Wednesday, January 9, 2008

FTC Takes On Carbon Offsets

Are you getting enough bang for your buck when you buy carbon offsets? The United States Federal Trade Commission is exploring that very thing in a series of hearings on green marketing, according to the New York Times story excerpted below:
Corporations and shoppers in the United States spent more than $54 million last year on carbon offset credits toward tree planting, wind farms, solar plants and other projects to balance the emissions created by, say, using a laptop computer or flying on a jet.
But where exactly is that money going?
The Federal Trade Commission, which regulates advertising claims, raised the question Tuesday in its first hearing in a series on green marketing, this one focusing on carbon offsets. As more companies use offset programs to create an environmental halo over their products, the commission said it was growing increasingly concerned that some green marketing assertions were not substantiated. Environmentalists have a word for such misleading advertising: “greenwashing.”
With the rapid growth of green programs like carbon offsets, “there’s a heightened potential for deception,” said Deborah Platt Majoras, chairwoman of the commission.
The F.T.C. has not updated its environmental advertising guidelines, known as the Green Guides, since 1998. Back then, the agency did not create definitions for phrases that are common now — like renewable energy, carbon offsets and sustainability.
For now, it is soliciting comments on how to update its guidelines and is gathering information about how carbon-offset programs work.
Consumers seem to be confronted with green-sounding offers at every turn.
Volkswagen told buyers last year that it would offset their first year of driving by planting in what it called the VW Forest in the lower Mississippi alluvial valley (the price starts at $18).
Dell lets visitors to its site fill their shopping carts with carbon offsets for their printers, computer monitors and even for themselves (the last at a cost of $99 a year).
Continental Airlines lets travelers track the carbon impact of their itineraries.
General Electric and Bank of America will translate credit card rewards points into offsets.
Most suppliers of carbon offsets say that the cost of planting a tree is roughly $5, and the tree must live for at least 100 years to fully compensate for the emissions in question. By comparison, an offset sold by Dell for three years’ use of a notebook computer costs $2.

Interfaith Power and Light is a religious response to global warming with chapters in 25 states and Greater Washington, D.C. Find a link to your local chapter at discounts on energy saving products at

1 comment:

Russell said...

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- Russell