Australian carbon offsets market doubles in 6 months
The number of carbon offset providers in the Australian market has doubled over the past six months, according to a research project conducted by Global Sustainability at RMIT in partnership with EPA.
At least 3.28 million tonnes of carbon dioxide equivalents were traded by Australian carbon offset providers in 2006-07 with a value of at least $44 million.
In such a rapidly expanding market, Global Sustainability at RMIT and EPA identified the need for a web-based Carbon Offsets Guide as a resource for businesses, government agencies, NGO organisations and individuals seeking information about offsets.
The Guide provides a list of carbon offset providers, prices, project locations, descriptions and accreditation standards.
Chairman Mick Bourke said the website, www.carbonoffsetguide.com.au, 
delivers the most comprehensive and independent directory of Australian offset providers.
“It is hoped this resource will improve the understanding of the offsets market by Australian businesses and facilitate better environmental and economic outcomes,” Mr Bourke said.
“Offsets are only one aspect of an organisation’s broader carbon management strategy. EPA recommends a strategy involving accurately calculating the greenhouse gas emissions from operations, products and services’ avoiding and reducing these emissions where possible, and then offsetting those emissions that cannot be reduced further.”
Global Sustainability at RMIT director Caroline Bayliss said that while prices per tonne of carbon offsets have remained relatively stable, there are marked differences in prices between different products, with prices ranging from less than $10 up to over $50 per tonne, reflecting the variety in types of offset projects and their accreditation status.
“Our research shows there is a trend to greater diversity in the projects being undertaken by offset providers, in a larger range of geographic locations,” Ms Bayliss said.
“There is a trend towards achieving external accreditation but this remains patchy. This can potentially create confusion for prospective offset purchasers.”
During the launch of the Carbon Offsets Guide held at nabCapital’s premises, nabCapital Australian head, Shaun Dooley, said businesses were definitely looking for support to help them navigate the carbon offsets market.
“Since the NAB Group announced earlier this year, its intention to become carbon neutral by 2010, resources that will continue to inform our decision-making are very important,” said Mr Dooley, who also chairs NAB’s Climate Change Leadership Group.
"People are becoming more and more engaged with climate change on a global basis, and it's imperative that corporations like NAB are supporting this movement. There is no doubt that global warming is one of the most concerning issues of our time.”
RMIT conducted benchmarking research in May 2007 when the market comprised around 15 offset provider organisations. In October this year, 32 carbon offset provider organisations were identified for inclusion on the new website.
The Carbon Offsets Guide website will be reviewed and updated every three months. At that time, new providers will be added to the website and information on existing providers will be updated.