The compensation or neutralization of a company's carbon emissions provides them a clear and straight path for climate action.

On September 16, the Science Based Targets Initiative – a collaboration between CDP, UNGC, WRI and WWF – released 5 possible corporate strategies for Net Zero carbon emissions. The most ambitious and 'preferred approach' has been dubbed 'Climate Positive' and entails:

• Companies to set ambitious reduction targets that is in line with limiting global warming to 1.5 degrees
• Taking responsibility for their emissions today, by purchasing the equivalent amount of carbon offsets which includes value chain emissions (Compensation)
• Progressively increasing their offset portfolio to include carbon removals such as planting trees or direct air capture until it matches gross emissions (Neutralization)

SBTi's report sees the compensation or neutralization of a company's carbon emissions as a valid means while they transition towards net-zero. We at ClimatePartner welcome this approach, as it provides companies a clear and straight path for climate action, creating  meaningful impact for tackling climate change. When following this concept, companies are not only able to walk the path towards net zero emissions on the mid to long run but are also able to offer climate neutral products in the short run.

To get started and to be successful on the way, we provide a holistic offering that is proven by the experience of having worked with more than 2.500 companies so far. It includes a profound and comprehensive carbon footprint calculation and evaluation, followed by emissions reduction and avoidance strategies. It is completed by transparent compensation and neutralization of unavoidable emissions with high-quality carbon offset projects. The latter is testified with our validated labelling system which allows for effective market and consumer education. To support our customers with defining or complying to effective reduction targets within their strategies, we established a dedicated team of experts that have extensive experience in the fields of science based targets, resource efficiency as well as CDP and more.

More information about our offering around science-based targets.

Would you like to learn more about net zero and what organisations can do? Read our pillar article "The Road to Net Zero".

(Graph from SBTi's report)