CARBON CREDIT ADVISORY

Credits cover what you cannot yet cut.

Carbon credits are a tool for residual emissions after a genuine reduction effort, not a substitute for one. We advise on sourcing and structuring them within that discipline.

Who this service is for

Companies considering credits for residual emissions

Assess whether credits have a valid role after reduction efforts, and define appropriate claim boundaries.

Project owners exploring India CCTS eligibility

Review project pathways, eligibility questions, and evidence requirements under the India CCTS where relevant.

Buyers conducting credit due diligence

Evaluate project, registry, and documentation information before making a credit-related decision.

Leadership teams reviewing climate claims and risk

Set clear governance around climate claims, residual emissions, and reputational risk.

Where credits fit, and where they do not

Buying credits before reducing emissions is the fastest route to a greenwashing accusation, and increasingly to a regulatory or buyer-side rejection of the claim. Credits make sense for the emissions that remain after realistic operational and technological reduction, hard-to-abate process emissions, for instance, not as a way to avoid making those changes.

We only advise on credit strategy alongside, or after, a reduction pathway is in place. If a company's inventory and reduction plan are not built yet, that comes first.

A four-stage sequence diagram, drawn on one shared scale. Stage one, Measure: build the verified inventory. Its bar spans the full one hundred per cent of the footprint, because measuring attributes emissions but removes none. Stage two, Reduce: named levers against named streams, equipment optimisation cuts Scope 1 by fifty-five per cent, renewable power cuts Scope 2 by ninety per cent, supplier engagement cuts Scope 3 by twelve per cent and value chain transformation cuts it by a further fourteen per cent. This is the only stage that removes a tonne, and it leaves sixty-four point nine per cent of the baseline. Stage three, Residual: that same sixty-four point nine per cent, what real reduction cannot yet reach, process emissions, high-temperature heat, freight outside your control. Stage four, Offset: credible credits, retired against the residual only. It is drawn nested inside the residual stage rather than as a fourth equal option, and it is by far the smallest element in the diagram, because credits are sized to the residual and to nothing else. The order is load-bearing: offsetting before measuring and reducing buys a claim rather than a reduction, and it is the greenwashing failure mode this practice argues against. Percentages illustrative of a typical manufacturing profile, not Prakrti client data.

ORDER OF OPERATIONS

Measure, reduce, then price what is genuinely left.

Four stages on one scale. The sequence is the argument, each stage is only valid on the output of the one before it.

BAR LENGTH = SHARE OF THE MEASURED BASELINE · ALL FOUR STAGES ON ONE SCALE

01MEASUREBUILD THE INVENTORY100% ACCOUNTED
Metered fuel, purchased power, supplier invoices and freight, attributed to Scope 1, 2 and 3. Measuring removes nothing, it tells you which tonnes are yours and where they sit.
02REDUCENAMED LEVERS, NAMED STREAMS64.9% REMAINS
Energy efficiency on Scope 1, renewable power on Scope 2, supplier engagement and process change on Scope 3. This is the only stage that removes a tonne. Every cut traces to a line in the inventory.
- −55%EQUIPMENT OPTIMISATIONON SCOPE 1
- −90%RENEWABLE POWERON SCOPE 2
- −12%SUPPLIER ENGAGEMENTON SCOPE 3
- −14%VALUE CHAIN TRANSFORMATIONON SCOPE 3
03RESIDUALWHAT REDUCTION CANNOT YET REACH64.9% OF BASELINE
Process emissions, high-temperature heat, freight you do not control. Real, measured, and still there after the levers are pulled. This is the only quantity an offset may be sized against.
APPLIED TO THE RESIDUAL ONLY
04OFFSETCREDIBLE, RETIRED CREDITS≤ 64.9% OF BASELINE
Credits sized to the residual and retired against it. A credit is a purchase, not a reduction, it is the last line of the sequence, never the first.

THE ORDER IS NOT INTERCHANGEABLE

Offsetting before measuring and reducing buys a claim rather than a reduction. Without an inventory there is no residual to size credits against, and without reduction the number being offset only grows. That sequence is the greenwashing failure mode, it is not this pathway.

Percentages illustrative of a typical manufacturing profile, not Prakrti client data.

What credit quality means in practice

Credits differ by mechanism, methodology, project type, vintage, monitoring quality, additionality, permanence, leakage, and controls against double counting. These characteristics affect both environmental integrity and whether a proposed claim is supportable. A registry entry is an important check, but it is not a substitute for reviewing the underlying project documents and intended use.

What we advise on

Credit strategy sized to your actual residual emissions, registry and project type selection matched to your sector and risk appetite, and due diligence on specific credit opportunities before purchase. We do not issue, verify, or register credits, that is the function of the registries and their accredited verifiers.

What you receive

Clear outputs your team can use

01Use-case and claims assessment
02Residual-emissions context review
03Project or credit screening criteria
04Registry and documentation due-diligence checklist
05India CCTS pathway review where relevant
06Decision memo with risks and open questions

How the engagement works

A practical, evidence-led process

01
Define the purpose
Clarify the inventory, reduction pathway, intended claim, jurisdiction, quantity, and decision maker.
02
Screen the route
Assess whether a voluntary credit, CCTS mechanism, or no-credit approach best fits the stated purpose.
03
Review evidence
Examine methodology, validation and verification records, registry status, vintage, additionality, permanence, and double-counting controls as applicable.
04
Document the decision
Record limitations, claim boundaries, approvals, and monitoring actions; transact only through appropriately authorised counterparties.

Prepare for what is next

India's carbon market is moving from framework to implementation

The CCTS establishes compliance and offset mechanisms, with BEE publishing procedures, methodologies, sector material, and implementation updates. Eligibility and issuance depend on current notified rules and approved methods; companies should prepare evidence without assuming that every reduction activity will generate tradable certificates.

Standards and frameworks

Work grounded in recognised guidance

India Carbon Credit Trading Scheme, 2023, as amended
BEE CCTS compliance and offset procedures
Applicable registry methodology and claims rules

Questions businesses ask

Frequently asked questions

Should we buy carbon credits before reducing our own emissions?

No. Credible practice is to reduce emissions directly wherever feasible first, and use credits only for the residual emissions that cannot yet be eliminated. Buying credits ahead of reduction effort is a common trigger for greenwashing criticism and is increasingly scrutinised by buyers and regulators.

What is the difference between Verra and Gold Standard?

Verra (Verified Carbon Standard) and Gold Standard are both carbon credit registries that certify emissions reduction or removal projects, with different methodologies, project type coverage, and co-benefit requirements. Credit quality and pricing vary by registry, project type, and vintage rather than by registry brand alone.

Does Prakrti sell carbon credits?

No. Prakrti advises on credit strategy, quality assessment, and sourcing, but does not issue, sell, or verify carbon credits. Purchase and verification happen through the relevant registry and its accredited project developers and verifiers.

Can carbon credits help with CBAM compliance?

No. CBAM requires certificates tied to the actual embedded emissions of imported goods, purchased through the EU's own CBAM system. Voluntary carbon credits do not substitute for CBAM certificates or reduce a declared shipment's embedded emissions figure.

Next step

Get a credit strategy sized to your actual residual emissions

This starts after, or alongside, a reduction plan, not instead of one. Tell us where your inventory and reduction planning currently stand.

Discuss carbon credit strategy