Carbon Offsetting

Carbon offsetting is the act of mitigating (canceling out) greenhouse gas emissions. Individuals and businesses can purchase offsets to compensate for the greenhouse gas emissions from personal travel or production processes. Carbon offsets can be more efficient and immediate than other measures an individual can take to fight global warming, while reducing the same or more carbon dioxide emissions.

The first step towards carbon neutrality is reducing the carbon emissions produced, by using alternative energy, alternative transportation, reusing, recycling, and supporting local farms and businesses. After reducing what you can, use a carbon calculator to determine the amount of carbon emissions you produce (often referred to as the size of your "carbon footprint"). Most carbon calculators provide an estimate of household greenhouse gas emissions (in pounds) resulting from household energy use and waste disposal, and give you information you can use to identify ways to reduce your personal greenhouse gases. Once you know the amount of carbon that needs to be offset, do a little homework, and purchase credits covering that amount from a recognized and respected carbon offset provider. The credits you purchase will be used to support carbon-reducing projects such as renewable energy facilities, energy efficiency research and reforestation projects.

For companies and other greenhouse gas producing entities, emissions trading, also called "cap and trade," is sometimes an economically desirable way to control pollution. Through this method, companies are issued emissions credits by governments or international bodies (like the United Nations) which represent the right to produce a certain amount of emissions (the "cap"). Companies that need to increase their emissions must buy credits from those who pollute less. The transfer of allowances is referred to as a "trade." In effect, the buyer is paying a charge for polluting, while the seller is being rewarded for having reduced emissions by more than was needed.

Information used in this section was found at EPA.gov and Carbonfund.org

Carbon credits - A carbon credit is a system of exchange between businesses or individuals to reduce greenhouse gas emissions by capping total annual emissions and letting the market assign a monetary value to any shortfall through trading.

Carbon Footprint - A carbon footprint is a measure of the amount of carbon dioxide emitted through the combustion of fossil fuels. A carbon footprint is often expressed as tons of carbon dioxide or tons of carbon emitted, usually on an annual basis.

Carbon neutral - Carbon neutral indicates that a person or business has achieved a zero carbon release either by balancing total carbon emission with the use of renewable energy that produces similar useful energy, or through only using alternative energy, whereby no carbon dioxide is emitted into the atmosphere.

Nitrogen Oxides (NOx) - Nitrogen oxides are gases consisting of one molecule of nitrogen and varying numbers of oxygen molecules. Nitrogen oxides are by-products of combustion processes and are commonly found in the automobile exhaust and emissions from fossil fuel-fired power plants. NOx is a greenhouse gas and is an ingredient of acid rain and smog.