What are carbon offsets primarily used for?

Carbon offsets are primarily used to compensate for greenhouse gas emissions. This mechanism allows individuals, companies, or organizations to invest in projects that reduce or absorb emissions, such as reforestation or renewable energy initiatives, thereby balancing out their own carbon footprint. By purchasing carbon offsets, entities acknowledge their emissions and take responsibility for mitigating their impact on climate change.

This practice plays a crucial role in carbon management and sustainability strategies, enabling participants to support environmental projects that help offset their emissions, effectively contributing to global efforts in reducing overall greenhouse gas concentrations in the atmosphere. The purchased offsets are often calculated based on the amount of carbon dioxide equivalent emitted or released, ensuring there is a measurable environmental benefit corresponding to their emissions.