Carbon offsetting allows businesses and travellers to balance out the environmental impact of air travel by investing in certified sustainability projects. These projects might include reforestation, renewable energy, methane capture or clean water initiatives. The goal is to “offset” the emissions produced by flights, especially those associated with long-haul or frequent corporate travel.
Airlines, booking platforms and travel management companies often offer carbon offset options at the point of purchase. Alternatively, companies may partner with third-party providers to calculate emissions and invest in offset credits on a monthly or annual basis.
Offsetting doesn’t eliminate emissions, but it does support measurable efforts to reduce global greenhouse gas levels over time.
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Business travel is one of the more visible contributors to a company’s carbon footprint. Offsetting provides a way to reduce the environmental impact of essential travel without halting mobility altogether. For companies with sustainability targets, carbon offsetting can play a key role in achieving ESG goals and demonstrating responsible corporate citizenship.
Many procurement teams now factor in environmental performance when selecting suppliers, including travel vendors. Offering offset options or integrating them into travel policies can strengthen a company’s public stance on climate responsibility.
Offsetting also supports internal reporting. Finance and ESG teams can track emissions per trip and ensure sustainability metrics are tied to actual business activity, not general estimates.
A company sends five employees to a client site via return flights. After the trip, the agency calculates the total carbon emissions at 1.4 tonnes and purchases credits from a Gold Standard reforestation project. The cost is billed centrally and the emissions are logged for quarterly sustainability reporting.
In another case, a business travel platform allows employees to select optional carbon offsetting during booking. The company chooses to cover the cost as part of its commitment to sustainable operations and includes the initiative in its ESG report.
