Shell Carbon Offsets

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Shell Carbon Offsets

Key Takeaways

  • A typical carbon offset involves businesses, the government, individuals, or organizations that pay other people to cut or remove a certain quantity of (greenhouse gases) GHGs from the environment.
  • Carbon offsetting projects take many forms including decarbonizing industries, including the transport sector, deploying carbon capturing technologies, relying on renewable energy, and improving forests, wetlands, the soil, and grasslands.
  • Shell has an ambitious plan to boost its use of carbon capture and storage (CCS) technology to filter out carbon before it reaches the atmosphere across its plants and aims to reach around 25 million tons of CO2 a year by 2035.


Below are analyses regarding the carbon offset process, its purpose, the types of projects used in the offset process, and data relating to Royal Dutch Shell’s carbon offset plans.

What are Carbon Offsets and their Purpose/Ultimate Goal?

Carbon Offset Process

Retiring an Offset

  • Retiring an offset means “the offset is claimed against an individual or organization's carbon footprint, and it has been taken out of circulation to ensure it can only be claimed once.”
  • Thus, retiring an offset simply means that the organization, government, or individual funding the offset is permanently removing the offsets from their designated registry.
  • Therefore, retiring the offset essentially involves taking the “carbon offset’s unique serial number out of market circulation” to make sure they are not resold.
  • In this regard, retiring an offset is a way through which businesses, individuals, the government, and organizations can “claim a particular offset’s emissions reduction as part of their carbon cutting plan or carbon neutral target.”
  • Overall, organizations, individuals, businesses, and governments are offsetting their carbon footprint in the atmosphere by funding projects that help reduce the equivalent of the GHGs emissions they have contributed to the atmosphere.

Types of Projects Used in the Offset Process

Royal Dutch Shell Offset Projects

Research Strategy

Extensive searches across business reports, nature reports, news, and sustainability reports helped uncover the responses above regarding the carbon offset process, its purpose/ultimate goal, the typical carbon offset process, the types of projects used in the offset process, and data relating to Royal Dutch Shell’s offset projects and ambitions. The findings include graphical illustrations of the typical carbon offset process.

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