b'REDUCE - DO WHAT WE DO MOREGeographic concentration - Lowest cost offset (natural EFFICIENTLY carbon solutions) potential is limited to relatively few countries. The volume of supply in these countries is Energy efficiency for; building services for lighting,subject to uncertain political commitments and the air conditioning, lifts, security for both tenancy andpracticality of operation in these countries.base building Replace appliances most efficient alternativeProject risks - Offsets projects have accreditation risk including, central computer infrastructure, personaland equity risks that impact their feasibility deliverydevices, document centres and refrigeration.Available finance - The long time lines and unknown risks REPLACE - REPLACE HIGH CARBON ENERGYare less attractive to finance and the levels of government SOURCES WITH LOW CARBON ONES fiscal support is unknown.dedicated certified renewable electricity has been available for 20 years and is now more available andCHOOSE A GOOD more affordable than ever before. in the future other renewable sources such asCARBON OFFSETsynthetic fuels, hydrogen replacing any fleet cars with electric cars andThere are four key ideas and principles to consider that ensuring taxis and Ubers are also electricmake a reliable carbon offset:offset - offset residual emissions that are not eliminated by the above AdditionalityEnsure that the project or outcome Offset - offset residual emissions that are notwouldnt have happened anyway. For example renewable eliminated by the above energy projects are often have sound business cases At least in the short term to get to net zero, mostwithout offset income.companies will purchase carbon offsets from projects that permanently removing an equivalentPermanence - greenhouse gas emissions need to be amount of atmospheric carbon dioxide from theremoved from the atmosphere in the long term, and that atmosphere.may mean new forests that require ongoing management and protection may be risky permanent carbon sinks.Double-counting - You have to make sure you have LIMITATIONS OFan exclusive claim to your emission reductions. Once CARBON OFFSETS someone purchases an offset, the underlying emissions reduction shouldnt be sold again or left on someone elses balance sheet. Offsets are not capable of creating a carbon neutral or carbon positive world without deep decarbonisation ofLeakage - The collateral issues caused by offsets energy, land use and agriculture.programs can provide perverse outcomes. For example if a forest is protected to create offsets in one area it In 2019 the global economy was responsible for 36.5 billionmay create greater pressure forests that arent subject to tonnes of greenhouse gas emissions. In comparison it inprotection or may create other environmental, social.2021 it was only capable of producing 239 million tonnes of offsets. This is a gap of more than 99%. In the 12 months to June 2021 the average price of offsets increased from$2.63USD to $3.80USD (forty four percent) Forecasts for increasing demand for offsets range from twenty times to one hundred times by 2050. The forecasts for supply and price of offsets are more difficult to make for either 2030 and 2050. The increase in supply is heavily dependant on hard to predict factors including Rate and complexity of establishment; The creation of carbon sinks is a cost, land and time intensive process with technical hurdles for reliable measurement & verification which need to be overcome for every offset technology'