Tuesday, November 18, 2008

Don’t just offset. Engage with offsets.
By Chris Pyke

We’re starting to understand the rules of the road for our transformation to a low carbon future: First, reduce energy demand. Next, use energy efficiently. Seek our clean energy supplies. However, we’re also learning that these steps often leave us short of carbon neutrality. To achieve carbon neutral operations, it is often necessary, at least in the short term, to seek offsite emissions reduction, also known as carbon offsets.

Offsets can be valuable and economically important tools for achieving real emissions reductions. They help address the reality that the costs of squeezing that last 10% of carbon out of a project are often much greater than the costs of eliminating the first 10%. This means that we can stretch our emissions reduction dollars by attacking the “first 10%” from many projects. This kind of thinking leads economists to call offsets “efficient” and, in theory, allows us to reduce the cost of achieving emissions reductions.

However, this kind of thinking also turns emissions reductions into a commodity. Carbon as corn, soy beans, or pork bellies. However, a ton of carbon is not always just a ton. Reductions in greenhouse gas emissions often come attached to important co-benefits. For example, they can reduce monthly energy bills for low-income households, reduce traditional criteria air pollutants, and support broader environmental and restoration protection efforts, such as lake acidification.

Used strategically, offsets can be used to reduce emissions and achieve important social and economic objectives, such as increasing housing affordability or improving schools. This is basis for an important new sustainability strategy: engaged offsets. With engaged offsets, emissions reductions are targeted at projects or populations with the goal of reducing greenhouse gases and serving a larger purpose.

CTG recently completed a demonstration project in the Lower 9th Ward neighborhood of New Orleans. CTG designed and implemented an engaged offset program that targeted a low-income community recovering from Hurricane Katrina. CTG worked with Toyota Motor Sales, USA to characterize the carbon footprint of its tradeshow operations. CTG then arranged for a donation from the company to a small non-profit organization called Hope Has a Face. This donation provided funds for solar hot water heaters to be purchased and installed in renovated housing units and a community center. Over the life of the units, the project will offset over 1,200 metric tons of carbon emissions and save residents thousands of dollars in energy bills. This win-win situation reduces impacts on the planet and helps a community that really needs it. The engaged offsets model can be applied anywhere to link entities that desire emissions reductions with those that would benefit from measures to create them.

Learn more at Greenbuild. Listen and join the discussion on Wednesday afternoon (11/19) at session GR04 Engaged Offsets: Environmental Action Meets Social Justice. Or, contact Chris Pyke for more information cpyke@ctgenergetics.com.

Chris

Dr. Chris Pyke is CTG Energetics' Director of Climate Change Services

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