Glossary
Offsetting
"Offsetting" refers to actions taken to compensate for the emission of greenhouse gasses, particularly carbon dioxide, which are generated by human activities. Offset projects are intended to reduce, avoid, or sequester emissions to balance out the emissions produced elsewhere, therefore "offsetting" them. Though it is often applied in the environmental context, particularly in reference to CO2 emissions, offsetting can theoretically apply to anything that has a negative impact and can be counterbalanced by an equal positive action.
Expanding on this formal definition, offsetting is a system commonly adopted by individuals, companies, and even cities or countries for the purpose of negating their carbon footprint. Offsetting is typically achieved via investing in environmental projects around the world to balance out the carbon dioxides that they have generated. These projects often revolve around green energy technologies like solar and wind power, as they avoid the emission of greenhouse gases. Other strategies may include forest restoration projects, which can absorb CO2 from the atmosphere, or funding for more energy-efficient technologies.
There are several measures used to quantify offsetting actions. The most common is the Carbon offset, where one offset represents the reduction of greenhouse gases equivalent to one metric ton of carbon dioxide. Companies or individuals may purchase these offsets corresponding to their emissions, indirectly contributing to efforts of neutralizing environmental impact.
It’s important to understand that offsetting is not a panacea for all environmental problems. It should be part of a broader, more comprehensive environmental strategy. Offsetting may allow CO2 emissions to continue while actions are being taken to reduce them elsewhere. This can create a risk of complacency, or even misuse, whereby organisations see offset schemes as a way to continue their damaging activities without making fundamental changes. Thus, while offsetting has its merits in balancing the environmental damage, it needs to be implemented as part of a multi-pronged approach that includes reduction at source, energy efficiency, and shifts towards renewable energy models.