In assessing the effectiveness of carbon credits, one important concern is the concept of"additionality". Emission reductions or removals are"additional" if the project or activity would not have happened without the added incentive provided by the carbon credits. For example, if a landowner is paid to not cut down trees, but had no plans to cut them down in the first place, the project does not deliver additional emissions savings.
A second issue is permanence. Carbon offsets have to be permanent because carbon emissions remain in the atmosphere for hundreds of years. It is almost impossible to guarantee that emissions will be offset for this length of time. But it depends on the type of offset project.those that reduce the amount of carbon that is emittedIn the case of carbon reduction projects, overall emissions remain positive. Examples of carbon reduction credits include investments in renewable energy.
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