There is no replacing the urgent need for emissions reductions along a trajectory aligned with limiting global warming to 1.5°C as advised by science. Any credible corporate climate strategy must prioritise this goal and urgently reduce emissions. However, offsetting also has a key role to play alongside any emissions reduction strategy. Verified offsetting projects that compensate for residual emissions finance crucial sustainable development and preserve existing carbon sinks which are being depleted at an alarming rate.
That is why now, more than ever, it is important that the projects being used to offset emissions are credible and upheld to the most rigorous of standards. As an International Carbon and Offset Alliance (ICROA) accredited organisation, our projects are certified by the highest standards of environmental integrity. Besides reducing or removing carbon emissions, we ensure our projects provide co-benefits for biodiversity and local communities and contribute to the Sustainable Development Goals.
Through this approach, your company opts for bearing the costs of financing the development, certification and operation of an offsetting project in exchange of securing a long-term supply of credits.
In this case, an offtake agreement refers to an agreement between EcoAct and our client in which the buyer decides to purchase a set volume or percentage of the credits that will be generated through the project.
Clients not willing to bear the costs of initial investment or compromising to purchase credits that have not been issued yet might prefer to buy them once they are generated and available on the market.