Corporate Carbon Offsetting in Australia: A Practical Guide

Australian businesses face growing pressure from investors, customers, regulators and employees to act on climate. Mandatory climate-related financial disclosure is now being phased in for large entities, and many companies are setting net zero targets. For most, carbon offsetting is part of the plan. Here is what to know before engaging corporate carbon offsetting services in Australia.

Understanding the Australian carbon market

Australian Carbon Credit Units (ACCUs) are issued by the Clean Energy Regulator for projects in Australia, such as vegetation management, savanna fire management and landfill gas capture. ACCUs are also used by facilities covered by the reformed Safeguard Mechanism, which has tightened demand and pricing.

International credits such as Verra VCUs come from projects overseas, including forest projects across Asia and the Pacific. They are widely used for voluntary corporate commitments and are often more affordable than ACCUs.

Many businesses use a blend: ACCUs to support Australian projects and international credits to scale impact and manage costs.

Climate Active certification

Climate Active is the Australian Government-backed carbon neutral certification. It sets rules on how businesses measure emissions and which offset units are eligible. If you want Climate Active certification, check the current list of eligible units before buying credits.

Why look to the Asia-Pacific region?

Australia’s closest neighbours, including Papua New Guinea and Indonesia, host some of the world’s most important forest carbon projects. Supporting projects in the region lets Australian businesses fund forest protection, biodiversity and community development close to home, often with compelling stories for stakeholders.

Choosing an offsetting partner

Look for a provider that can explain where every credit comes from, supply credits verified under recognised standards, provide registry retirement evidence in your company’s name, and help you avoid misleading environmental claims, an area the ACCC is watching closely.

Asia Pacific Carbon for Australian businesses

Asia Pacific Carbon develops forest and land-based carbon projects across Asia and the Pacific and can supply Australian companies with traceable, high-quality credits. Find out more about us.