Why carbon credits don’t work in certain cases

2024-10-26 14:01

There is ongoing debate about the effectiveness of carbon credits. Critics have raised concerns that they could be used as a form of greenwashing. This can happen both intentionally or unintentionally, but the two primary instances where they don’t work are:


Some companies purchase credits to appear environmentally responsible without making significant reductions in their own emissions. Companies can be guilty of this when they rely on purchasing carbon credits as a ‘get out of jail free card’ instead of making meaningful reductions within their own operations.

Not all carbon credits are created equal. Some credits may not deliver the promised environmental benefits due to management issues, or even the project methodology itself. This is why Senken has implemented a robust due diligence process to ensure the highest quality of carbon credit projects.

This means that companies need to prioritise emission avoidance and reduction activities within their own operations in addition to buying carbon credits, as mentioned above.

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