Carbon Credits Glossary

Carbon offsets that can be quantified, tracked, and validated are known as verifiable offsets. (This is one of four factors to consider when acquiring carbon offsets.)

An authorised third-party auditor conducts an impartial review of the carbon offset project design and baseline calculations prior to the start of project activity.

A unit equating to one metric tonne of certified, reduced, and issued carbon dioxide equivalent emissions under the Verified Carbon Standard.

Carbon credit generated by a project that has been independently validated outside of the Kyoto Protocol. One VER equals one tonne of CO2e emission savings.

This is a certification standard for non-governmental emission reduction initiatives, similar to the Gold Standard. It participates in the Clean Development Mechanism (CDM), the Voluntary Carbon Market, and many climate and development initiatives.

The year of emissions reduction that a carbon credit belongs to. The vintage of an offset may not necessarily match the year of the transaction, and the vintage year may even be in the future.

A carbon market in which members are not legally compelled to reduce their emissions but do so voluntarily. These markets enable carbon emitters to offset their emissions by acquiring carbon credits generated by third-party initiatives aimed at removing or decreasing GHG emissions from the environment. Companies can engage in the voluntary carbon market on their own or as part of an industry-wide program.