At its core, a carbon credit represents one tonne of carbon dioxide (CO2) or an equivalent amount of another greenhouse gas that has been either removed from the atmosphere or prevented from being emitted. Think of it as a permit for a specific amount of avoided or sequestered emissions. These credits are typically generated by projects that actively work to reduce greenhouse gases, such as: renewable energy projects, forestry and reforestation, methane capture, energy efficiency initiatives. For these emission reductions to translate into credible carbon credits, they undergo a rigorous process of verification and certification by independent bodies.
