Commonwealth Bank (CBA) recently executed a carbon offset trade on behalf of superannuation-backed fund manager ISPT, surrendering 97,000 Australian Carbon Credit Units (ACCUs) in a transaction that sets ISPT on the path to be carbon positive by 2025. This is the first time CBA has surrendered ACCUs on behalf of a client.
One ACCU represents one metric tonne of carbon dioxide equivalent that is either stored or avoided by a project registered with the federal government’s Clean Energy Regulator. To offset their carbon footprint, institutions purchase ACCUs on the open market and then surrender them to the regulator.
ISPT has chosen carbon offsets to take immediate action on climate change as part of their broader carbon neutral pathway strategy for the second-year in a row, pending certification. The superannuation backed fund manager used ACCUs in 2020 to achieve carbon neutral certification for the base building operations of ISPT’s owned and operated properties and their corporate offices. Certification was provided by Climate Active, the Australian government’s carbon neutral certification scheme.