What is a Carbon Credit?

A Carbon credit is a tradable certificate that represents one metric tonne of carbon dioxide (CO2) or the equivalent amount of another greenhouse gas (CO2e) from entering the atmosphere or removed from the atmosphere. 

Credits are generated by projects that avoid, reduce or remove (CO2e) from the atmosphere. They are purchased by companies that wish to offset their current emissions either on a voluntary basis or to achieve government regulated targets in the compliance market.