Standards

The type of projects that we invest in is defined by the CarbonNeutral Protocol.  

There are projects that meet standards which will automatically pass through the CarbonNeutral Protocol eg Certified Emission Reductions (CERs), CDM, Gold Standard, and (once formalised) Voluntary Carbon Standard.  For VER projects which have not met those standards but which are strong, we apply the base tests and criteria of the Protocol.

We work with our clients to build a portfolio of carbon credits that works with their criteria for geography, technology, volume, local community impact, profile of the client brand and budget.

Carbon offset is a 'virtual' buy and a secure audit trail has always been a critical part of our company policy - we have robust procedures for selecting and contracting project partners, and we maintain first class databases to record all transactions. 

We continue to evolve best practice systems including, for example, the annual commissioning of PricewaterhouseCoopers LLP to review our carbon 'chain of custody' every year.  This is unique in the carbon world, and it means that PwC match contracts with clients to contracts with offset partners, and assure that what we promise is delivered.  This verifies that there is no double selling and that carbon credits are retired correctly. Please click through for a description of the full quality assurance programme which underpins our business, and for the specific Carbon Reports.  

For even greater transparency, all our projects we work with and the accompanying documentation, are listed on our Offset Project Registry in the Projects area of our website.

Projects need to pass through a detailed due dilligence process and the project lifecycle can take from 1 month to 1year+ depending on the complexity of the scheme and data.

  Examples of technology criteria:

• The technology used must be significantly different to that used locally, and the project must not be subject to any regulatory requirements
• The offsets or carbon credits delivered have to be readily verifiable by a third party
• The technology needs to promote a more sustainable future and we work with a number of project types to achieve that:
  • Renewables (wind, wave, solar, geothermal, benign, hydro, biomass)
  • Fuel switching / mixing to biomass
  • Transportation / logistics projects
  • Waste to energy with additional benefits (e.g. bagasse combustion, animal waste combustion).
  • Energy efficiency and demand-side management

click here to view a short video clip of our project partner SELCO, winner of the Ashden Award for Outstanding Achievement.

Forestry Projects
Forests account for over 80% of the CO2 exchanged between the land and the atmosphere, so their role in the carbon cycle is vital.
We support a number of forestry projects around the world.  As trees grow, carbon is stored in biomass. About 50% of dry matter is carbon.  Forests release CO2 as well, during the process of ‘respiration’, but a forest that is growing (i.e. increasing in biomass) will always absorb more than it releases. This means that the sequestration potential of forestry schemes depends on growing and sustaining the forest. Examples of forestry criteria: The project must be additional - new and beyond legal requirements There needs to be a good management plan, including specific measures to deal with risks Projects need to conserve natural ecosystems and improve biodiversity Click through to CarbonNeutral Protocol for full detail.
Read more Science and Policy Background to Sequestration by Forestry

Can carbon offset projects fail to deliver carbon reductions?

Yes, they can.  If your money is being put into a project that estimates how much CO2 will be saved going forward, then that project could under or over perform.  That’s particularly true of the smaller projects in developing countries (where there may be a dependence on local communities learning new skills quickly) and with forestry schemes (because trees are liable to suffer from a range of problems such as fire, pest, or drought).  There have been some real problems faced by one of the projects we support for example - Mango trees in Indiarun by the charity, Women for Sustainable Development.  We identify issues such as these through our regular monitoring reports and visits, and put projects on ‘red’ when there’s a remedial action plan needed.

Though it involves extra investment from TCNC, we don’t think ‘problems’ should necessarily mean that the projects shouldn’t have support.  Some small schemes work extremely well – reducing CO2, creating job opportunities, improving skill levels, supporting innovation.  A light bulb project that we work with in Jamaica is a case in point.

Why does this involve extra investment from TCNC?  Because our contracts with clients are for specific amounts of CO2, and if one project delivers less CO2 than it estimated - such as the Mango tree project - we make up the shortfall from other projects.  It’s a self insurance scheme that means money we receive from clients is guaranteed to deliver a climate benefit.

Project verification

• Checking the amount of carbon offset by the project (baseline calculation)
• Monitoring it over the lifetime of the project
• Investing in additional offset projects (as ‘insurance’ to ensure there will be enough carbon credits)
• Running a verified register to record which customers' CO2 has been neutralised.

Find out more about the The Carbon Neutral Company's Quality Assurance programme which underpins our business and our work with clients.