How Effective Are Trees As A Medium Of Carbon Offsetting For Companies In India?

Carbon offsetting involves reducing the carbon footprint through increasing efficiency, or in the case of trees, storing carbon dioxide and releasing oxygen. 

Trees are essential for carbon offsetting, as they offer a cheap alternative and natural process to offset carbon emissions. The price of trees and the expertise present in introducing trees is significantly better than other forms of renewable energy or carbon capture. They tend to be less intrusive than solar panels or wind turbines and tend to be cheaper. Therefore, it is logical that in unused patches of the countryside, trees should be planted or maintained to prevent more CO2 from being released. This is especially possible in India as land and labour both tend to be cheap, with many places such as Odisha where large amounts of wetlands, and therefore, shrubbery already exist.

However, there is an incentive for firms to do this as well:

International Reputation: 

Firms can use their participation in tree-planting initiatives as a differentiator in their advertising campaigns. By showcasing its initiatives to plant trees in order to offset carbon emissions, the business not only draws in eco-aware clients but also differentiates itself from rivals. This increases demand for its products from consumers who are increasingly becoming aware and thoughtful about the environmental impact of their purchases. This also can increase brand loyalty and improve public perception.

 Corporate Social Responsibility (CSR):

 Planting trees and offsetting carbon emissions are in line with CSR goals and show individual firms' dedication to minimizing their environmental impact and giving back to the community. Employee engagement and morale can be raised by taking part in such initiatives, as it makes workers feel proud to work for a company that values social responsibility. This can increase their productivity, if they feel that they are doing something that is of use to society. This is especially important to younger people in India who have larger passions for environmental protectionism.

Collaborations and Partnerships: 

Encouraging tree-planting campaigns can help establish alliances with governmental bodies, corporations, and environmental groups. Along with this, actively seeking more environmentally friendly business practices leads to increased subsidies from governments, which can help raise funds for machinery to increase productivity. This is something the Indian government is increasingly likely to do as time passes, which can be seen with recent legislation passed such as the Krishi Vaniki Yojana scheme that allows farmers to have 60 Rs per plant maintained. In addition to increasing the effectiveness of carbon offset initiatives, working together on massive tree-planting projects creates opportunities for resource pooling and knowledge sharing that would allow individual companies to thrive and gain new avenues for income or improve existing ones. However, this is currently under threat in India, where deforestation rates have increased from 384000 between 1990 to 2000, to 668400 hectares between 2015 to 2020, according to world data. We in April feel deeply passionate about this and have decided to try our best to turn the tide on deforestation in India and similar nations to better the future.