Carbon credits are an important instrument of corporate climate strategy. They finance high-quality projects that reduce and remove greenhouse gases. From 27 September 2026, the EmpCo Directive sets rules for how offsetting is communicated.
The instrument stays valuable. What is new is the standard of transparency. This article shows what companies should keep in mind when communicating their carbon credits.
- Carbon credits remain a legitimate and important instrument of climate strategy.
- EmpCo sets rules for the communication of offsetting.
- Generic climate neutrality based solely on offsetting is no longer allowed.
- Companies reduce their emissions and offset the unavoidable ones.
- The share of reduction and offsetting must be transparently recognisable.
Carbon credits remain important
Carbon credits finance projects that avoid emissions or remove them from the atmosphere. They are a central building block for taking responsibility for unavoidable emissions. EmpCo does not call this instrument into question. The directive makes sure that the communication about it is clear and reliable.
What changes in communication
A generic climate-neutrality claim that rests solely on offsetting becomes impermissible. What matters is transparency. Companies reduce their emissions and offset the unavoidable ones. Consumers must be able to recognise which share comes from reduction and which from offsetting.
| Point | What to keep in mind |
|---|---|
| Transparency | make clear that this is a compensation measure |
| Separation | show your own reduction and offsetting separately |
| Specificity | name the project, the volume and the contribution concretely |
| Quality | use high-quality, verifiable projects |
| Evidence | back statements with data from the CO2 footprint |
What this means for your communication
EmpCo applies regardless of company size. It follows what is on the packaging, the website or in a post. Companies that keep reduction and offsetting clearly separate and back them with data communicate credibly and in a legally sound way at once.
Focus on the quality of the credits
The basis of any claim is the quality of the underlying projects. High-quality carbon credits are marked by additionality, lasting effect and independent verification against recognised standards. Double counting is ruled out. Companies that watch these criteria lower the risk of criticism and strengthen the force of their own communication.
Documentation as evidence
Every environmental claim should be verifiable. Traceable documentation covers the methodology of the CO2 footprint, the reductions achieved and the details of the funded projects. That lets a claim hold up when it matters, whether towards customers, authorities or competitors.
Why it pays off
Clear rules build trust in the carbon credit market. Companies that disclose reduction and offsetting transparently make their engagement traceable. A requirement thus becomes an advantage in communication.
How we support
This is exactly where we support companies. As a carbon asset manager we support you from the CO2 footprint to the selection of high-quality carbon credits, to transparent, EmpCo-compliant communication.
Frequently asked questions
Are carbon credits banned from September?
Buying and using carbon credits stays allowed and sensible. EmpCo only governs the communication about it.
Can you still say climate-neutral?
The claim is allowed where it is transparent what it rests on. Companies reduce their emissions and offset the unavoidable ones. Both shares must be clearly recognisable.
How do I communicate offsetting correctly?
Transparently and separately from your own reduction. It is sensible to name the project, the volume and the contribution concretely.
Does the quality of the credits matter?
Yes. High-quality, verifiable projects strengthen credibility and lower the risk of criticism.
Does this also apply to small companies?
EmpCo follows the claim, regardless of size. A social media post is covered too where it addresses consumers.
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Read the ESG RadarSources: Directive (EU) 2024/825 (EmpCo); European Commission, FAQ on the Empowering Consumers Directive (as of May 2026); German case law on climate-neutral advertising and the UWG as amended.
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Catharina Ahmadi
Catharina Ahmadi
