What is climate neutrality?

With the European Green Deal, Europe has set itself the goal of becoming the first continent to become climate neutral by 2050. More and more companies are also advertising climate-neutral products or their climate neutrality.

But what does climate neutral actually mean?

Climate neutrality means achieving a balance between the emission and absorption of greenhouse gases so that the climate is not affected.

This definition allows several conclusions to be drawn at once. First of all, it becomes clear that climate neutrality does not mean that a product or company does not emit any greenhouse gases or is environmentally friendly, but only that any emissions that are harmful to the climate are offset.

It also becomes clear that states and companies can become climate neutral more easily if they emit fewer greenhouse gases or absorb many greenhouse gases. Accordingly, it is significantly more difficult for a company that produces steel to become climate neutral than for a purely digital technology company.

For countries, companies and products to become climate neutral, greenhouse gases must be absorbed. This can be done in various ways. 

The natural uptake of CO2 occurs through carbon sinks. Carbon sinks are systems that absorb more CO2 than they release. Examples of natural carbon sinks are soils, forests and oceans.

In addition, the CO2 absorption of many companies takes place through so-called climate compensation. Climate offsetting refers to payments to finance greenhouse gas-reducing investments, such as in photovoltaic plants. Climate offsetting often takes place in developing countries. Although the climate does not care in principle where in the world CO2 is reduced, companies are often accused of investing in comparatively cheap climate projects instead of making a difference locally. The quality of CO2 offset projects can be assessed using various standards. "The Gold Standard" is one of the most established and stringent standards for offset projects.

Despite the popularity of carbon neutrality, critics question its meaning, as it often relies solely on CO2 offsets to achieve carbon neutrality instead of solving the real problem and reducing climate-damaging emissions.

Sources: European Parliament and Deutschlandfunk