ELI5: Explain Like I'm 5

Carbon offsets and credits

Imagine that you want to do something bad, like taking too much candy from the candy bowl. But you know that taking too much candy is not good for your health and it's also not fair to others who want candy. So, you decide to do something to make up for it, like helping your friend with their homework or cleaning your room without being asked.

Carbon offsets and credits work kind of like that. When people and businesses do things that cause pollution and contribute to climate change, they can try to make up for it by doing something good for the environment. This is called a carbon offset or credit.

For example, let's say a company uses a lot of electricity to power their factories, which creates a lot of carbon emissions. To make up for this, they might invest in something like a wind farm, which produces renewable energy without emitting carbon. By doing this, the company can "offset" their carbon emissions by investing in something that reduces emissions.

Similarly, a person might buy a "carbon credit" to make up for their own carbon footprint. This means they pay money to support projects that reduce emissions, like reforesting lands or installing energy-efficient light bulbs in a school. By doing this, they are helping to improve the environment and reduce the impact of their own carbon emissions.

So, carbon offsets and credits are like a way of making up for the bad things we do to the environment by doing good things to help reduce emissions. It's like saying "sorry" for taking too much candy by doing a good deed.
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