Carbon Planet: A Transparent Carbon Offsetter?


At our back-of-house email meetings TreeHugger's writers have been debating the merits of various carbon offset schemes. One of the reoccurring themes to surface was that of transparency, of where the money was going. Particularly as most such offset companies seem a little coy about this aspect. So it came as a bit of a surprise when digging around Carbon Planet's website to learn they were remarkably very frank on this point. "People sometimes question Carbon Planet's margin (which is currently running at thirty percent). Why, they ask, should they purchase carbon credits when Carbon Planet is taking 'so much'." They go on to say, "We choose to publish where the money you pay goes because we are committed to transparency and because we want to allay fears of new potential customers that the wholesale price of carbon credits is vastly less (e.g. 1%) than our retail price. However, we do not expect to be criticised for margins of the order of thirty percent. First, the thirty percent is a gross margin, not a profit margin. From that thirty percent we must run Carbon Planet — sales, marketing, web site, supply, the lot, and at this stage the profit is very much smaller than thirty percent." Elsewhere on the site they even go to the trouble of telling you who they bank with, and which brand of computer they use. Much more on their business model can be found at . ::Carbon Planet' Philosophy FAQ.

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