The voluntary carbon market (VCM) is evolving rapidly as companies strive to meet ambitious sustainability goals while navigating a complex and shifting landscape. This was the focus of the recent webinar, How to Buy High-Quality Carbon Credits, moderated by Donna Lee, Co-Founder of Calyx Global. The panel featured insights from Michael Berends, CEO and Co-Founder of ClearBlue Markets; Louis Mark, Senior Manager of Sustainable Operations & ESG at Autodesk; and Troy Pilgreen, Senior Sustainability Associate at Dimensional Fund Advisors.
The panel explored strategies for purchasing high-quality carbon credits and ensuring meaningful climate action, emphasizing that companies should not let the pursuit of perfection hinder their efforts. As Berends put it, “Perfection shouldn’t stop us from doing good. The climate crisis is real, and we need action now. The market will never be perfect, but it’s getting better, and that’s what matters.”
The Swiss Army Knife Approach to Carbon Procurement
Donna Lee introduced a concept she referred to as the “Swiss Army knife approach” to carbon credit procurement. “Like a Swiss Army knife, companies should equip themselves with multiple tools and strategies to address the varying challenges of the VCM,” Lee explained. This includes working with brokers, marketplaces, and rating agencies while considering direct project investments or running RFPs. Each tool serves a specific purpose, and together they help companies build a robust and flexible carbon strategy.
Louis Mark shared how Autodesk has successfully implemented this multifaceted approach. “We’re a mid-sized buyer with limited resources, so leveraging external expertise is crucial. By working with trusted brokers and participating in buyer coalitions, we’ve built a diverse portfolio of credits that align with our sustainability goals,” Mark said. He highlighted the importance of balancing cost, quality, and co-benefits, particularly as Autodesk continues to invest in early-stage carbon removal technologies.
Focusing on Quality and Integrity
At the heart of the discussion was the issue of quality. Lee and Berends emphasized that not all carbon credits are created equal. Berends, a long-time advocate for transparency and accountability in the VCM, underscored the importance of ensuring that “a ton is a ton”—meaning that each credit represents a genuine, verifiable reduction or removal of CO2. “Quality is non-negotiable,” Berends said. “The goal should always be to deliver real climate impact, even if it means paying a premium or navigating more complex due diligence processes.”
Troy Pilgreen shared how Dimensional Fund Advisors refined its approach to ensure high-quality credit procurement. Initially relying on a traditional RFP process, the firm transitioned to a curated approach, working closely with independent rating agencies and brokers. “We needed a strategy that aligned with our values while simplifying the process,” Pilgreen explained. “Partnering with a broker who shared our commitment to quality allowed us to build a custom portfolio and ensure we’re making a real impact.”
Balancing Budget, Impact, and Market Dynamics
Budget constraints are a reality for many organizations, and the panelists acknowledged the challenge of balancing cost with the desire for high-quality credits. “Price doesn’t always equate to quality,” Berends cautioned. “Some projects come with compelling stories and co-benefits, which can drive up costs, but the core focus should remain on genuine CO2 reductions.”
Mark described Autodesk’s approach to navigating these trade-offs. “Every budget is finite, so we take a portfolio approach to diversify our impact. Some credits focus purely on CO2 reductions, while others bring additional social or environmental benefits,” he said. This strategy not only optimizes Autodesk’s climate impact but also supports broader sustainability goals.
Berends also highlighted the importance of maintaining a dynamic strategy in the face of a constantly changing market. “The VCM is not static. Prices, availability, and even the definition of quality can shift rapidly. Companies need to stay flexible and be prepared to adjust their strategies as the market evolves,” he advised.
Addressing Broader Risks and Building Trust
One of the more nuanced topics discussed was the non-carbon risks associated with some credits, particularly those from nature-based projects. Lee raised concerns about social and environmental risks that have garnered negative media attention. Mark emphasized the importance of working with partners who have a deep understanding of the projects and regions they operate in. “Stacking your due diligence is essential,” he said. “We rely on rating agencies and brokers with strong local ties to ensure the credits meet our standards.”
Berends reminded attendees that the VCM operates within a framework of checks and balances. “Registries, verifiers, and rating agencies provide layers of oversight. While due diligence is important, it’s equally vital to trust the system and the experts guiding you,” he said.
Why Companies Engage in the VCM
Lee posed a critical question to the panel: Why do companies purchase carbon credits? For Autodesk, Mark explained, offsets are a way to address residual emissions that cannot yet be eliminated through operational changes. “We recognize that the technology to fully decarbonize isn’t there yet, so offsets play a vital role. At the same time, we’re investing in solutions that will drive long-term climate impact,” he said.
Dimensional Fund Advisors takes a similar approach. “Reducing emissions is our primary focus, but for the emissions we can’t eliminate, high-quality offsets are a responsible way to neutralize our footprint,” Pilgreen said. Both panelists emphasized that engaging in the VCM is not just about meeting internal targets but also about contributing to the broader fight against climate change.
Encouraging Progress and Action
Lee closed the webinar with an inspiring message: “The market may be complex, but that’s no reason to delay action. Companies like Autodesk and Dimensional are showing that with the right tools and partners, it’s possible to navigate this complexity and drive meaningful change.”
Berends echoed this sentiment, urging companies to take pride in their efforts. “The work you’re doing is making a real difference. Whether it’s supporting innovative projects or contributing to global emissions reductions, every action counts. Let’s keep pushing forward.”