Most companies buying carbon credits are not greenwashing

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🗞️ Driving the news: While corporate buyers of nature-based carbon credits have recently been accused of greenwashing, a study from Ecosystem Marketplace challenges this narrative, showing that most companies in the Voluntary Carbon Market (VCM) are sincere in their environmental commitments
• The research indicates that companies in the VCM are generally more proactive in decarbonizing their operations — these companies, while embracing carbon credits, are also actively reducing their own emissions, contrary to greenwashing claims

🔭 The context: Jay Westerveld coined "greenwashing" in 1983 after witnessing a hotel's contradictory environmental practices, to describe companies that mislead consumers with false claims of environmental responsibility
• Over the years, accusations of greenwashing have evolved, with the latest critiques targeting corporations buying carbon credits and suggesting they use this as a tactic to appear eco-friendly without actual emission reductions.

🌍 Why it matters for the planet: Criticism and skepticism could deter businesses from engaging in environmental actions, which could hamper global climate goals
• As businesses play a pivotal role in achieving global climate goals, it is essential criticism is directed appropriately, ensuring that companies genuinely trying to make a difference aren't discouraged from doing so

⏭️ What's next: With valid concerns about companies purchasing low-quality carbon credits, initiatives are emerging to enhance market credibility
• The Integrity Council for the Voluntary Carbon Market and the Voluntary Carbon Markets Integrity Initiative are examples, aiming to establish clear standards and guidelines for companies to ensure genuine climate action

💬 One quote: "Companies are typically not using carbon credits to greenwash their operations, but rather as an add-on to the efforts they are already taking to clean their own houses," (Bronson Griscom, Vice President at Conservation International)

📈 One stat: Terrestrial ecosystems currently absorb 25% of human-emitted greenhouse gases, which could evolve to at least 33% with proper investments

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