Blog/ Blog article

Insetting vs. offsetting

Most people have heard by now about offsetting, but what’s insetting? Insetting and offsetting are both strategies aimed at addressing and mitigating the environmental impact of activities, especially carbon emissions. While they share the common goal of reducing the overall carbon footprint, they differ in their approach and implementation.

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Offsets

In simple terms: I continue doing what I’m doing and compensate for it by investing into projects that make up for my emissions. Companies purchase carbon credits and invest into offset projects to counterbalance their emissions.

Commonly known offset projects are reforestation, renewable energy, carbon capture and storage. The effectiveness of offsetting is often verified by third-party organizations to ensure that the claimed reductions are legitimate and additional.

Insets

Integrating sustainability in the company's own supply chain and operations. The focus is on reducing emissions within the own value chain, rather than compensating for it with unrelated projects. Projects vary from sustainable sourcing, energy efficiency improvements, or waste reduction initiatives within the company's own operations and supply chain. The aim of insetting is to make the companies own operations and value chain more sustainable.

Both insetting and offsetting have it’s right to exist -many companies choose a blended approach of both offsetting and insetting strategies. After all, we need to make up for our historic emissions, reverse and slow down climate change. Let us know if you want to discuss an integrated approach to sustainability that’s directly aligned to your core business activities.

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