The difference between “zero emissions” and “carbon neutrality” is that the former refers to activities with zero carbon emissions such as electricity generated from renewable energy while the latter focuses on the calculation of the total carbon emissions which can be offset by other green initiatives.

For instance, an oil company generates over 100 million tons of carbon during the refining process but the company can at the same time build a rainforest that absorbs 100 million tons of carbon dioxide, which can offset and neutralize the carbon emissions. It does not matter if the place of oil production is thousands of miles away from the rainforest. As long as the carbon offset amount is verified by certified experts and bodies, this refining process can be defined as carbon neutral. Moreover, if carbon footprint is low enough that carbon emission credits are still available after the carbon offset, that is, “negative carbon emissions”, the excessive carbon rights can be sold to companies that fail to meet the standards.

Learn more from the full article (in Chinese only) written by Kenny Siu, Senior Advisor of AEC Group, published on Sing Pao on 4 October.