Memorandum from Carbolibrium Ltd

 

Carbolibrium is a private limited company engaged in activities related to voluntary carbon offsetting both in the UK and international markets.

Sir

We stand at the cusp of a revolution in personal responsibility for climate change. No longer are we prepared to accept the inexorable drift from disregard to denial to despair; instead we must all stand and commit to positive, personal and measurable actions today.

The ability of the private sector to drive innovation and efficiency is widely acknowledged and embraced by this, and previous governments. How then does the Environmental Audit Committee (EAC) propose to harness these positive aspects of private sector involvement within the voluntary carbon offset market, whilst managing the tendency towards excessive profiteering?

Whilst the involvement of the not-for-profit sector should present advantages in terms of altruistic management principles, it is often criticised for its unnecessary overhead burdens and lack-lustre strategic thinking. Does the EAC agree that organisational performance should be made more transparent to the public through the mandatory publishing of common metrics? If these were presented in a clear and understandable format, could this play a useful role for consumers to facilitate comparison between the offerings of public, private and not-for-profit organisations?

Finally, there is a worrying practice emerging within the UK voluntary carbon offset market of structuring carbon offsetting organisations as charities or non-shareholder private limited companies, whilst maintaining misleading, if not actually duplicitous, 'commission' arrangements with related legal entity vehicles. It is the author's inescapable conclusion that this can only be intended to hide the true financial incentives of such organisation's founders, directors or trustees. Does the EAC feel that this practice misleads the public, and if so how should this problem be tackled?

I trust the committee will not squander the opportunity for genuine affirmative action by allowing the unethical behaviour of the few to contribute towards a general climate of cynicism and distrust. This is particularly important in light of recent welcome, yet rigorous, media attention.

January 2007