Carbon Offset Due Diligence Framework

Buying offsets needs careful checks. Companies must review project quality, proof, and long-term impact. A strong due diligence plan looks at:

1. Additionality – Would the project happen without carbon funding?
2. Permanence – Will the carbon stay locked away for many years?
3. Third-Party Verification – Is the project checked by trusted groups like Verra (VCS) or the Gold Standard?
4. Monitoring – Does the project track and report results over time?

Verification Standards and Quality Indicators

Verra’s VCS covers about 70% of voluntary credits. Projects must go through strict checks and audits.

The Gold Standard adds more focus on local benefits, like jobs, clean water, and biodiversity.

Other signs of quality include the year the credits were issued (vintage), the location of the project, and any extra social or environmental benefits.

There are already 4,000 projects that issued 1.7 billion credits, with 3,800 more on the way. Picking wisely is key.