Question 1

Is climate financing tax deductible?

Accepted Answer

This depends on which country you operate in. In Sweden, it seems to be: In a notable case from 2018, Arla won against the Swedish Tax Agency and was able to deduct their carbon offsetting, since it was done for marketing purposes. In this way, carbon offsetting is not considered a gift, but related to the company's earnings as they increased the value of the product. Therefore, in Sweden carbon offsetting could fall under the general right of deduction for costs of acquiring or retaining income.

Question 2

How can I communicate that our company does climate financing?

Accepted Answer

In order to communicate externally that you do climate financing, it is beneficial to have a plan on how you also want to reduce your emissions in the future, or at least communicate your reasoning - for example through some form of environmental policy. This is so that climate financing is not perceived as greenwashing. The rule of thumb for companies is: calculate emissions, reduce them and finally offset the emissions you cannot reduce right now. A safe way to communicate your sustainability efforts, without risk of greenwashing, is through our CO2 transparency page.

Question 3

How do you produce a climate report based on a company's accounting?

Accepted Answer

GoClimate automatically calculates a company's emissions based on its accounting data. The calculations are based on data collected from invoices and receipts, where activity data such as kWh is gathered. The data is then categorized according to its climate impact. Every individual financial document is reviewed, as account names and other metadata in the accounting would be too general to make serious climate calculations on. The calculations are based on the GHG Protocol.

Question 4

What kind of documentation is required for GoClimate's automatic analysis to work?

Accepted Answer

In order for the analysis to be as accurate as possible, clear documentation is needed in the form of invoices and receipts with relevant details that the tool can pick up automatically. Here you can find a list of what to think of.

Question 5

Do I need to manually upload any documents?

Accepted Answer

No, all data is automatically retrieved via the accounting system.

Question 6

How accurate are the carbon emission calculations in GoClimate's automated calculations?

Accepted Answer

We capture more data than traditional calculations by analyzing each individual supplier invoice and expense receipt to identify the type of purchase made. This is then categorized according to one of our 150 emission categories. This allows us to be comprehensive while maintaining accuracy. Purchases are converted into numbers primarily using average emission values to provide a correct and reliable overview of the company's climate data. The accuracy of the calculations increases over time, and more product-specific emission values will be introduced as more suppliers become transparent about their climate impact.

Unlike financial reporting, which is done in exact amounts, sustainability calculations involve more assumptions and estimates. Therefore, no calculation from any provider should be seen as exact down to the decimal. That said, our calculations are more detailed than many others and capture much more than traditional calculations in Excel.

Question 7

How secure is my data?

Accepted Answer

We protect our customers' data by following industry standards for data protection and information security. We use encryption to ensure that customer information remains private and secure and conduct regular security checks and updates to our systems.

Question 8

What types of companies is GoClimate suitable for?

Accepted Answer

The service is suitable for all types of companies. However, companies with their own production may need to do additional work to include emissions that occur after sales, such as use, waste management, etc., as these aspects are not captured through accounting data.

Question 9

How does GoClimate handle Scope 1, Scope 2, and Scope 3 emissions in accordance with the GHG Protocol?

Accepted Answer

In accordance with the GHG Protocol, the company's emissions are divided into Scope 1, 2, and 3. Your emissions are displayed in this format, as some reporting systems require these figures.

Scope 1 covers your direct emissions – what is directly emitted into the atmosphere from sources you own or lease, such as fuel-powered vehicles or on-site fuel for heating.

Scope 2 includes indirect emissions generated from the electricity, heating, and/or cooling you purchase from an energy supplier.

Scope 3 is essentially everything else. It is the footprint of your value chain and includes areas such as business travel, food and beverages, goods or services you purchase, as well as waste.

Question 10

Can GoClimate provide insights into the emissions and climate impact of specific suppliers?

Accepted Answer

Yes, in GoClimate Mini, you get access to the emissions from your top 5 suppliers, and in GoClimate Pro, you have access to emissions data from all suppliers.

Question 11

Can GoClimate analyze emissions from digital services, such as cloud services or IT infrastructure?

Accepted Answer

Yes, the service captures the climate impact associated with digital services in the form of cloud servers, co-location, software, digital advertising, and mobile and broadband subscriptions. The service can also take into account the location of cloud servers, if this is specified on the invoice. If other types of IT services become common, new emission categories may be introduced.

Question 12

Can GoClimate identify and calculate emissions from indirect sources, such as outsourcing and subcontractors?

Accepted Answer

Yes, this is part of the Scope 3 calculations.

Question 13

How can GoClimate be used to ensure improvements over time in connection with sustainability initiatives?

Accepted Answer

The service provides users with updated climate data once a month. This means that any measures taken can have an almost immediate effect on the results, provided they lead to emission reductions. At the same time, emissions are also displayed over longer periods to enable annual follow-up.

Question 14

Can the service support certifications such as ISO 14064 and other sustainability standards?

Accepted Answer

ISO 14064 has the same division as the GHG Protocol in Scopes 1-3. The results are also directly translatable to other established standards, such as GRI (Global Reporting Initiative).

Question 15

What is a climate project?

Accepted Answer

The main purpose of a climate project is to reduce the release of greenhouse gas emissions to the atmosphere. There are different ways of doing this, such as the development of renewable energy, and the capture and destruction of greenhouse gases with strong global warming potential (such as methane). Tree planting and forest management projects can also be climate projects. The project's positive impact on the climate, and the number of carbon dioxide equivalents it generates, are calculated against a scenario where the project is not implemented. Thus, if we do not build renewable energy, how much greenhouse gases would be emitted if the burning of fossil fuels continue? These are the emissions that are avoided through the construction of renewable energy. In addition, the projects often have other positive effects, such as improved air quality and increased employment. Read more on our blog.

Question 16

How does it work to support climate projects financially?

Accepted Answer

Since we all share the same atmosphere, a ton of carbon dioxide has the same impact no matter where it is emitted. When you choose to support climate projects, your money benefits the climate by contributing to a project that avoids greenhouse gas emissions in another part of the world. There are reliable ways to calculate the emissions so you can feel confident that the amount is correct, and the projects are controlled by external reviewers so that they really deliver the benefit they promised. In addition, you are contributing to the transition towards a sustainable society for those who cannot afford to make that kind of investment for themselves.

Question 17

Isn't it better to reduce your own emissions?

Accepted Answer

The situation is urgent. We need to do both. We must definitely reduce our own emissions. Studies show that those who financially support climate projects are actually the ones who reduce their own emissions the most, and when we surveyed among our users we saw that the majority use our subscription only as part of their climate commitment. Since it is not possible to live completely climate neutral in today's society, supporting climate projects is an important building block in the transition to a sustainable society.

Question 18

Who makes sure that the projects are serious and well executed?

Accepted Answer

Climate projects are certified by various organizations. They register projects that make climate benefit and measure how much benefit they actually do, so that they can sell exactly the right amount of credits. GoClimate purchases climate credits that are certified by Gold Standard, an organization founded by WWF and other environmental organizations, to ensure the highest possible quality of the climate projects. This also means that the projects are verified by a third-party, all documentation is public and we can track the project while it is being implemented and during its carbon credit period. Fundamental requirements for the projects, such as additionality, verifiability, traceability, permanence and contribution to sustainable development are guaranteed by the Gold Standard.

Question 19

Why are projects located in low-income countries?

Accepted Answer

Because that's where we can make the biggest difference. This is where the dependence on fossil fuels is greatest, and the local population would not be able to afford investing in renewable energy without the additional financial support. In this way, we ensure that we create as much value as possible for the money. Some emissions are easier to avoid than others, so we start with what is easy and economically feasible, to raise the bar for climate work. We work for everyone to have access to sustainable energy, and thus give people with less resources more opportunities for a sustainable life.

Question 20

Why doesn't GoClimate fund tree projects?

Accepted Answer

Previously, tropical forests covered 12% of the earth's surface, today they only cover 5%. Trees are important in many ways, including the binding of carbon dioxide from the air. We need to both replant trees and preserve the forest and vegetation that exists. At GoClimate, however, we have chosen not to invest in tree projects. The main reason is that even though projects of this kind are necessary and extremely important for the reasons mentioned above, the complexity in managing these projects is great, and we believe that we can achieve the most positive impact by financing other types of climate projects.

Question 21

Are the projects sustainable?

Accepted Answer

Yes! The projects are developed with caution and care for the local environment and population. In cases where the projects have a negative impact, it is compensated for - for example, if trees are cut down to widen a road, new trees are planted. In addition, Gold Standard requires that the projects contribute to other global sustainability goals than just the climate goal. Some projects create employment, improve health, contribute to sustainable industry and/or renewable energy.

We choose projects with care and check what has been reported during the project's implementation, so that we minimize the risk that the projects we support have had negative consequences for the environment and the local population. When climate projects was first developed, the requirements were not as stringent and therefore historically there have been projects that have had some negative side effects. Today’s requirements are higher and the controls are tougher.

Question 22

How do you make sure indigenous people are not harmed by the climate projects you support?

Accepted Answer

It is critical that no local or indigenous people are harmed by us helping the transition to a sustainable world. We have taken several steps to ensure that our climate projects are not doing any harm.

First of all, we are not doing any forest-projects that take up land that might be used by people living in the area and we have stopped supporting hydroelectric projects that also require lots of land.

Second, all our projects are certified by the non-profit certification organization Gold Standard, that looks at all the social aspects of the projects we support, including how they affect indigenous and local people. The principles of the Gold Standard is that (1) the projects shall do no harm, complying with the UNDP Millennium Development Goals (MDG) Carbon Safeguard Principles. The projects shall also (2) enhance sustainable development and (3) involve all relevant stakeholders, including indigenous people. All projects have a grievance mechanism that enables stakeholders to provide continuous feedback on the project, and all the feedback is openly published in the Project registry.

Thirdly, we do our own extensive research and due diligence of all the projects we support. If we find that the project has caused problems of any kind, we do not support it.

Question 23

What is climate change?

Accepted Answer

By climate change we mean the changes in the normal weather caused by global warming. The average surface temperature of the earth increases, mainly due to emissions of carbon dioxide and other greenhouse gases to the atmosphere, which leads to more extreme weather conditions. For example, it can imply much more rain than what used to be normal in one place, and longer periods of drought in another place. This is a big and complex issue, and we've made a video to explain it in more detail.

Question 24

Is climate change caused by humans?

Accepted Answer

Yes. The climate has varied constantly throughout the history of the earth, but never as fast as now. The world's leading scientists fully agree that this is caused by humans, please see the  IPCC’s reports for all the facts.

Question 25

Isn’t CO2 necessary?

Accepted Answer

Absolutely! The problem is that our emissions of carbon dioxide and other greenhouse gases have raised the share of CO2 in the atmosphere, and the balance needed to keep the climate stable is disturbed. The carbon dioxide content in the atmosphere was about 280 ppm (million parts) before the industrialization, but has now increased to 419 ppm, which causes climate change. It is estimated that below 350 ppm would be a safe limit so as not to cause excessive changes.

Question 26

Does it matter what I do?

Accepted Answer

Yes! Unlike other environmental problems that occur at local scale, climate change is a global problem that everyone contributes to and everyone must help to solve. Blaming one another does not help. By taking the lead, we can develop solutions which become cheaper and easier for others to use, and therefore it is super important that we who have the opportunity to show the way actually do so. Furthermore, if you support climate projects, you can contribute to the transition towards a sustainable society beyond your local context.

Question 27

Isn’t it the big companies and politicians that should solve the problem?

Accepted Answer

Climate change is such a big challenge that we all need to act to change the society. As citizens, we can take responsibility for our own emissions as a part of the solution. Companies are producing because we demand their goods and services, and politicians can only make changes if they think there is enough popular support for it. Together we can communicate to them that we are ready for a serious climate policy and that we want sustainable products and services from the companies.

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