Long-term carbon supply in-house
Carbon prices are not going down and stable carbon credit supply may become hard to come by as competition in the carbon market intensifies in the coming decade.
Buying carbon credits from someone else is called “carbon offsetting” and is akin to renting a house long-term. Owning your own carbon credit supply is called “carbon insetting” and involves owning your own carbon project as an asset.
Carbon insetting is a smart approach to securing a long-term carbon credit supply chain where you acquire your carbon credits at cost rather than paying ever rising carbon market prices. You also get to control the provenance, the security of supply, and the story.
As your carbon management partner, ekos can build you a bespoke carbon insetting project.
Here is how our project cycle works:
STEP 1 - carbon Credit Demand
This involves clarifying your obligation under the NZETS or (for voluntary offsetting buyers) measuring and/or verifying your carbon footprint. This enables the determination of your current and future demand for carbon credits.
STEP 2 - PRE-FEASIBILITY Assessment
We undertake a scoping study (tier 1 due diligence) to determine the area of land you require and the cost structure of your potential carbon insetting project including land acquisition cost. This involves application of the ekos Nature Carbon Investment Model resulting in a report showing cost estimates and comparison with carbon offsetting for equivalent volumes of carbon required. Not site specific.
STEP 3 - PROJECT DEsign
Detailed site specific project design (tier 2 due diligence) including site evaluations, species combinations, pest control requirements, seedling supply and project subcontracting arrangements.
STEP 4 - PROJECT IMPLEMENTATION
Planning moves to planting. Finalisation of project governance, financial systems and legal contracts. The project is registered under the NZETS. Planting and pest control begins.