Client: UK Research and Innovation
Client Resources: UKRI position statement on carbon offsetting
The Objective
To develop an evidence review of carbon offsetting, the voluntary carbon market and alternative financial mechanisms to inform an update to UKRI’s position statement.
Case Study
3ADAPT supported UKRI through conducting an evidence review of carbon offsetting to inform an update of their position statement. In March 2023, UKRI published a position statement on the use of carbon offsetting based on a commissioned synthesis report as well as both internal and external consultation. Their position statement concluded that due to a lack of evidence around the long-term additionality of offsets, expenditure of UKRI funds on carbon offsetting would not be permitted. Within this, UKRI made a commitment to review and update their position by 2024/25 or sooner if there were a robust case to do so.
3ADAPT conducted a review of the context and need for offsetting at an organisational, national and international scale, drawing upon key documents and projections from the Intergovernmental Panel on Climate Change (IPCC) and the Climate Change Committee (CCC).
In addition, we carried out a review of current UKRI-funded research in the area of offsetting which could have the potential to inform a shift to their position statement. This helped identify knowledge gaps and areas in which UKRI may wish to focus their research efforts over the coming years, such as offsetting methods with low technological readiness and limited evidence bases.
Our work also included a comprehensive review of alternative financial and climate contribution mechanisms that could contribute to UKRI’s net zero target. This included exploration of carbon pricing, insetting, climate contribution models and partnerships, identifying key pros, cons and implications of each for UKRI.
In order to inform whether there was a robust case for UKRI to review their offsetting position, a comprehensive review of the voluntary carbon market was undertaken. This included reviewing each offsetting method in terms of its removal potential, cost, technological readiness and UKRI’s offsetting criteria. In addition, a review of both carbon offset providers and verifiers was undertaken in terms of offsetting method, cost, geographic location, and specified standards.
A selection of case studies were explored to provide examples of best practice in both offsetting and alternative financial and climate contribution mechanisms.
A summary report was produced to provide an outline of the review and recommended actions going forwards. Recommendations were provided for UKRI over the short, medium and long-term including a framework for updating their offsetting position and considering alternative mechanisms to help reach their 2040 net zero target.