The Oxford Principles for Net Zero Aligned Carbon Offsetting: 2024 revisions

Published in February 2024 by the University of Oxford, these revisions to the 2020 Oxford Principles call for a ‘course correct’ for the VCM. It states that ‘current approaches are unlikely to deliver the level of emissions reduction needed to achieve global climate goals. NOTE: Despite the strong call to scale action, the Principles are supportive and clear. It says that each credit type offers different co-benefits and has a unique role to play in decarbonisation. The world needs avoidance and removal, just as it needs both nature and tech.

The Principles of Natural Climate Solutions

This paper was published in January 2024 in Nature Communications. It addresses natural climate solutions and how they will benefit corporates as they assess potential carbon credit projects. It outlines five principles that will help leaders define, implement, and measure effective natural climate solutions. It is highly recommended reading for those buying from and investing in, NCS projects.

Everything, everywhere, all at once: how can private finance be unlocked for nature and climate

The resource from the Cambridge Institute for Sustainability Leadership (CISL) highlights the importance of private finance in climate and nature solutions. Published in November 2023, it suggests that directing funding to nature-based solutions is currently more cost-effective than investing in tech-based solutions. However, it notes that financing for nature currently lags behind finance for climate.

Using Carbon Credits to Meet Corporate Climate Targets

This report, published by MSCI in November 2023, considers the impact of allowing companies to meet their science-based emission reduction targets using carbon credits. Using detailed modelling, it shows how carbon credits can help those companies who are already on track to meet their emission reduction targets. If just these companies used credits, it would rapidly scale demand.

Corporate emission performance and the use of carbon credits

This report from MSCI finds that companies using carbon credits decarbonise on average twice as fast as those that do not use carbon credits. Published in June 2023, this finding is based on the emissions data of 4,156 companies over five years. It revealed a statistically significant trend that companies using a material amount of carbon credits reduce emissions faster than those that do not. Companies using higher integrity credits were found to be cutting their emissions quicker than those with low integrity credits.

Non-offset claims: How to make a robust climate claim?

The voluntary carbon market is not just about carbon. It’s also about people, biodiversity and nature. In this whitepaper, the Compensate Foundation explains non-offset claims such as beyond value chain mitigation, climate finance, and insetting. Published in June 2023, it is relevant for corporates looking to distinguish between their offset and non-offset claims and the differing value each offers their businesses.

Durability Assessment for Carbon Removal

BeZero considers the durability of carbon removal in this report published in May 2023. Following increasing corporate interest in this topic, this report aims to explain the importance of durability and its principles. It also shares advice for navigating scientific uncertainty in an emerging space.

Carbon Credits: Permission to Pollute, or Pivotal for Progress?

Does investment in carbon credits hinder decarbonization among the world’s largest companies? Published by Sylvera in May 2023, this report responds to media criticism saying that buying carbon credits is an excuse to continue business as usual. It analysed the Scope 1 and 2 emission data and carbon credit purchases of 100 of the largest businesses across different industries. It found that those purchasing credits are cutting emissions by 6.2% each year while those who aren’t are cutting only 3.4%.

How Companies Can Use Voluntary Carbon Markets to Help Protect Tropical Forests

This makes clear the urgency of investing in tropical forests. Published in May 2023, The World Resources Institute explains how the voluntary carbon market can channel finance for forest conservation and restoration. It provides context to corporates embarking on their decarbonisation journey and shares four useful steps that they can take to help end tropical deforestation.