Offsets need to be valued accurately
Align the VCM with internal carbon pricing
Companies can boost confidence in the voluntary market by using their internal carbon prices as reference points against which to measure the implied climate contribution of their purchased offsets
The news flow around climate finance over the past year has included an assault on voluntary carbon markets. The criticism has concentrated on credit quality, underpinned by a cynicism about how the various actors make money and the use of offsets by corporates. The VCM industry hopes it can restore confidence through its efforts to self-police on integrity and the ways companies use offsets. Given the pressing need for reform, it may seem premature to look past this stage. But there remains a shortcoming in a high-integrity VCM that threatens to keep it from fulfilling its promise as a conduit of climate capital: corporate buyers still have the incentive to be 'cheap’. To some degree this
Also in this section
11 November 2025
Transition policies must recognise that significant industrial demand for carbon will continue even as economies hit net zero
6 November 2025
After years of pursuing ideologically driven climate leadership, Western powers are now stepping back under mounting political pressure and rising populist opposition—prompting concern essential climate action could be sidelined
17 October 2025
The business case for CCS is strengthening as costs decline, but deployment must accelerate to align with credible net-zero scenarios
17 October 2025
The black-tie gala recognised the energy industry’s leading innovations and thought leaders from across the value chain
