Carbon Offset 101Posted in: Environment By Bill Dorgan January 1 2010
One of many goals we have at Agri- Trend Aggregation Inc. (ATAI) is to assist clients with current and on-going education regarding the Offset System. This goal is part of our belief that complete transparency is the key to our partnership success in the long term.
Our fundamental belief states that, within the Ag sector, we have a responsibility to our producer partners to give them all of the information they need to make an informed decision with regard to participation. We believe that a well-informed producer will make an informed decision on the choice of his or her aggregator. A high-quality service provider should be prepared for todays' protocols as well as more complex opportunity in the very near future.
ATAI is a founding member and Vice- Chair of the Carbon Offset Trade Association (COTA). We are a signatory to the COTA Code of Conduct and Marketing Ethics. One of the principle objectives of COTA is to assist all marketplace participants with the understanding of the Offset system that is governed by the Climate Change and Emissions Management Act in Alberta.
The Alberta Offset System has several fundamental principles upon which the Tillage Management protocol is based. These include but are not limited to the fact that, in Alberta, the Carbon Offset must:
- occur in Alberta;
- be from an action taken that is not otherwise required by law at the time the action is initiated;
- result from actions taken on or after January 1, 2002 and occur on or after January 1, 2002;
- be real and demonstrable;
- be quantifiable and measurable, directly or by accurate estimation using replicable techniques;
- be held by the person responsible using them and have clearly established ownership;
- only be used once; and
- be verified by a qualified third party
We are prepared and encourage you to begin to work with ATAI today in order to capture the value of this market opportunity. Please contact us at (403) 608-0992 or visit our web site at www.agritrend.com to arrange for a representative to contact you.
Similar principles will undoubtedly apply to the upcoming Saskatchewan legislation, with some degree of modification. We’ll know more regarding Saskatchewan in the April-June 2010 timeframe, as the legislation progresses and moves into law.
Right now in Saskatchewan, commitments cannot be made, nor contracts signed, before final regulations are in place. We can contact you with updates if you wish by giving us your mailing or e-mail address starting today.
New market responsibilities
The Offset system and the resulting marketplace are in their infancy. As with any new market, there are many missconceptions, misunderstandings, and simple untruths being communicated to producers as marketplace participants vigorously attempt to secure market share within the sector. We have taken the approach that:
- we should communicate with producers directly and not through faxes or e-mails
- we should not ask producers to sign “letters of intent” or “expressions of interest” and portray these as binding contracts
- we need to have properly trained individuals involved with producers who can explain the system, the process, plus its inherent liabilities and risk
As your business partner in this market, we are dedicated to risk mitigation, value maximization, accurate and timely information and the building of a robust marketplace into the future. In this emerging business sector, ATAI has already transacted four times and we have been issued a very positive audit report from the Alberta Government. We are prepared and encourage you to begin to work with ATAI today in order to capture the value of this market opportunity.
There will soon be additional protocols and additional opportunity. Agri-Trend is dedicated to agriculture, our clients, and a bright window of opportunity in the long term for our business partnership. Please visit our website at www.agritrend.com for more information.
Bill Dorgan, President
Agri-Trend Aggregation Inc.
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