Offsetting emissions at the Oeko-Institut

The Oeko-Institut offsets all greenhouse gas emissions from its operations, with retroactive effect to 2014, that can not be avoided in the first instance through energy efficiency or renewables use. To that end, its scientists calculate the external costs of the emissions, based on a carbon price which, according to longer-term climate change mitigation strategies, can facilitate the necessary transition to a low-carbon economy. The Oeko-Institut invests the resulting funds in Gold Standard-certified CDM projects which are coordinated by atmosfair and aim to achieve additional emissions reductions.

Greenhouse gas emissions at the Oeko-Institut

The Oeko-Institut’s operations at its three sites produce greenhouse gas emissions mainly from business travel (around 70 per cent) and the use of electricity, space heating, paper and the manufacture of IT equipment and servers. In 2014, this amounted to 561 tonnes of CO₂ equivalents, which were offset in full.

Most of its greenhouse gas emissions come from business travel. The Oeko-Institut is involved in several hundred projects every year, resulting in a large amount of train travel and, in the case of international projects, frequent flights. These business trips produced around 390 tonnes of CO₂ equivalents in 2014 alone.

Reducing the Oeko-Institut’s greenhouse gas emissions

The Oeko-Institut began to take the action necessary to reduce its climate footprint some years ago.

Business travel has been replaced as far as possible with conference calls and video conferencing (amounting to more than 1,000 conference calls in 2015). Almost all travel within Germany is undertaken by train. Car journeys and flights must be justified in expenses claims, with air travel now limited to international projects in almost all cases. The Oeko-Institut’s offices are located in buildings with low heating energy needs, and energy-efficient equipment and servers have been installed. At two of its three sites, the Oeko-Institut’s staff canteens only serve organic vegetarian food.

Offsetting aviation emissions

The Oeko-Institut began offsetting the emissions from its business-related flights in 2005. It was one of the first organisations in Germany to calculate the costs of unavoidable greenhouse gas emissions and to invest these funds in mitigation projects.

From 2005 to 2008, the Oeko-Institut opted to purchase carbon credits from mitigation projects that complied with the stringent Gold Standard criteria. This ensured that the Oeko-Institut’s offset payments were invested in high-quality mitigation projects which genuinely helped to protect the climate and supported sustainable development in the region concerned.

From 2009 to 2011, offsetting was based on EU Allowance Units (EUAs) purchased via the European Union Emissions Trading System (EU ETS), on the grounds that this would contribute to much-needed decarbonisation in developed countries in particular. As the EUA price was lower than the cost of a Gold Standard credit (€23/tonne of CO₂), the Oeko-Institut purchased as many EUAs as necessary to reach the equivalent value of Gold Standard projects. This generated additional offsets 40-50% above the Institute’s actual aviation emissions each year during this period.

Since 2012, the Oeko-Institut has reverted to Gold Standard mitigation projects – again via atmosfair – to offset its emissions.

The offset challenge now and in future

Offsetting greenhouse gas emissions through mitigation projects can often cause problems. For example, it is by no means certain that these projects genuinely offer additionality; in other words, that they result in further reductions over and above those already planned or achievable. In the case of forest projects, there is no guarantee that the emissions reductions will be sustainable and have any long-term effect.

Atmosfair, however, runs high-quality climate projects in least developed countries (LDCs) such as Nepal and Ethiopia. Gold Standard projects focus exclusively on renewables development, energy efficiency or composting while also improving living and working conditions. They thus make a major contribution to sustainable development.

The key principle guiding the Oeko-Institut’s offsets now and in future is that the use of funds, equivalent to the external climate costs of its operations, must support the transition to a sustainable, low-carbon society. The Oeko-Institut is also looking at other options to ensure that these resources promote a low-carbon economy in Germany and Europe.

The Oeko-Institut’s emissions and offsets: an overview

*Further greenhouse gas emissions for 2015 (and corresponding offsets) cannot be calculated until September 2016, once utility figures for space heating and electricity consumption costs are available.