Offset Providers

The choice of offset providers internationally continues to augment, while the Carbon Catalogue presently lists 12 providers across Canada with an offset price range of 12.50 $ to 39.90 $ per ton CO2e.(1) For those wishing to purchase offsets from organizations based in Québec, the four principal providers include Planetair,(2) Carbone Boréale,(3) Zero GHG Inc.(4) and ZÉRØCO2.(5)

(1) Planetair is a not-for-profit organization managed by the Unisféra International Centre, also a non-profit organization. (2) Planetair is the exclusive distributor of Myclimate, one of the most respected offset supplier worldwide, since all their projects conform to the Kyoto Protocol’s Clean Development Mechanism (CDM)* and Gold Standard.** These projects finance only renewable energy and energy efficiency projects in various developing countries. Planetair plans to offer Canadian projects in the future depending on sales volumes.

(2) Carbone Boréale (CB) is both a program, and a laboratory of researchers at the University of Québec in Chicoutimi. CB offsets finance tree plantations in a deforested area of Québec and contributes to supporting research. The plantations are verified and managed according to ISO 14064-3 norms, and are registered by the Canadian EcoProjectsTM GHG.(3)

(3) ZeroGHG Inc. is a private consultancy firm offering offsets in a variety of renewable and energy efficiency projects in addition to their consulting services to develop GHG reduction strategies, quantifying emissions and performing audits. ZeroGHG projects are located in various countries, and at least 80% must meet CDM* and Gold Standard**.(4)

(4) ZÉRØCO2 is a private enterprise selling offsets that finance reforestation projects in various communities. Since 2006, ZERØCO2 has reforested more than 20 hectares of land, creating green spaces equivalent to just over 40 football fields in the heart of communities. (5)

Indirect Offset Sellers

Some tourism businesses have partnered up with various offset-selling organizations. For example, since 2007, Air Canada (AC) encourages its customers to purchase offsets via non-profit organization ZeroFootprint that invests in forest restoration project in British Columbia. To date, AC customers bought $187,612 of offsets, equivalent of 11725 tones of GO2.(6) In contrast, Air Transat does not sell offsets for reasons relating to the efficiency of such projects in their ability to solve climate change related problems amongst other reasons.(7)

For those traveling by rail, VIA Rail also does not directly offer offsets to its customers, however it also encourages its customers to calculate their GHG emissions with Tree Canada, an Ottawa-based offset company. Since 1990, VIA Rail has reduced its GHG by 15% approximately, although it is responsible for only 0,03% of total GHG emissions compared to 13% generated by motorists in Canada.(8) For travelers that hire vehicles, numerous car rental companies also offer carbon offsets on-line such integrated into their reservation forms such as Alamo, Enterprise and National Car Rentals amongst others.(9)

Tourism Operations Buying Offsets

Some Québec and other travelers to Québec probably purchase offsets, however none of the above named organizations had data available at the time of writing this article about their clients. Some tourism operations also buy offsets in Québec, but no study assessed their transaction value to date.

Some accommodation establishments also have a carbon neutral policy. For example, the Chicoutimi Hotel has been offsetting its heating and electricity use and has been encouraging its clients to offset their stay with CB.(2) Since 2006, the hotel l’Auberge des Seigneurs in St-Hyacynthe has been offering Eco-Friendly Packages to its clients and in 2008, it has also engaged to calculate guest’s travel related GHG contributions amongst other environmentally friendly services.(10) This establishment also compensates emissions of meetings and events held in the hotel by planting trees. Similarly, in an effort to be carbon neutral, Novotel Montreal plants a tree for every online booking. (11)

Montreal based tour company, Karavanniers du monde has also taken climate change mitigation serirosly and since January 2009, its price structure includes carbon compensation costs with Planetair. (2, 12) The company’s client’s base is approximately 97% Québécois and based on discussions with the operation’ owner, there have been no complaints at all concerning the price increase resulting from mandatory carbon compensations. On the contrary, clients are pleased to see such an effort by the company. Some other travel companies such as Omnitour, Voyages Tour Étudiants also offers offsets to its customers. (2) Similarly, since 2006, the regional-based operation WeLa Aventure organizes eco-friendly hiking and cycling trips in the Saguenay,(13) and it compensated for its clients travel related CO2 emissions to and from the region via supporting tree plantations by ZIP Saugenay (14) and the cooperative COOP4Temps.(15)

Increasingly festivals and events across Québec are also eco-friendly, and some compensated for GHG emissions.(16) For example, since 2008, Montreal’s International Jazz Festival is carbon neutral.(17) Both Québec and Montreal Convention Centers offer eco-friendly events with their partner organizations (18, 19) and both centers offer offsetting as an option for such events. For example, In 2004, the Québec Convention Centre committed to reducing its energy consumption by 33% per m2 and its total GHG emissions by 50%.(20) Since 2007, it hosted 32 eco-friendly events of which 7 involved carbon compensations.

At Montreal’s Jean-Drapeau Park (JDP), sustainable development policy integrates GHG mitigation and compensation strategies for the organization and activities (about 100 events per year) on the park’s territory. (21) JDP created a fund (Fonds Oxygène) to implement this policy, and partners and suppliers will be asked to contribute to this fund, which will finance specific environmental improvement projects (22). Additionally, drivers to JDP will be required to pay $1 extra to leave their vehicles in the parking to help offset GHG emissions with CB.

Conclusion

Although it is well known that carbon compensation projects do not represent an ultimate solution to mitigating GHG emissions, the purchase of offsets in credible projects can raise awareness, and provide funds towards worthwhile initiatives.(23) Although buying offsets in tree plantations remains controversial, in certain cases they can deliver net environmental improvements, while buying offsets in renewable energy projects and technology developments permit a shift away from using fossil fuels.

This brief synopsis of the situation in Québec shows that carbon neutrality in the tourism sector is a patchwork. The analysis also highlights the need for measuring net contributions of greenhouse gases by the travel and tourism sector in order to enable a coordinated approach to assessing how this could be effectively mitigated.

* CDM certifies emission reductions that are sold on the voluntary market and it ensures that developed countries’ carbon credits comply with Kyoto Protocol regulations.
** The Gold Standard is an independent organization that certifies carbon credits sold on the voluntary market. Such carbon credits need to meet sustainable development objectives. This means that a carbon-offset project must lead directly to a net GHG emission reduction. Gold Standard does not certify forestry projects.

Sources:

(1) Carbon Catalogue Project: Find a Carbon Offset: Canada. Last Consulted Apr 25, 2009.  http://www.carboncatalog.org/projects/canada/
(2) Planetair. Offset Projects. Last Consulted Apr 2, 2009. http://planetair.ca/
(3) Éco-conseil. Plantations Compensatoires de GES. Last Consulted Apr 15, 2009.  http://dsf.uqac.ca/eco-conseil/ges/frame_ges.html
(4) ZeroGHG Inc. Last Consulted Apr 25, 2009.   http://www.zeroghg.com/
(5) ZeroCo2. Last Consulted Apr 15, 2009.  http://zeroco2.com/welcome.php
(6) Air Canada. Carbon Offset Program. Last Consulted Apr 25, 2009.  http://www.aircanada.com/en/travelinfo/traveller/zfp.html?src=hp_ql
(7) Transat AT (2009) Greenhouse gas reduction and fuel management. Last Consulted Apr 2, 2009. http://www.transat.com/en/social.responsibility/gas.reduction.fuel.management.aspx
(8) Via Rail Canada. Environment: Helping To Reduce Greenhouse Gas Emissions Last Consulted Apr 17, 2009. http://www.viarail.ca/corporate/en_environment/reducing_greenhouse_gas.html
(9) Terra Pass Inc. (2009) Rental Car Carbon Offset Program Proves Most Popular With Consumers. Published on-line in Earth News, April 6, 2009. Last Consulted Apr 25, 2009.  http://www.earthtimes.org/articles/show/rental-car-carbon-offset-program-proves-most-popular-with-consumers775734.shtml#%23
(10) l’Auberge des Seigneurs à St Hyacynthe. Last Consulted Apr. 24, 2009.
http://www.hoteldesseigneurs.com/notre_environment.asp
(11) Novotel Montréal Centre. http://www.novotelmontreal.com/home/novotel_news.shtm Last Consulted June. 2, 2009.
(12) Karavaniers du Monde. Destinatons: Fiche technique. Last Consulted Apr. 3, 2009.  http://www.karavaniers.com/voyages/calendrier/?voyage_depart=134
(13) Wela Aventure. Horaire et parcours. Randonnées des cols du Fjord 2009. Fiche d’information. Last Consulted Apr 25, 2009. http://www.welaaventure.com/
(14) ZIP Saguenay. Réalisations. Last Consulted Apr 27, 2009.  http://www.zipsaguenay.ca/zipsaguenay/index.php?option=com_content&task=category&sectionid=1&id=5&Itemid=12
(15) Coop Quatre Temps. Mission. http://www.coop4temps.com/ Last Consulted Apr 27, 2009.
(16) Réseau québécois des femmes en environnement. Sustainable Event. Last Consulted Apr 2, 2009. http://www.evenementecoresponsable.com/
(17) Festival International de Jazz de Montréal. Une édition 2008 carboneutre. Last Consulted Apr 27, 2009.  http://www.montrealjazzfest.com/Fijm2008/planetAir_fr.aspx
(18) Centre des congrès de Québec. Développement Durable. Évennements éco-responsables. Last Consulted Apr 27, 2009.  http://www.convention.qc.ca/tiki-index.php?page=devdurable_eve_resp
(19) Palais des congrès de Montréal. Environnement. Last Consulted Apr 2, 2009. http://www.congresmtl.com/fr/visiteurs/environnement.aspx
(20) Centre des congrès de Québec. Lauréate du prix Stellaris: Efficacité Énergétique. Press Release 2 April, 2004. Last Consulted Apr 2, 2009. http://www.convention.qc.ca/tiki-read_article.php?articleId=41
(21) Société du parc Jean-Deapeau (2009) Politique de développement durable. Montréal. 8 p.
(22) Société du parc Jean-Deapeau (2009) Fonds Oxygène.Le fonds de compensation de gaz à effet de serre Montréal. 4 p.
(23) Broderick, J. (2008). Voluntary Carbon Offsets. A Contribution to Sustainable Tourism? In Sustainable Tourism Futures. Perspectives on Systems, Restructuring and Innovations. In Gössling, S., Hall, C.M. and Weaver, D.B. (Eds.). Routledge, New-York. 169-197.

Study context

The main reason consumers have overwhelmingly adopted the Internet is that it enables them to shop 24/7 in the comfort of their home. However, there are a number of factors that differentiate Web user purchasing habits. For instance, those who purchase travel products online are influenced by the complexity of the product. Other important considerations include the ability to compare prices, discounts and a user-friendly interface.

With that in mind, experts have studied the relationship between the purchaser’s motivation to buy and the complexity of online travel products. Since Web expertise plays a significant role in this, consumers have been divided into expert users and novice users. The study aimed to prove that ease of navigation was the primary reason for variations in purchase decisions between online products.

Airline tickets, accommodation and car rentals are considered relatively simple travel products. All-inclusive trips, cruises and tours constitute more complex products.

In an attempt to simplify navigation, many sites have become “content aggregators” that offer one-stop shopping. This strategy has been extremely successful for such agencies as Travelocity and Expedia. Dynamic packaging, whereby Web users create their own package while retaining a certain degree of flexibility, have added a new twist to the tourism landscape.

Motivating factors for Web users

The study examined the top six factors that motivate consumers to make online purchases (see Tables 1 and 2). The factors are as follows:

1. The opportunity to earn points through a customer loyalty program. Some sites have even set up a special page for members to track their reward points (marriottrewards.com, for example).
2. The availability of the desired product.
3. Clear, detailed information that enables the user to make an informed decision.
4. A simple reservation process is a key factor in the online purchase decision. Especially in the case of more complex travel products, customers must be able to find the information they need to make a decision.
5. The reputation of the company or site’s banner, as this reassures the purchaser and may positively influence the outcome of the transaction. 
6. Consumers are more sensitive to the price of online products than they are to conventionally purchased products. This is partly due to aggressive advertising campaigns that have gradually led consumers to expect discount products.

The experts used data from a Canadian Tourism Commission study conducted in November 2001 that surveyed 1,161 Canadians and 1,145 Americans. Although Web user behaviour has admittedly changed since then, the study’s findings nevertheless constitute a valid basis for comparing and understanding travellers’ online purchasing habits, based on their experience with the Web and the type of product in question.

Behaviour varies according to sector

A user-friendly interface is a key factor in the decision to buy any kind of online travel product, regardless of the amount of Web user experience, leading experts to conclude that consumers want a simple reservation process. Competitive prices play a greater role in the purchase of less complex products, such as airline tickets, packages or car rental.

The quality and accuracy of the site’s information was a deciding factor for travellers looking for activities, events, tours, attractions and accommodation. Company reputation was less important to those making “simple” transactions -such as renting a car- compared to those purchasing more complex products. Finally, customer loyalty programs constitute a greater draw for expert users and mainly affect purchases of airline tickets, car rental and attractions.

Sources:
- Beldona, Srikanth, Alastair M. Morrison and Joseph O’Leary, “Online shopping motivations and pleasure travel products: a correspondence analysis,” Tourism Management, No. 26, 2005.
- Ham, Sunny, “The Use of the Internet for Hospitality and Travel-related Activities,” e-Review of Tourism Research (eRTR) [ertr.tamu.edu], vol. 2, No. 6, 2004.