Carbon Emitting/Offsetting Companies

Companies grow by engaging in activities such as production, distribution, and services, most of which result in carbon emissions. With the global shift in environmental awareness, many companies are striving to reduce carbon emissions from their operations, though not all can decrease their carbon output significantly.

However, many companies are becoming increasingly sensitive to their carbon emissions, responding to growing environmental awareness among consumers and making efforts to reduce emissions through various methods.

Carbon Emitting Companies

Carbon emitting companies refer to those whose activities result in carbon emissions exceeding the limits set by national or institutional regulations.

Carbon Offsetting Companies

Carbon offsetting companies minimize their carbon emissions through efforts, emitting less than the assigned quotas. These companies can issue carbon offset credits by utilizing their remaining emission allowances.

Even with efforts like energy efficiency improvements, renewable energy adoption, and carbon capture, certain industries inevitably emit carbon beyond a certain level. This situation can burden the growth of carbon-emitting companies.

Carbon emitting companies, which inevitably produce emissions, can address these challenges by forming relationships with carbon offsetting companies. These offsetting companies have already achieved a level of carbon emission control or provide technologies and services aimed at carbon neutrality. When these companies have excess emission allowances, they can issue offset credits, fostering mutual benefits with carbon-emitting companies.

Through the interaction between carbon-emitting and offsetting companies, carbon emissions can be reduced, and carbon neutrality goals can be achieved, creating an efficient market. Carbon-emitting companies can purchase offset credits issued by offsetting companies to secure additional emission rights. Carbon offsetting companies, in turn, generate revenue from selling these credits, supporting their activities towards carbon neutrality.

This interaction signifies the formation of an ecosystem that addresses environmental issues and realizes sustainable corporate management.