The price of forest carbon credits doubled in 2011, leading to a record market value of $237 million, according to Leveraging the Landscape: State of the Forest Carbon Markets 2012.
The report, which aggregates data from 451 individual forest carbon projects historically, was published by Forest Trends' Ecosystem Marketplace, a provider of news, data and analytics on environmental markets and investments in conservation.
“Many companies choose forest-carbon offsets because the projects are tangible and often support benefits beyond carbon sequestration, such as biodiversity,” says Katherine Hamilton, Ecosystem Marketplace Managing Director. “At the same time, we’re seeing some of the innovation developed in this voluntary marketplace feed into compliance programs.”
The report examines a variety of strategies for injecting financial resources into projects that save or plant forests. Carbon offsets from these projects averaged $9.2 per tonne of sequestered carbon in 2011, up from $4.6 per tonne in 2010.
Private-sector institutions seeking to offset emissions continue to be the dominant source of demand.