Carbon Credits and Forestry Offsets

A blog about Carbon Credits as: An investment, A growing market and a possible lifesaver.

Did you hear about San Francisco Airport being the first airport to install carbon offset kiosks in their terminals? HOW EXCITING IS THAT?!

As far as I am concerned this is a fantastic idea. The easier it is for people to offset their carbon emissions the better! The carbon offset kiosk is about 5ft tall and fully automated so doesn’t need anyone to run it on a day to day basis. Now bear in mind that around 18 million flights are made per year carrying around 1 billion passengers… How’s that for a target market? 1 billion bored passengers waiting for inevitably delayed flights. Nothing else to do but think about how the flight they are just about to embark upon is going to damage the planet that little bit more.

Now I know what the worry in this process will be. “So I pay around £10 for this credit, in the understanding that someone, somewhere has stopped 1 tonne of co2 entering the atmosphere.”

I will explain why this works in terms of a forestry project.

When you give money to the offset company they will:

1. Use the money to purchase forestry which has sequestered CO2.
2. Pay indigenous or local people to look after this forestry thereby stopping it from being cut down for monetary gain.
3. By preventing the logging of this forest you will stop trapped CO2 from entering the atmosphere.

The opportunity:

This is where we come in.

As you can see the carbon credit market is growing and this latest piece of news alone could bring a further £10 billion per year of income to the market. Obviously this is a massive claim and it would mean that every airport would have to install many of these kiosks and every passenger would have to purchase around one credit for each flight, even though, the chances are, they are using more than this.

Now we are offering an opportunity, in this market where you could make returns of 100% pa for 47 years!

How can we do this?

One of our partners has started a company which purchases land out in the Brazilian rainforest. The trees on this land have a massive amount of carbon stored in them and if he wasn’t preserving these trees they would be illegally logged and then the carbon which is currently stored would be released, furthering the damage to our atmosphere.

For our partners fantastic efforts he is rewarded with 1 carbon credit by the voluntary carbon standard for every tonne of CO2 which he prevents from entering the atmosphere. These credits currently trade at around £11 each in the market.

This is where you come in.

• We will offer you the chance to buy these credits from our partner at a price of 50 pence per credit!
• The minimum investment is £25,000 and for this you will receive 50,000 credits at 1,000 credits per year for 50 years.
• For the first 3 years the project manager will guarantee you a return of 12%.
• From years 3 to 50 you will sell directly to the end user through our partner who is also a carbon broker.
• The price for these credits is currently hovering around the £11 mark this would lead to a return of 44% pa on your invested money. Not bad hey!

There are 2 types of carbon credit: CER’s (certified emission reductions) and VER’s (verified emission reductions).

CER’s can trade at anything up to around £30 per credit.

VER’s can trade at anything up to around £15 per credit.

By purchasing from our forestry offset you will be purchasing VER’s

How could you make returns of 100% pa?

For the last few years there has been a lot of controversy over what category forestry offsets should be traded as. At the Copenhagen climate change summit in December this year, it is highly likely that forestry will be named as a “clean development mechanism” or CDM therefore producing CER’s. The reason for this is that current clean development mechanisms such as wind farms or solar farms actually create carbon when they are built as I’m sure you can appreciate. However forestry does not emit any carbon to put in place, the trees are already there, all we are doing is making sure they are not forested for monetary gain.

If forestry offsets become CER’s the project managers or investors can sell the credits at a higher price. This money can then filter through to the local people looking after the forests. Furthering the need to sustain rainforests rather than deplete them. Basically “the forest will be worth more alive than dead”

p.s. It’s already started. The UNFCCC have already named 3 forestry projects as clean development mechanisms.

If you would like more details on our fantastic forestry opportunity Click here

Further reading

This is the website for the Copenhagen climate change summit and articles relating the forestry. http://en.cop15.dk/Frontpage/Search+result?query=forestry