The role of carbon credits in the transition to net-zero
Companies should prioritise internal reductions, but there will be unavoidable emissions throughout the journey to net-zero. It is best practice to compensate for annual emissions by purchasing carbon credits from projects that avoid or reduce emissions outside of a company's value chain. Financing emissions reduction or avoidance activities elsewhere means that even if internal reductions are limited, a company can still contribute to reducing global emissions and create positive impacts towards other global Sustainable Development Goals.