Companies around the world are taking a closer look at their contributions to climate change,1 with an increasing number voluntarily reducing their “carbon footprints” by purchasing offsets elsewhere. In a practice known as offsetting, businesses pay to outsource emissions reductions when it is more cost-effective or technologically feasible than doing so in-house. The market for these voluntary offsets, fueled by corporate commitments to become “carbon neutral,” is growing rapidly.

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