Accounting for carbon offsets: establishing the foundation for carbon-trading markets
Tackling climate change requires reductions in current and future greenhouse gas (GHG) emissions as well as the removal of existing GHG from the atmosphere. Carbon-offset producers purport to provide such removals. But poor measurement practices and inadequate controls have led to extensive trading...
| Main Authors: | , , |
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| Format: | Working paper |
| Language: | English |
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Blavatnik School of Government, University of Oxford
2023
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| _version_ | 1797110570003988480 |
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| author | Kaplan, RS Ramanna, K Roston, M |
| author_facet | Kaplan, RS Ramanna, K Roston, M |
| author_sort | Kaplan, RS |
| collection | OXFORD |
| description | Tackling climate change requires reductions in current and future greenhouse gas (GHG) emissions as well as the removal of existing GHG from the atmosphere. Carbon-offset producers purport to provide such removals. But poor measurement practices and inadequate controls have led to extensive trading of instruments that do not materially reduce the supply of atmospheric GHG. To address these challenges, we apply basic financial-accounting principles to develop an accurate and auditable set of offset accounting principles. These principles complement and extend the E-liability method of accounting for GHG emissions. Having rigorous accounting for both emissions and offsets will expand market forces for impactful decarbonization. |
| first_indexed | 2024-03-07T07:56:39Z |
| format | Working paper |
| id | oxford-uuid:d898556b-7dfc-4ca1-bca7-808839d2dfed |
| institution | University of Oxford |
| language | English |
| last_indexed | 2024-03-07T07:56:39Z |
| publishDate | 2023 |
| publisher | Blavatnik School of Government, University of Oxford |
| record_format | dspace |
| spelling | oxford-uuid:d898556b-7dfc-4ca1-bca7-808839d2dfed2023-08-18T10:25:55ZAccounting for carbon offsets: establishing the foundation for carbon-trading marketsWorking paperhttp://purl.org/coar/resource_type/c_8042uuid:d898556b-7dfc-4ca1-bca7-808839d2dfedEnglishSymplectic ElementsBlavatnik School of Government, University of Oxford2023Kaplan, RSRamanna, KRoston, MTackling climate change requires reductions in current and future greenhouse gas (GHG) emissions as well as the removal of existing GHG from the atmosphere. Carbon-offset producers purport to provide such removals. But poor measurement practices and inadequate controls have led to extensive trading of instruments that do not materially reduce the supply of atmospheric GHG. To address these challenges, we apply basic financial-accounting principles to develop an accurate and auditable set of offset accounting principles. These principles complement and extend the E-liability method of accounting for GHG emissions. Having rigorous accounting for both emissions and offsets will expand market forces for impactful decarbonization. |
| spellingShingle | Kaplan, RS Ramanna, K Roston, M Accounting for carbon offsets: establishing the foundation for carbon-trading markets |
| title | Accounting for carbon offsets: establishing the foundation for carbon-trading markets |
| title_full | Accounting for carbon offsets: establishing the foundation for carbon-trading markets |
| title_fullStr | Accounting for carbon offsets: establishing the foundation for carbon-trading markets |
| title_full_unstemmed | Accounting for carbon offsets: establishing the foundation for carbon-trading markets |
| title_short | Accounting for carbon offsets: establishing the foundation for carbon-trading markets |
| title_sort | accounting for carbon offsets establishing the foundation for carbon trading markets |
| work_keys_str_mv | AT kaplanrs accountingforcarbonoffsetsestablishingthefoundationforcarbontradingmarkets AT ramannak accountingforcarbonoffsetsestablishingthefoundationforcarbontradingmarkets AT rostonm accountingforcarbonoffsetsestablishingthefoundationforcarbontradingmarkets |