Greenpeace Calls for End to Carbon Offsets – Reuters Impact

Carbon offsets are enabling some of the world’s largest polluters to continue business practices that may hinder global climate objectives, according to the leader of Greenpeace International in a recent interview.

This model allows companies that emit high levels of pollutants to compensate for their emissions by purchasing credits from projects designed to reduce or prevent carbon dioxide emissions, such as large-scale tree planting or solar energy initiatives. A task force estimates this market could be worth $50 billion by 2030.

Environmental advocates, including Greenpeace, argue that this approach is allowing major polluters, particularly oil companies, to delay making necessary reductions to their own emissions and to remain invested in fossil fuels, a significant contributor to greenhouse gas emissions.

Jennifer Morgan, Greenpeace’s Executive Director, emphasized the urgency of the situation at the Reuters Impact conference, stating, “There’s no time for offsets. We are in a climate emergency and we need to phase out fossil fuels.” She pointed out that tree planting, a common offset strategy, takes approximately 20 years to mature and provide benefits, during which time the risk of wildfires can eliminate any potential emissions reductions.

Morgan criticized these offset schemes as mere “greenwashing,” allowing companies to maintain their practices and profits without making real changes.

Concerns have also been raised regarding the accuracy of emissions credits. In April, a research group called CarbonPlan revealed that nearly 29% of forest carbon offsets analyzed from a large California program overstated their effectiveness, which equated to about 30 million tonnes of emissions—worth approximately $410 million—in inaccuracies.

Greenpeace’s warnings arrive at a critical time for the voluntary carbon market, where advocates recognize the pressing need for greater transparency and accountability. Delegates at the upcoming U.N. climate conference are expected to focus on creating a market that effectively directs funding toward offset and emissions removal projects, aiming to achieve net-zero greenhouse gas emissions by 2050 while mitigating severe climate change consequences.

In a significant message, the International Energy Agency (IEA) stated that to meet net-zero targets on time, it is crucial for companies to halt investments in new oil, gas, and coal projects.