Carbon Neutral vs Net Zero
Carbon neutral usually means balancing measured emissions with an equivalent volume of carbon credits. Net zero means cutting emissions deeply in line with climate science first, then neutralising only the small remaining residual with durable carbon removal.
Why the difference between carbon neutral and net zero matters for carbon credit buyers
The two claims sound interchangeable and are treated very differently by standards, regulators, and customers. A carbon neutral claim can in principle be met with avoidance credits and without reducing a company own emissions, which is why advertising regulators in several markets have challenged how such claims are worded, and why consumer protection rules in the EU and elsewhere are tightening what generic carbon neutral product claims can say when they rest on offsetting. Net zero, as defined by the SBTi and comparable frameworks, requires deep absolute reductions across scopes 1, 2 and 3 before any credits are applied, and favours removals with long durability for the remainder. Deciding which claim you are making should come before choosing credits, because it determines which project types are appropriate.