Carbon market glossary
    Glossary term

    Insetting

    Funding emissions reductions or removals inside your own supply chain rather than buying credits from an unrelated project. The benefit is accounted for as a scope 3 reduction instead of as an offset.

    Why insetting matters for carbon credit buyers

    Insetting appeals to companies whose footprint sits in agriculture, forestry, or logistics, because the same spend can lower reported scope 3 emissions and strengthen supplier relationships at once. The accounting is stricter than it first appears: the intervention must sit inside the value chain, be evidenced with primary supplier data, and must not also be sold to someone else as a credit. Guidance from the GHG Protocol and the SBTi on value chain interventions is still developing, so treatment varies by sector and is worth confirming before committing budget. The practical test is whether the tonnes are being claimed as a reduction or as a credit, because they cannot legitimately be both.

    Put it into practice

    Compare carbon removal and avoidance projects side by side, with accreditations, vintages, and independent quality ratings.