carbon-inset

DEFINITION

Carbon inset

A carbon inset is an emissions reduction made inside your own supply chain and tied to the physical commodities you buy — rather than a carbon offset, which compensates for emissions occurring somewhere else. Insets count toward supply-chain reductions; offsets increasingly do not survive audit.

Inset

Reduction inside your own supply chain

Tied to the goods you buy · lands in Scope 3

Offset

Compensation for emissions elsewhere

Detached from the goods · outside inventory

In practice

Because an inset stays attached to a real commodity flow, it can be traced to a specific purchase and retired against a specific claim. That is what makes it inventory-linked: the reduction moves with the goods and settles in the buyer’s accounts, not in a separate voluntary market.

Nset’s instrument for a carbon inset is the Carbon Inventory Certificate — verified at the source, moved by mass balance, and retired in the registry so it cannot be double counted.