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Government seeks to clarify carbon offsetting

People offsetting their carbon emissions will soon be able to do so with greater clarity and certainty with the development of a voluntary standard for offsetting, released for public consultation today.

FlightsEnvironment Secretary David Miliband said the standard and associated code of practice would raise the bar for the offsetting industry.

"Offsetting isn't the answer to climate change. The first step should always be to see how we can avoid and reduce emissions - through thinking about how we use energy in our homes and businesses, and the way we travel.

"However, some emissions can't or won't be avoided. That's where offsetting has a role to play. It's a way of compensating for the emissions produced with an equivalent carbon saving."

Mr Miliband said that consumers needed an assurance that when they offset their emissions, their money is spent on projects that have genuine carbon dioxide emission reductions.

"People need to be sure that the way they offset is actually making a difference. The Government's standard and code of practice, with a quality mark so people can check easily before they choose an offsetting product, will help to provide that certainty.

"Ultimately, this is about providing certainty for consumers in an emerging environmental market."

Transport Secretary Douglas Alexander said: "Many individuals and businesses want the option of offsetting the emissions that result from the transport choices they make, as one way of balancing the benefits of travel with its environmental impact.

"This new voluntary standard will not only bring clarity for those who are already offsetting - it will also encourage many more to consider how they can lighten the footprint they leave on the planet."

Offsetting is a way of compensating for emissions produced with an equivalent carbon saving, lessening the impact of a consumer's actions. Consumers can offset a particular activity, such as a flight; their emissions over a period of time, such as their annual car mileage; or across their entire lifestyle or business, including all of the gas and electricity they consume and their emissions from transport.

Carbon offsetting involves calculating emissions and then purchasing equivalent credits from emission reduction projects that have prevented or removed the emission of an equivalent amount of carbon dioxide somewhere else.

The Government's standard would be based on the use of certified credits from the established Kyoto market, through sources such as the UN's Clean Development Mechanism (CDM). These credits are backed by an international framework and institutions to ensure that real emission reductions take place, as well as providing a clear audit trail.

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Page published: 18 January 2007

Department for Environment, Food and Rural Affairs