PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1438120
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1438120
Carbon Offset/Carbon Credit Market Forecasts to 2030 - Global Analysis By Type (Voluntary Market and Compliance Market), Project Type, End User and By Geography
According to Stratistics MRC, the Global Carbon Offset/Carbon Credit Market is accounted for $414.8 billion in 2023 and is expected to reach $3053.5 billion by 2030 growing at a CAGR of 33.0% during the forecast period. A carbon offset is a reduction in greenhouse gas (GHG) emissions, or the removal of GHGs from the atmosphere, to compensate for emissions produced elsewhere. A carbon credit is a permit or certificate that represents the right to emit a specific amount of greenhouse gases. Each credit typically corresponds to one ton of CO2e. These offsets are typically generated through projects that reduce or capture emissions, such as renewable energy projects, afforestation, or methane capture.
According to the World Bank, carbon prices have risen sharply in the past year, and this is mostly due to the increased demand as decarbonization efforts accelerate. The rapid increase in the value of offsets reflects both the rising prices and the rising demand from corporate buyers leading to higher transacted offset volumes.
Market Dynamics:
Driver:
Increasing sustainability goals and commit to reducing their carbon footprint
Companies, striving to meet ambitious environmental targets, actively participate in carbon markets to offset unavoidable emissions. This heightened demand stimulates investment in diverse projects, ranging from renewable energy initiatives to conservation efforts. As a result, the carbon offset/credit market expands, offering a crucial mechanism for achieving corporate sustainability objectives and fostering a transition to a low-carbon economy.
Restraint:
Volatile carbon credit prices
Rapid fluctuations can disrupt businesses' ability to plan and budget for emission reduction strategies, discouraging long-term investments, may also create hesitancy among potential investors and project developers, impacting the market's overall stability. Additionally, unpredictable pricing may affect the credibility of carbon credits as a reliable tool for achieving emissions reduction targets hamper the market growth.
Opportunity:
Stringent climate policies and regulations
Governments globally imposing emission reduction targets create a robust demand for carbon credits as businesses seek compliance. This regulatory environment incentivizes companies to invest in emission reduction projects and purchase credits to offset unavoidable emissions. The market responds by expanding its scope, fostering innovation in sustainable practices, and driving the transition to a low-carbon economy. Overall, stringent climate policies serve as a catalyst for the growth and effectiveness of the carbon offset/credit market
Threat:
Limited public awareness and understanding of the carbon offset
The lack of awareness hampers voluntary participation from individuals and businesses in offsetting their carbon footprints. This insufficient understanding may result in lower demand for carbon credits, limiting their market impact. To address this, educational initiatives and outreach campaigns are crucial to enhance public awareness, clarify the benefits of carbon offset projects, and encourage broader adoption.
Covid-19 Impact
The pandemic has disrupted supply chains across various industries, including those related to renewable energy projects and carbon offset initiatives. Moreover, the pandemic may have shifted government priorities away from environmental issues temporarily, impacting policy and regulatory frameworks for carbon markets. However, some governments might have used the opportunity to integrate sustainability measures into their recovery plans encourage in the market growth.
The removal/sequestration projects segment is expected to be the largest during the forecast period
The removal/sequestration projects segment is estimated to have a lucrative growth, due to consumer awareness and demand for eco-friendly options could drive market competition, encouraging innovation in materials and manufacturing processes. Overall, aligning camping cooler products with carbon removal initiatives aligns with global environmental goals, fostering a positive brand image and meeting the increasing consumer preference for eco-conscious products.
The energy & power segment is expected to have the highest CAGR during the forecast period
The energy & power segment is anticipated to witness the highest CAGR growth during the forecast period, as cooler innovations often leverage energy-efficient technologies for cooling mechanisms, impacting performance and portability. Efficient energy usage enhances cooler effectiveness, especially in off-grid camping scenarios. Additionally, the power source also affects product costs, prompting manufacturers to balance performance and energy efficiency to cater to a diverse market seeking reliable, convenient, and environmentally conscious camping cooling solutions.
Region with largest share:
Asia Pacific is projected to hold the largest market share during the forecast period owing to the demand for carbon offsets and credits can be influenced by the growth of renewable energy projects in the region. Investments in solar, wind, and other clean energy sources may contribute to both reduced emissions and the generation of carbon credits. Additionally, the engagement of industries and businesses in carbon reduction initiatives is a significant driver. Companies may voluntarily participate in carbon offset projects or trading schemes to demonstrate environmental responsibility and meet sustainability goals.
Region with highest CAGR:
North America is projected to have the highest CAGR over the forecast period, owing to growing interest in carbon offsetting and carbon credits in North America, driven by increasing awareness of climate change and sustainability. Companies and individuals have been exploring ways to reduce their carbon footprint and participate in carbon markets which are driving the growth of the market.
Key players in the market
Some of the key players in the Carbon Offset/Carbon Credit Market include 3Degrees, Finite Carbon, EKI Energy Services Ltd., WGL Holdings, Inc., NativeEnergy, South Pole Group, Carbon Care Asia Limited, Natureoffice GmbH, Carbon Credit Capital Enking International, Cool Effect, Inc., TEM (Tasman Environmental Markets), Climate Impact Partners, Carbonfund, Green Mountain Energy, ForestCarbon, Bluesource LLC, Moss.Earth and Terrapass
Key Developments:
In October 2023, Solidia technologies to partner with 3degrees to issue high-integrity carbon credits, the resulting credits, which include carbon removal, will be purchased by organizations to reduce their scope 3 emissions from cement and concrete or to compensate for other greenhouse gas emissions.
In April 2023, LandYield and Finite Carbon Join Forces to Expand Landowner Access to Voluntary Carbon Market. Participating landowners also help maintain recreational values, protect water resources, and improve habitat quality on enrolled lands.
In March 2023, Sweep and 3Degrees Partner to Launch Groundbreaking Carbon Measurement and Reduction Solution. The two certified B Corporations will team up to provide a seamless experience for organizations looking to measure and take action on their operational and value chain emissions.
Types Covered:
- Voluntary Market
- Compliance Market
Project Types Covered:
- Removal/Sequestration Projects
- Avoidance/Reduction Projects
End Users Covered:
- Energy & Power
- Aviation
- Industrial
- Buildings
- Transportation
- Other End Users
Regions Covered:
- North America
- US
- Canada
- Mexico
- Europe
- Germany
- UK
- Italy
- France
- Spain
- Rest of Europe
- Asia Pacific
- Japan
- China
- India
- Australia
- New Zealand
- South Korea
- Rest of Asia Pacific
- South America
- Argentina
- Brazil
- Chile
- Rest of South America
- Middle East & Africa
- Saudi Arabia
- UAE
- Qatar
- South Africa
- Rest of Middle East & Africa
What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements
Free Customization Offerings:
All the customers of this report will be entitled to receive one of the following free customization options:
- Company Profiling
- Comprehensive profiling of additional market players (up to 3)
- SWOT Analysis of key players (up to 3)
- Regional Segmentation
- Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
- Competitive Benchmarking
- Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances
Table of Contents
1 Executive Summary
2 Preface
- 2.1 Abstract
- 2.2 Stake Holders
- 2.3 Research Scope
- 2.4 Research Methodology
- 2.4.1 Data Mining
- 2.4.2 Data Analysis
- 2.4.3 Data Validation
- 2.4.4 Research Approach
- 2.5 Research Sources
- 2.5.1 Primary Research Sources
- 2.5.2 Secondary Research Sources
- 2.5.3 Assumptions
3 Market Trend Analysis
- 3.1 Introduction
- 3.2 Drivers
- 3.3 Restraints
- 3.4 Opportunities
- 3.5 Threats
- 3.6 End User Analysis
- 3.7 Emerging Markets
- 3.8 Impact of Covid-19
4 Porters Five Force Analysis
- 4.1 Bargaining power of suppliers
- 4.2 Bargaining power of buyers
- 4.3 Threat of substitutes
- 4.4 Threat of new entrants
- 4.5 Competitive rivalry
5 Global Carbon Offset/Carbon Credit Market, By Type
- 5.1 Introduction
- 5.2 Voluntary Market
- 5.3 Compliance Market
6 Global Carbon Offset/Carbon Credit Market, By Project Type
- 6.1 Introduction
- 6.2 Removal/Sequestration Projects
- 6.3 Avoidance/Reduction Projects
7 Global Carbon Offset/Carbon Credit Market, By End User
- 7.1 Introduction
- 7.2 Energy & Power
- 7.3 Aviation
- 7.4 Industrial
- 7.5 Buildings
- 7.6 Transportation
- 7.7 Other End Users
8 Global Carbon Offset/Carbon Credit Market, By Geography
- 8.1 Introduction
- 8.2 North America
- 8.2.1 US
- 8.2.2 Canada
- 8.2.3 Mexico
- 8.3 Europe
- 8.3.1 Germany
- 8.3.2 UK
- 8.3.3 Italy
- 8.3.4 France
- 8.3.5 Spain
- 8.3.6 Rest of Europe
- 8.4 Asia Pacific
- 8.4.1 Japan
- 8.4.2 China
- 8.4.3 India
- 8.4.4 Australia
- 8.4.5 New Zealand
- 8.4.6 South Korea
- 8.4.7 Rest of Asia Pacific
- 8.5 South America
- 8.5.1 Argentina
- 8.5.2 Brazil
- 8.5.3 Chile
- 8.5.4 Rest of South America
- 8.6 Middle East & Africa
- 8.6.1 Saudi Arabia
- 8.6.2 UAE
- 8.6.3 Qatar
- 8.6.4 South Africa
- 8.6.5 Rest of Middle East & Africa
9 Key Developments
- 9.1 Agreements, Partnerships, Collaborations and Joint Ventures
- 9.2 Acquisitions & Mergers
- 9.3 New Product Launch
- 9.4 Expansions
- 9.5 Other Key Strategies
10 Company Profiling
- 10.1 3Degrees
- 10.2 Finite Carbon
- 10.3 EKI Energy Services Ltd.
- 10.4 WGL Holdings, Inc.
- 10.5 NativeEnergy
- 10.6 South Pole Group
- 10.7 Carbon Care Asia Limited
- 10.8 Natureoffice GmbH
- 10.9 Carbon Credit Capital
- 10.10 Enking International
- 10.11 Cool Effect, Inc.
- 10.12 TEM (Tasman Environmental Markets)
- 10.13 Climate Impact Partners
- 10.14 Carbonfund
- 10.15 Green Mountain Energy
- 10.16 ForestCarbon
- 10.17 Bluesource LLC
- 10.18 Moss.Earth
- 10.19 Terrapass
List of Tables
- Table 1 Global Carbon Offset/Carbon Credit Market Outlook, By Region (2021-2030) ($MN)
- Table 2 Global Carbon Offset/Carbon Credit Market Outlook, By Type (2021-2030) ($MN)
- Table 3 Global Carbon Offset/Carbon Credit Market Outlook, By Voluntary Market (2021-2030) ($MN)
- Table 4 Global Carbon Offset/Carbon Credit Market Outlook, By Compliance Market (2021-2030) ($MN)
- Table 5 Global Carbon Offset/Carbon Credit Market Outlook, By Project Type (2021-2030) ($MN)
- Table 6 Global Carbon Offset/Carbon Credit Market Outlook, By Removal/Sequestration Projects (2021-2030) ($MN)
- Table 7 Global Carbon Offset/Carbon Credit Market Outlook, By Avoidance/Reduction Projects (2021-2030) ($MN)
- Table 8 Global Carbon Offset/Carbon Credit Market Outlook, By End User (2021-2030) ($MN)
- Table 9 Global Carbon Offset/Carbon Credit Market Outlook, By Energy & Power (2021-2030) ($MN)
- Table 10 Global Carbon Offset/Carbon Credit Market Outlook, By Aviation (2021-2030) ($MN)
- Table 11 Global Carbon Offset/Carbon Credit Market Outlook, By Industrial (2021-2030) ($MN)
- Table 12 Global Carbon Offset/Carbon Credit Market Outlook, By Buildings (2021-2030) ($MN)
- Table 13 Global Carbon Offset/Carbon Credit Market Outlook, By Transportation (2021-2030) ($MN)
- Table 14 Global Carbon Offset/Carbon Credit Market Outlook, By Other End Users (2021-2030) ($MN)
- Table 15 North America Carbon Offset/Carbon Credit Market Outlook, By Country (2021-2030) ($MN)
- Table 16 North America Carbon Offset/Carbon Credit Market Outlook, By Type (2021-2030) ($MN)
- Table 17 North America Carbon Offset/Carbon Credit Market Outlook, By Voluntary Market (2021-2030) ($MN)
- Table 18 North America Carbon Offset/Carbon Credit Market Outlook, By Compliance Market (2021-2030) ($MN)
- Table 19 North America Carbon Offset/Carbon Credit Market Outlook, By Project Type (2021-2030) ($MN)
- Table 20 North America Carbon Offset/Carbon Credit Market Outlook, By Removal/Sequestration Projects (2021-2030) ($MN)
- Table 21 North America Carbon Offset/Carbon Credit Market Outlook, By Avoidance/Reduction Projects (2021-2030) ($MN)
- Table 22 North America Carbon Offset/Carbon Credit Market Outlook, By End User (2021-2030) ($MN)
- Table 23 North America Carbon Offset/Carbon Credit Market Outlook, By Energy & Power (2021-2030) ($MN)
- Table 24 North America Carbon Offset/Carbon Credit Market Outlook, By Aviation (2021-2030) ($MN)
- Table 25 North America Carbon Offset/Carbon Credit Market Outlook, By Industrial (2021-2030) ($MN)
- Table 26 North America Carbon Offset/Carbon Credit Market Outlook, By Buildings (2021-2030) ($MN)
- Table 27 North America Carbon Offset/Carbon Credit Market Outlook, By Transportation (2021-2030) ($MN)
- Table 28 North America Carbon Offset/Carbon Credit Market Outlook, By Other End Users (2021-2030) ($MN)
- Table 29 Europe Carbon Offset/Carbon Credit Market Outlook, By Country (2021-2030) ($MN)
- Table 30 Europe Carbon Offset/Carbon Credit Market Outlook, By Type (2021-2030) ($MN)
- Table 31 Europe Carbon Offset/Carbon Credit Market Outlook, By Voluntary Market (2021-2030) ($MN)
- Table 32 Europe Carbon Offset/Carbon Credit Market Outlook, By Compliance Market (2021-2030) ($MN)
- Table 33 Europe Carbon Offset/Carbon Credit Market Outlook, By Project Type (2021-2030) ($MN)
- Table 34 Europe Carbon Offset/Carbon Credit Market Outlook, By Removal/Sequestration Projects (2021-2030) ($MN)
- Table 35 Europe Carbon Offset/Carbon Credit Market Outlook, By Avoidance/Reduction Projects (2021-2030) ($MN)
- Table 36 Europe Carbon Offset/Carbon Credit Market Outlook, By End User (2021-2030) ($MN)
- Table 37 Europe Carbon Offset/Carbon Credit Market Outlook, By Energy & Power (2021-2030) ($MN)
- Table 38 Europe Carbon Offset/Carbon Credit Market Outlook, By Aviation (2021-2030) ($MN)
- Table 39 Europe Carbon Offset/Carbon Credit Market Outlook, By Industrial (2021-2030) ($MN)
- Table 40 Europe Carbon Offset/Carbon Credit Market Outlook, By Buildings (2021-2030) ($MN)
- Table 41 Europe Carbon Offset/Carbon Credit Market Outlook, By Transportation (2021-2030) ($MN)
- Table 42 Europe Carbon Offset/Carbon Credit Market Outlook, By Other End Users (2021-2030) ($MN)
- Table 43 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Country (2021-2030) ($MN)
- Table 44 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Type (2021-2030) ($MN)
- Table 45 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Voluntary Market (2021-2030) ($MN)
- Table 46 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Compliance Market (2021-2030) ($MN)
- Table 47 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Project Type (2021-2030) ($MN)
- Table 48 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Removal/Sequestration Projects (2021-2030) ($MN)
- Table 49 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Avoidance/Reduction Projects (2021-2030) ($MN)
- Table 50 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By End User (2021-2030) ($MN)
- Table 51 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Energy & Power (2021-2030) ($MN)
- Table 52 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Aviation (2021-2030) ($MN)
- Table 53 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Industrial (2021-2030) ($MN)
- Table 54 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Buildings (2021-2030) ($MN)
- Table 55 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Transportation (2021-2030) ($MN)
- Table 56 Asia Pacific Carbon Offset/Carbon Credit Market Outlook, By Other End Users (2021-2030) ($MN)
- Table 57 South America Carbon Offset/Carbon Credit Market Outlook, By Country (2021-2030) ($MN)
- Table 58 South America Carbon Offset/Carbon Credit Market Outlook, By Type (2021-2030) ($MN)
- Table 59 South America Carbon Offset/Carbon Credit Market Outlook, By Voluntary Market (2021-2030) ($MN)
- Table 60 South America Carbon Offset/Carbon Credit Market Outlook, By Compliance Market (2021-2030) ($MN)
- Table 61 South America Carbon Offset/Carbon Credit Market Outlook, By Project Type (2021-2030) ($MN)
- Table 62 South America Carbon Offset/Carbon Credit Market Outlook, By Removal/Sequestration Projects (2021-2030) ($MN)
- Table 63 South America Carbon Offset/Carbon Credit Market Outlook, By Avoidance/Reduction Projects (2021-2030) ($MN)
- Table 64 South America Carbon Offset/Carbon Credit Market Outlook, By End User (2021-2030) ($MN)
- Table 65 South America Carbon Offset/Carbon Credit Market Outlook, By Energy & Power (2021-2030) ($MN)
- Table 66 South America Carbon Offset/Carbon Credit Market Outlook, By Aviation (2021-2030) ($MN)
- Table 67 South America Carbon Offset/Carbon Credit Market Outlook, By Industrial (2021-2030) ($MN)
- Table 68 South America Carbon Offset/Carbon Credit Market Outlook, By Buildings (2021-2030) ($MN)
- Table 69 South America Carbon Offset/Carbon Credit Market Outlook, By Transportation (2021-2030) ($MN)
- Table 70 South America Carbon Offset/Carbon Credit Market Outlook, By Other End Users (2021-2030) ($MN)
- Table 71 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Country (2021-2030) ($MN)
- Table 72 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Type (2021-2030) ($MN)
- Table 73 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Voluntary Market (2021-2030) ($MN)
- Table 74 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Compliance Market (2021-2030) ($MN)
- Table 75 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Project Type (2021-2030) ($MN)
- Table 76 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Removal/Sequestration Projects (2021-2030) ($MN)
- Table 77 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Avoidance/Reduction Projects (2021-2030) ($MN)
- Table 78 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By End User (2021-2030) ($MN)
- Table 79 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Energy & Power (2021-2030) ($MN)
- Table 80 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Aviation (2021-2030) ($MN)
- Table 81 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Industrial (2021-2030) ($MN)
- Table 82 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Buildings (2021-2030) ($MN)
- Table 83 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Transportation (2021-2030) ($MN)
- Table 84 Middle East & Africa Carbon Offset/Carbon Credit Market Outlook, By Other End Users (2021-2030) ($MN)
