FAQs

A carbon credit is a financing tool to support projects reducing greenhouse gas emissions or recapturing carbon from the atmosphere. A single carbon credit is equal to one metric ton of carbon dioxide equivalent gases. Carbon credits were formalized by the United Nations Kyoto Protocol. That UN body also developed the key principles and rules guiding verified credits today. In the past, there has been a range of activities that could issue carbon credits.

There are several ways to buy carbon credits. You can purchase them directly from a carbon credit project developer, through a carbon credit exchange or broker, or through online platforms that offer carbon credit purchasing options.

A wide range of projects can generate carbon credits, as long as they can demonstrate that they are reducing or avoiding greenhouse gas emissions. Some common types of projects that generate carbon credits include renewable energy projects such as wind and solar power, energy efficiency improvements in buildings or industrial processes, landfill gas capture and utilization, methane reduction in agriculture or livestock operations, and forestry and land use projects that promote carbon sequestration.

Our project SIlvador Climate Action is verified by an independent certification standard called Verra. The entire project documentation is available on our website or on the Verra Registry. 

We also have FSC, VCS, and SDVISTa certifications, making our carbon credits more valuable and of high quality.

• The Gold Standard
• Verified Carbon Standard (VCS)
• Climate, Community, and Biodiversity Standards (CCB Standards)
• American Carbon Registry (ACR)
• Plan Vivo Standard
• Social Carbon
• CarbonFix Standard
• Carbon Trust Standard

Each standard has its own set of criteria for certifying carbon projects, but they all generally require that the project be real, measurable, additional, and verifiable in order to ensure the legitimacy of the carbon credits.

1. Determine the amount of greenhouse gas emissions you want to offset. This can be done by calculating your carbon footprint using an online carbon calculator, or by using data on your energy use, transportation, and other activities that produce emissions.
2. Convert your emissions data to metric tonnes of carbon dioxide equivalent (CO2e). You can use conversion factors provided by organizations like the Intergovernmental Panel on Climate Change (IPCC) to make this conversion.
3. Calculate the number of carbon credits needed to offset your emissions by dividing your CO2e emissions by the carbon credits generated by the project.
4. Purchase the carbon credits and retire them, which means that you claim ownership of the credits and ensure that they cannot be used by anyone else.

When you purchase carbon credits, the credits are typically retired or canceled to ensure they are not double-counted or resold. This means that once you have purchased and retired the credits, they are no longer available for anyone else to use or claim. The registry or platform where the credits are purchased will keep track of the retirement, so you can verify that the credits have been properly retired. It’s important to work with reputable providers and platforms to ensure that the credits are properly retired, and the process is transparent.

Tax incentives and financial benefits for purchasing carbon credits may vary by region and country. In some cases, companies or individuals may be eligible for tax credits or deductions for the purchase of carbon credits, depending on local tax laws and regulations.

By purchasing carbon credits, companies can offset their greenhouse gas emissions, demonstrating their commitment to environmental sustainability and reducing their overall carbon footprint.

To elaborate further, incorporating carbon credits into a company’s sustainability and ESG strategy can also have other benefits, such as:

1. Improved reputation: By demonstrating a commitment to environmental sustainability and reducing their carbon footprint, companies can improve their reputation and attract socially responsible investors and customers.
2. Risk reduction: Carbon credits can help mitigate the risks associated with climate change and the potential impacts on a company’s operations and supply chains.
3. Regulatory compliance: In some jurisdictions, companies may be required to reduce their greenhouse gas emissions or participate in carbon offsetting programs to comply with local regulations.
4. Cost savings: Investing in energy efficiency and renewable energy projects can reduce a company’s operating costs and generate long-term cost savings.

Yes, the Silvador Climate Action is certified by Verra. The link for the project from the Verra Registry can be accessed here.

SDGs, or Sustainable Development Goals, are a set of 17 global objectives established by the United Nations to address social, economic, and environmental challenges. Carbon credits from projects that contribute to SDGs hold higher value because they offer additional environmental, social, and economic co-benefits. By purchasing these credits, corporations can enhance their reputation, align their ESG strategies, and support comprehensive sustainability initiatives. This increased demand for SDG-aligned carbon credits results in higher market value and a more attractive investment for businesses seeking to offset their emissions.

Yes, you can resell carbon credits that you have purchased. However, it’s important to ensure that the credits are retired from the registry or platform to prevent double-counting.