Amazon launches a carbon credit service, enabling credits

Available through the Sustainability Exchange, this service will offer science-based carbon credits to suppliers, business customers, and Climate Pledge signatories.

As we continue on our path to reach net-zero carbon emissions by 2040, we remain committed to reducing and eliminating emissions across our global business by implementing real, science-based operational changes—transitioning to carbon-free energy, increasing efficiency in our data centers, electrifying our delivery fleet, and decarbonizing our complex real estate portfolio, just to name a few.

As climate science recommends, we’re also investing in initiatives that have impact outside of our own business operations in order to scale carbon removal, and channel private sector funding to critical nature projects that will help Amazon and other companies achieve their sustainability goals. That’s one of many reasons why we’re expanding our Sustainability Exchange resource hub, and beginning today, offering Amazon value chain partners in the U.S. access to invest in nature-based projects and carbon removal technologies through high-integrity science-based carbon credits.

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Scaling beyond decarbonization

Research from the United Nations Intergovernmental Panel on Climate Change (IPCC) tells us that we must also reduce deforestation, restore forest systems, and remove a staggering 1 trillion tons of existing carbon emissions from the atmosphere by the end of this century. High-quality carbon credits are an important tool to help achieve this. They finance actions that avoid or reduce greenhouse gas emissions, support social and economic development in communities, and provide a mechanism to measure and verify the climate impact of projects that are critical to our planet. However, the process of securing high-quality credits is complex, with companies often lacking access to credits, or seeking assurance that the underlying projects will deliver meaningful climate benefits.

Offering access to high-quality carbon credits

We know that no organization can reach its net-zero carbon commitments alone, which is why in 2024, we launched the Sustainability Exchange to drive collaboration and amplify the best decarbonization solutions for companies of all sizes. The Exchange offers resources, playbooks, and learnings for companies to engage on best practices. With today’s expansion to include carbon credits, qualified companies can scale their sustainability action in new ways, and complement their existing and ongoing decarbonization efforts. Credits offered will only be available to companies that have set a net-zero carbon emissions target covering Scope 1 (direct emissions and operations), Scope 2 (indirect emissions from purchased electricity), and Scope 3 (indirect emissions from other sources); measure and publicly report greenhouse gas emissions on a regular basis; and commit to implementing decarbonization strategies in line with the latest climate science.

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“The voluntary carbon market has been challenged with issues of transparency, credibility, and the availability of high-quality carbon credits, which has led to skepticism about nature and technological carbon removal as an effective tool to combat climate change,” said Kara Hurst, chief sustainability officer at Amazon. “However, the science is clear: We must halt and reverse deforestation and restore millions of miles of forests to slow the worst effects of climate change. We’re using our size and high vetting standards to help promote additional investments in nature, and we are excited to share this new opportunity with companies who are also committed to the difficult work of decarbonizing their operations.”

“Deforestation drives 30% of global emissions—if we don’t end and reverse it, we won’t get a handle on climate change,” said Dr. M. Sanjayan, CEO of Conservation International. “The game-changer? Major private sector players like Amazon stepping up to recognize that protecting nature is an economic necessity, not just an environmental one.”

Companies that are already participating in the service include Climate Pledge signatory Flickr; real estate advisory and development services organization Seneca Group; commercial real estate construction, design, and development company Ryan Companies; consumer electronics company Corsair; manufacturer and supplier of office furniture, solutions, and services Steelcase; and business technology consulting company Slalom.

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“Sourcing high-quality credits is a must for us, and with a trusted partner like Amazon by our side, we’re excited and confident that our move into the voluntary carbon market will truly make a difference where it matters most,” Kristine Rohls, chief people officer of Slalom.

“At Flickr and SmugMug, we invest in a number of nature-based solutions for impact beyond just carbon, but they often lack credibility. Amazon’s expertise and scientific rigor means our team can meet our climate goals with confidence,” said Ben MacAskill, chief operating officer and president of Flickr.

“Our planet can’t wait. The need for bold corporate climate action has never been more urgent. Cutting emissions and protecting nature are both critical,” said Fred Krupp, president of the Environmental Defense Fund. “Amazon’s carbon credit service shows how companies can take meaningful action with speed and scale.”

No single organization can solve the climate crisis alone. It will take a united, collaborative effort and relentless innovation to develop the solutions needed to address climate change. As we work toward decarbonizing Amazon’s business to reach net-zero carbon, we will also continue to empower and support suppliers and business partners to meet their own climate goals. By coming together in a spirit of collaboration and bold commitment, we can help protect the environment for generations to come.

NOTE – This article was originally published in aboutamazon and can be viewed here