “carbon offset” and “carbon offset credit” are interchangeable though they can have slightly different meanings. In its broadest sense, a carbon offset is a reduction in greenhouse gas emissions or an increase in carbon storage used to make up for emissions that occur elsewhere.
Furthermore, a carbon offset credit is a tradeable asset verified by authorities or independent certification bodies to represent a reduction in one metric ton of CO2 emissions or an equivalent volume of other GHGs. The buyer of an offset credit can “retire” it to apply the underlying reduction to their own GHG reduction objectives.
Let’s now know how to use the carbon offset app for calculations.
Your Carbon Offset Calculation
Are you aware of your company’s carbon footprints?
You must first try carbon footprint tracking before considering emission reduction, carbon neutrality, or purchasing carbon offsets.
Understanding your impact is the first step in developing a successful sustainability strategy, but certain effects are simpler to quantify than others. So, how do you figure out your company’s carbon emissions?
The Sources Of Commercial Carbon Emissions
Depending on factors like the business sector(s) you operate in, the location of your facilities, and the lifespan of your goods and services, the sources of business carbon emissions can vary greatly. However, all carbon emissions are categorized as Scope 1, 2, or 3 regardless of the type of business.
Scope 1 – emissions are those produced directly by sources under your ownership or control. Included in this are emissions from company vehicles, fuel combustion on-site, and emissions from manufacturing and processes.
Scope 2 – emissions are unintentional emissions produced as a result of the production of energy that your company purchases and consumes, such as electricity, heat, or steam.
Scope 3 – come from sources that are not under your direct control. This includes the use and end-of-life care of the products you sell. Moreover, employee commutes, waste disposal, goods purchased, and end-of-life care of the products you use also involves.
Your carbon footprint is calculated by expressing all of your greenhouse gas (GHG) emissions as a carbon dioxide equivalent (CO2e).
It should include emissions of sulphur hexafluoride, hydrofluorocarbons, methane, nitrous oxide, perfluorocarbons, and hydrofluorocarbons (HFCs) (SF6).
If you’re worried that this list will be too difficult, don’t be; online carbon offset apps or calculator tools can help take the effort out of calculating your carbon footprint. Here are some benefits that will help you believe why it is important and how beneficial it is for your company if your carbon footprint is tracked constantly.
Six Benefits To Calculating Carbon Emissions
- Reduction of Operating Costs
A business value chain’s carbon emissions can be measured to identify wasteful expenditures on service components and procedures. A company’s bills can be reduced by switching to alternative energy sources, streamlining product distribution capacity, and tracking.
- Boost Brand Reputation
Customers choose brands based on how well they uphold their social and environmental responsibilities. Even higher prices will be accepted by them.
More than 88 percent of consumers, according to Carbon Credit Capital, choose to purchase eco-friendly, carbon-neutral products over alternatives. Products and services that are carbon neutral can also satisfy customer needs in other ways, such as price, recycling and paperless options, and energy-saving options.
- Strengthen Employee and Shareholder Commitment
People respect businesses that uphold principles aimed at improving life. Naturally, these actions have an impact on how employees and shareholders view the world.
- Protecting the Natural World
This is a chance to actively contribute to the long-term preservation and protection of the environment, enhancing the quality of life for all living things, including humans.
Examining the company’s carbon footprint could help to expand the market. Boost sales acquisition and retention, and cut wasteful costs can be developed.