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illuminem summarizes for you the essential news of the day. Read the full piece on Carbon Herald or enjoy below:
🗞️ Driving the news: A new study reveals that the 20 largest buyers in the Voluntary Carbon Market (VCM) are primarily purchasing low-quality, low-cost carbon credits, undermining the effectiveness of carbon offsetting
• This trend highlights a significant issue within the carbon market, where the focus on cheap offsets detracts from genuine sustainability efforts
🔭 The context: The study, conducted by researchers from Kyoto University, EPFL, and the University of Hamburg, analyzed carbon offset retirements from 2020 to 2023
• It found that major buyers, including oil companies and airlines, are largely opting for outdated and less impactful offsets, compromising the market’s credibility
🌍 Why it matters for the planet: The preference for low-quality credits by major firms threatens the integrity of the carbon market, reducing its ability to drive meaningful environmental change and support innovative decarbonization projects
⏭️ What's next: The findings suggest a need for stricter regulations and higher standards in the VCM to ensure that carbon offsets contribute effectively to global climate goals and do not simply serve as a cost-saving measure for corporations
💬 One quote: "The problem might actually be driven by the buyers, or in this case, by the choices made by certain companies," said Gregory Trencher, lead author from Kyoto University
📈 One stat: The top 20 buyers in the VCM represent over 20% of all carbon offsets retired from global registries
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