Our previous articles have focused on national government initiatives to reduce carbon emissions in industry and on ways that businesses can become more climate conscious. However, the answer to mitigating climate change may also lie with individuals who reduce their carbon footprint.

The definition of carbon footprint is the amount of greenhouse gas emissions associated with human production or consumption that contribute to climate change. The average carbon footprint related to energy consumption globally is approximately 4.7 tonnes of CO₂ per person annually. This is equivalent to taking two round-trip flights between Singapore and New York or driving an average SUV for 18 months. However, in 2021, the top 10% of emitters have averaged 22 tonnes of CO₂ per capita, which is over 200 times more than the average for the bottom 10% of emitters. The top 10% are based in all continents but 85% of them live in North America, Australia, the EU, and East Asia (IEA, 2023). In these regions, emissions trading systems are widespread, but they are aimed at corporations. Perhaps it is time for them to consider high-emitting individuals to participate in carbon trading as well.

The carbon footprint of an individual can be divided into three main categories: household consumption (electricity and fuel), personal transportation, and emissions from goods and services consumed. Often, individuals are open to supporting ways that can help them reduce their climate impact. And when these individuals take a more assertive stance in reducing their carbon footprint, it also aids in further reducing a company’s scope 3 emissions. However, companies may have to ignite the initial spark to encourage individuals to proactively reduce their carbon footprint and slash their climate impact.

While mandating high-emitting individuals to enter carbon trading is still unexplored territory, here are 5 feasible tactics that companies can implement so individuals reduce their carbon footprint:

1. Generating awareness for individual carbon emissions

Sample Carbon Label — Sample of Carbon Label

Carbon footprint is becoming increasingly important to consumers, particularly among Gen Z (79%) and millennials (67%). This is because these generations are the most vulnerable to the effects of climate change both now and in the future. Conversely, there is still room to raise awareness about carbon footprint among Gen X and Baby Boomers (Statista, 2023). To communicate carbon footprint to these audiences, companies may have to go through the traditional route to do so. Packaging labels can illustrate the carbon footprint from items consumed. Carbon labelling helps individuals understand the impact of their purchases by quantifying the carbon emissions from each stage of the process, allowing them to make more informed purchasing decisions. The more transparent the product is with its carbon emissions; the more customers will view the brand as authentic.

A carbon footprint calculator can be used for websites or mobile apps to promote eco-consciousness. Customers can see the carbon footprint associated with each option chosen. For example, Uber riders can track the carbon emissions saved by selecting electric or hybrid cars.

2. Encouraging to buy carbon credits to offset their carbon impact

Carbon offsets are certificates that are measurable reductions of emissions from the atmosphere that can be traded. Organizations can generate carbon offsets by actively reducing carbon in the atmosphere through programs such as tree planting or investing in renewable energy. These carbon offsets can be purchased by corporations and individuals to counterbalance their emissions. Airlines are those that have started implemented an offset-based program for passengers since this mode of transportation is consistently criticized as one of the highest emitters of carbon dioxide. One example is American Airlines. The airline has partnered with CoolEffect to create an offset program that costs as little as $12. Although this program has good intentions, there is controversy surrounding the legitimacy of offsets invested in sustainable programs. However, if airlines collaborate with offset-certified partners and communicate transparently, this program can set a positive example for other industries.

3. Influencing electricity use during off-peak hours of carbon generation

The global energy mix is still heavily reliant on nonrenewable resources, with coal being the primary source. Home energy is a significant area of opportunity when it comes to reducing the global average individual carbon footprint. Appliance manufacturers should consider using automated operation for washing machines, dishwashers, and air conditioners when their carbon footprint is at its lowest. To reduce carbon emissions, manufacturers can motivate individuals to charge electronic devices during off-peak hours when electricity demand is lower. The advancement of AI should enable the use of innovative technologies to optimize energy use, including setting preferences that are acceptable to customers while reducing electricity bills (IEA, 2020). Manufacturers can aim to meet Energy Star standards, which certify the energy efficiency of products, homes, commercial buildings, and industrial plants. This certification affirms that individuals use less energy when using these products.

4. Incentivize to donate used belongings and consumed goods to lessen waste-induced emissions

As mentioned in a previous post, human waste contributes 3.3% of GHG emissions. One garbage truck of textiles is landfilled or incinerated every second while 85% of single-use plastic bottles, containers, and packaging are found in landfills (UN Environment Programme, 2024). Companies can reduce individual waste by implementing take-back programs for textiles, packaging, furniture, and appliances. These materials can be recycled or upcycled instead of ending up in landfills. Consumer goods manufacturers like H&M, Patagonia, and Nespresso have initiated their own collection programs. These programs allow customers to return used products for recycling or repurposing, reducing waste and promoting sustainability. Integrating circular economy principles into operations can not only reduce customers' carbon footprint but also result in significant cost savings and mitigate risks associated with finite resources.

5. Promote purchase of in-season and locally produced food

Eating seasonal foods can help reduce carbon emissions by avoiding foods grown in greenhouses. Greenhouses often require heating, cooling, lighting, and irrigation systems to maintain ideal growing conditions, particularly in regions with extreme temperatures. This can result in high energy consumption contributing to higher emissions. Choosing locally grown foods can also reduce emissions through the use of soil-friendly farming practices and a reduction in the use of petroleum. Agri-food suppliers can highlight its carbon footprint and ethical practices on packaging and through advertising to gain attention among consumers. Suppliers can also engage with individuals through events, workshops, and farmers’ markets to promote the benefits of locally produced food particularly in reducing carbon footprint.

There are still several strategies that companies can implement to help individuals lessen their carbon footprint. By driving more initiatives, the goal shifts beyond companies merely committing to becoming carbon neutral; it also encompasses individuals striving to achieve a negative carbon footprint as well. Allow GreenEco Investments to help your business become a driver of positive change in society. Let’s explore opportunities together!