The Sustainability Knowledge Exchanges provide members with a space to come together and discuss those critical topics, projects and programmes that matter to them between quarterly SAN meetings.
The Sustainability Knowledge Exchanges provide members with a space to come together and discuss those critical topics, projects and programmes that matter to them between quarterly SAN meetings. Meetings are demand led by the membership, organised by the LGA, and facilitated by members to lead conversations where they want them to go.
Process
SAN members are welcome to initiate and present a Knowledge Exchange between meetings, please contact [email protected]
Sessions will be prioritised on a first come first served basis by answering the questions in the below template:
- Topic: What do you want to discuss at the Knowledge Exchange?
- Purpose: What do you want to get out of the meeting? Is there anything specific you would like to achieve in the session?
- Asks: Is there anything you want to ask of members to help you within this area?
Facilitator Role
The LGA will organise a time and date with the member who has completed the template and will forward this invite to the SAN membership to hold the meeting in the diary.
The member who has raised the topic will facilitate the conversation; they are welcome to:
- Prepare slides and talk about the topic and work being delivered.
- Introduce the topic and facilitate the discussion with colleagues.
- Prepare prompt questions to direct the conversation so that it is as useful as possible for you.
LGA will be on hand to help with the session and will be present to lead on logistics.
Session notes
On 6 November 2025, facilitators led a Sustainability Action Network (SAN) knowledge exchange session focused on how local authorities are maintaining and evolving sustainability services during periods of Local Government Reorganisation (LGR).
The session also explored the transition to new organisational structures and included a discussion on the implications of devolution for sustainability and climate action across the sector.
Keynote: Westmorland and Furness Council’s LGR Journey
Background:
- LGR in Cumbria resulted in the formation of two new unitary authorities: Cumberland and Westmorland & Furness, merging district and county functions.
- The process was described as a “marathon, not a sprint,” with ongoing transformation years after the initial restructure.
Team growth:
- The climate and nature team expanded from a handful to 17 members post-LGR, reflecting the council’s increased commitment to sustainability.
- Political support, particularly from the cabinet and a dedicated portfolio holder, was instrumental in prioritising climate and nature.
Integration challenges:
- Some services (e.g., planning) required lengthy harmonisation due to differing local contexts (urban vs. rural), while others (e.g., climate and nature) integrated more smoothly thanks to pre-existing partnerships.
- IT and technology integration proved especially complex, with ongoing issues around systems compatibility and communication.
Statutory duties:
- The Environment Act 2021 introduced new statutory requirements, including the biodiversity duty, local nature recovery strategy, and mandatory biodiversity net gain for developments.
- The council upskilled by hiring ecologists, enabling more robust delivery of nature-related statutory duties.
Governance and strategic planning
Early action:
- The council prioritised the rapid development of a climate change action plan, setting a clear direction for the new authority.
- A phased approach was adopted: initial strategic direction followed by detailed action plans and frameworks.
Embedding sustainability:
- Climate and nature are embedded within the “Thriving Places” directorate, enabling cross-departmental collaboration (e.g., with transport, public health, and capital programmes).
- The council’s three pillars—equity, economy, and environment—are reflected in annual plans and delivery frameworks.
Carbon management:
- A carbon management strategy was developed to address direct emissions from council operations, alongside a fleet decarbonisation strategy.
- The council aligned its targets with the Zero Carbon Cumbria Partnership, aiming for net zero by 2037.
Key achievements and initiatives
Climate and nature action plans:
- Comprehensive climate change action plan and carbon management strategy launched, with regular reviews and updates.
- Significant reduction in emissions achieved through new building standards (e.g., passive house) and solar farm projects.
Nature recovery and biodiversity:
- Local nature recovery strategy and mapping tool developed to guide habitat restoration and biodiversity efforts.
- “One Tree Per Resident” scheme launched, aiming to plant 250,000 trees; strong community engagement with free tree giveaways.
- Biodiversity net gain implemented for all developments, with ambitions to exceed statutory requirements (e.g., aiming for 20% uplift).
Adaptation and resilience:
- Climate adaptation strategy in development, informed by Cumbria-wide risk assessments and workshops with partners.
- Focus on both mitigation (emissions reduction) and adaptation (preparing for climate impacts).
Partnerships:
- Collaboration with external partners (Zero Carbon Cumbria Partnership, Cumbria Local Nature Partnership, National Parks, etc.) is central to delivery.
- Joint working across new unitary boundaries, recognising that environmental challenges transcend administrative borders.
Challenges and lessons learned
Integration issues:
- IT and technology remain significant hurdles, with multiple legacy systems complicating communication and data sharing.
- Harmonising services across diverse local contexts (urban/rural) requires time and flexibility.
Financial constraints:
- Sustainability work is heavily reliant on external funding and grants; council budgets are under pressure, making statutory duties and external support vital.
Measuring progress:
- Decarbonisation progress is tracked using dashboards and baseline assessments, but aligning data across new boundaries is complex.
Staff wellbeing:
- Organisational change brings uncertainty and stress; staff resilience and wellbeing are critical, with peer support and training recommended.
Q&A and group discussion highlights:
The session included a lively Q&A and open discussion, with key topics and insights as follows:
Action plan integration: How were previous district and county action plans integrated? Mapping existing actions, consulting teams, and building ownership were crucial. The process is ongoing, with regular reviews and adjustments.
Authority models: Was Cumbria’s transition a “continuing authority” or “new creation” model? Two new authorities were created, rather than continuing the county council.
Successes from LGR: Major success was the creation of a “one front door” for residents, simplifying access to services and enabling more integrated working behind the scenes. The climate and nature team achieved more post-LGR than previously possible, thanks to unified structures and increased support.
Cross-authority engagement: Collaboration across Cumberland and Westmorland & Furness continues, especially for climate and nature work, facilitated by existing partnerships and joint programmes. Nature recovery and climate action require joint working, as environmental challenges do not respect administrative boundaries.
Measuring decarbonisation: Progress is tracked using dashboards and baseline assessments, but aligning data across new boundaries remains challenging. The net zero target (2037) was set based on baseline data and partnership consensus.
Financial sustainability: Council budgets are tight; much sustainability work relies on external funding and grants. Statutory duties could be vital for securing resources.
Staff resilience: Organisational change brings uncertainty and stress; advice included prioritising wellbeing, maintaining work-life balance, and seeking peer support.
Sector-wide issues: Discussion on just transition, adaptation and resilience, and the role of local authorities in regional governance. Experiences from other regions (e.g., Wales) highlighted the benefits of early collaboration and embedding sustainability in governance frameworks.
Key takeaways
- Adaptability, collaboration, and resilience are essential for sustaining climate and nature programmes through LGR.
- Early strategic planning and embedding statutory requirements help maintain momentum.
- Partnerships—both internal and external—are vital for effective delivery and innovation.
- Staff wellbeing and continuous learning strengthen sector-wide progress.
LGA SAN Knowledge Exchange: Exploring Local Government Green Finance – Session Summary (9 July 2025)
The Local Government Association (LGA), in partnership with the Crown Commercial Service, hosted a knowledge exchange session to explore how councils can unlock and scale green finance to meet their climate and sustainability goals.
Oxfordshire’s Green Finance Journey – Aoife Dudley, Oxfordshire County Council
This presentation focused on Oxfordshire’s journey from having no green finance experience to launching a county-wide programme.
Starting from Scratch
- AD began by outlining what green finance is: “Money raised to support projects that deliver positive environmental outcomes.”
- Purpose-driven: Green finance is tied to environmental benefits, often with co-benefits for health, community, and economy.
- It can take many forms, including Loans, Bonds (e.g. green bonds), Venture capital, Insurance, and Crowdfunding.
- Project-dependent: The financial mechanism used depends on the type, scale, and maturity of the project. It was emphasised that green finance is not exclusive to financial institutions. Local authorities and communities can play a central role in initiating and managing green finance schemes.
- The Oxfordshire initiative was sparked by the CEO, Martin Reeves, who proposed convening stakeholders to explore green finance opportunities.
- This top-level support was crucial in securing internal buy-in and momentum.
100 Together Programme
- The programme’s name reflects its goal: bringing together 100 influential stakeholders from across Oxfordshire and beyond.
- It is governed by a steering group of senior officers and working groups focused on investment, communications, and project development. Two major conferences (Jan 2024 and June 2025) were held to:
- Build networks
- Share knowledge
- Identify investable projects
- Explore funding models
Green Prospectus
- A call for green projects received 104 submissions from across the county. Projects were filtered based on:
- Environmental impact
- Investment readiness
- Alignment with Oxfordshire’s net zero and nature recovery goals
- Only 4 projects were deemed investment-ready and featured in the final prospectus.
- The prospectus was published as a dynamic website, allowing for easier updates and broader accessibility.
- Key insight: Many promising projects lacked development funding or business case maturity, highlighting a gap in investment readiness support.
Green Bonds
- In December 2024, Oxfordshire issued £500,000 in green bonds via Abundance Investment. The funds supported:
- Tree planting & the decarbonisation of public buildings (e.g. fire stations, care homes)
-
Key features:
- Minimum investment of £5 to ensure accessibility.
- 4.4% return generated from energy savings in retrofitted buildings.
- Bonds sold out quickly, demonstrating a strong public appetite for local, ethical investment.
- This success has encouraged Oxfordshire to consider future bond issues.
Key Takeaways
- Start somewhere: Even small steps can lead to significant progress. Don’t wait to become an expert.
- Leverage local networks: Many stakeholders are willing to help if they see genuine intent and leadership.
- Community finance works: Local people want to invest in their places and futures.
- Local authorities are catalysts: Councils can convene, coordinate, and champion green finance in ways few other institutions can.
Q&A Highlights
The Q&A session covered practical and strategic questions from attendees:
- Return on investment: The 4.4% return on green bonds came from energy savings in decarbonised buildings. The finance team led the bond issuance and worked with Abundance Investment. They structured the return model based on tangible savings from renewable energy and efficiency upgrades.
- Engaging finance teams: Oxfordshire’s success was partly due to early CEO support and a cross-departmental steering group that included finance officers, directors and heads of service, which created a cross-departmental mandate.
- Risk management: The council used legal disclaimers on the official websites to shift investment risk to investors, ensuring transparency without assuming liability.
- Scaling challenges: County-level initiatives can offer more scope and diversity than smaller units. Combined authorities may be better placed to lead large-scale programmes. The work of the West of England Combined Authority (WECA) highlighted its investment readiness service.
- Investment readiness: Many projects lacked the maturity to attract investment. Oxfordshire is exploring an advisory service to help projects become investment-ready with the prioritisation tool (a multi-criteria analysis spreadsheet) that allows them to assess future projects in-house.
Open Discussion: Challenges and Opportunities
The discussion surfaced key sector-wide issues:
Local Energy Planning and the Investment Gap
Leicester City Council and Leicestershire County Council are working with Energy Systems Catapult to develop a Local Area Energy Plan (LAEP). While the plan will identify optimal locations for energy interventions, it could provide ideas for a route to investment. The councils are now exploring:
- How to move from planning to delivery.
- How to fund feasibility studies and business case development.
- Who should take on the risk of early-stage project development?
-
This echoed an earlier point that projects can be conceptually strong but lack the development funding to become investment ready.
Adaptation Finance and Avoided Costs
Oxfordshire County Council shared findings from a recent study estimating a potential 6% GDP loss in the county if climate adaptation is not pursued. This was used to frame adaptation not as a cost, but as a preventative investment. The discussion highlighted:
- The difficulty of funding adaptation projects due to a lack of direct ROI.
- The importance of reframing adaptation to avoid future economic losses.
- The need for new financial models that account for long-term resilience.
Carbon Credits and Offsetting Strategies
Hertfordshire County Council has developed a county-wide carbon offsetting standard through the Hertfordshire Climate Change and Sustainability Partnership (HCCSP). The framework helps local authorities assess whether to sell or retain carbon credits generated from local projects. Key insights included:
- Many councils may need to retain credits to meet their own net zero targets.
- Selling credits could be short-sighted if future legislation tightens.
- The value of carbon assets may increase over time, making them more valuable to retain.
Bundling Projects to Attract Investment
Several councils are exploring the idea of bundling investable and non-investable projects to attract funding for socially valuable initiatives such as tree planting and community engagement. This approach:
- Mirrors EV charging strategies where profitable and unprofitable sites are packaged together.
- Could help fund projects with strong social or environmental value but limited financial return.
- Requires careful structuring and investor engagement to succeed.
Decarbonising the Council Estate
One council used its green bond to fund the decarbonisation of public buildings, including fire stations and care homes. This was cited as a successful example of using green finance to reduce operational emissions and energy costs.
Carbon Pricing and Internal Offsetting
Hertfordshire also raised the idea of internal carbon pricing—adding a shadow cost to carbon emissions in project appraisals to influence decision-making. While not yet widely adopted, this approach could help councils prioritise low-carbon investments and prepare for future regulatory changes.
Upcoming LGA Events
- 17 July: Greenhouse Gas Emissions Reporting for LAs
- 11 September: Biodiversity & Nature Recovery Roundtable
- Nov–Dec: Action Learning Sets on Adaptation & Resilience
- 2 October: SAN Quarterly Meeting – Carbon Reduction Pathways
- 6 November: Knowledge Exchange on Sustainability in Local Government Reorganisation (LGR)
Final Thoughts
This session demonstrated the power of local leadership, collaboration, and creativity in unlocking green finance. Oxfordshire’s journey offers a model for councils at any stage of their climate finance journey. Whether you’re just starting or scaling up, the message is clear: Start somewhere. Build networks. Keep going.
Resources and links ahared:
Oxfordshire Green Futures: https://oxongreenfutures.co.uk/
Oxfordshire Press Release: https://news.oxfordshire.gov.uk/invest-in-net-zero/
Oxfordshire 100 Together: https://www.100together.org.uk/
Abundance Investment Overview: https://www.abundanceinvestment.com/invest/oxfordshire-green-investment-1
Corporate Report template for committee and officer decisions in Leeds City Council https://democracy.leeds.gov.uk/documents/s248175/Green%20Finance%20Options%20Cover%20Report%20Appendices%20A-C%20170723.pdf
WECA Investment Readiness Service: https://www.westofengland-ca.gov.uk/growth-hub/financial-business-support/iras/
LSE Adaptation Investment Call: https://www.lse.ac.uk/granthaminstitute/projects/attenuate-creating-the-enabling-conditions-for-uk-climate-adaptation-investment-creating-the-enabling-conditions-for-uk-climate-adaptation-investment
MACC Hub Call for proposals on transformational adaptation solutions: https://macchub.co.uk/knowledge-base/call-for-proposals-on-transformational-adaptation-solutions/
Economic Impacts of Climate Change. Work commissioned by WMCA to Sustainability West Midlands: https://www.sustainabilitywestmidlands.org.uk/resources/economic-impact-assessment-of-climate-change-on-the-economy-of-the-west-midlands-combined-authority-region/
North East Mayor launches UK’s first Combined Authority-led Carbon and Nature Marketplace: https://www.netzeronortheastengland.co.uk/case-studies/investment/north-east-mayor-launches-uk-s-first-combined-authority-led-carbon-and-nature-marketplace
Gloucestershire investment to decarbonise council offices: https://www.cotswold.gov.uk/environment/cotswold-climate-investment/
Oxfordshire economic analysis for adaptation route map: Oxfordshire Data Hub – Environment – Further Information
Context Setting
Anna Godleman, Portfolio Lead for Sustainability at the London Borough of Barnet and Vice Chair of the LGA Sustainability Action Network, introduced the topic of community energy and set out the purpose and expectations of the session. A baselining exercise was conducted to understand the current levels of experience and confidence within the session on community energy projects.
Presentation
Ellen Jennings, Senior Sustainability Officer at the London Borough of Barnet, introduced Barnet’s journey with supporting community energy projects over the last twelve months. As a London borough, Barnet’s approach to community energy has focused on urban areas and suitable technology, such as solar.
Community energy is about residents understanding, generating, using, owning and saving energy in their communities and putting people at the heart of that, with an emphasis on community ownership. There is no single model for community energy and projects can range from promoting energy efficiency in a local area, such as thermal imaging and energy audits for homes and community buildings to supporting investment in the installation of solar or renewable projects. It can help to tackle challenges such as the cost of living, upfront costs of renewable energy and address the low skill levels surrounding new technologies such as heat pump installation. A focus on education and engagement is key as more people can engage with community energy.
Ellen outlined the mechanics of community energy groups, which are usually set up as a community benefit society or a cooperative. They usually begin by doing engagement work on where potential projects might be and then raise funding for a particular project. Once funding is secured, a project is delivered. Once this is running, it generates electricity leading to a saving for the building owner. Profits must first go back to the investors on the interest that has been agreed, which is usually about three to four per cent. Anything above that generates a community fund which can then be put into other projects or another solar installation.
The presentation went on to discuss Barnet’s Citizen’s Assembly in 2023. Community energy was discussed and identified as a good route to help with the costs of installing solar. They then reached out to Community Energy London who were very supportive of all their work throughout. A resident reached out to ask if there was a community energy group in Barnet to join, and upon discovering there wasn’t, this resident set up Community Energy Barnet.
In March 2024, Barnet agreed they would jointly deliver a capacity building programme with Community Energy London, consisting of online sessions with different community energy groups that were well established. Repowering London reached out to see if they could partner with Community Energy Barnet to look at local buildings.
Community Energy London put prospective groups in touch with existing ones across London to share crucial knowledge on how to set a group up such as applying for funding or helping to set up a board.
Barnet is now in a position to pilot a community energy fund, funded through the council’s carbon offset fund.
Community energy is led by the community and is growing in Barnet due to dedicated local residents, assisted by London’s accomplished network of community energy support. Ellen discussed where the council’s role has been as an enabler, including identifying potential sites and helping to bring together stakeholders. There is also a financial role for Barnet now in hosting a community energy fund and ensuring this is streamlined with other grant funding for projects. This pilot fund is around £50,000, funded through the carbon offset fund. Communication plays a key role over time, helping to raise awareness of projects and provide broader engagement.
Highlighting a few significant factors in their success, Ellen identified the biggest positive of these projects were the people involved, led by proactive and passionate members of the community. The links to networks like Community Energy London were essential.
Some ongoing challenges include grid capacity, meaning that some proposed projects have had to reduce the size of their scope due to the grid capacity in the area. Secondly, finance is a key challenge as the return on community energy projects has decreased, so projects have to be much more creative on what they can deliver beyond cost saving. Thirdly, volunteer capacity is a challenge as groups are run by volunteers. This means Barnet must do what they can to support them and be realistic about what can be delivered.
Ellen concluded the presentation with some key advice that Barnet received at the start of the process:
- Start small and build the programme up – push on open doors to start with and then go for bigger more ambitious projects.
- Find key advocates and identify the key levers they can pull, then support in connecting them with community energy groups.
- Make the most of the many resources, networks and experts already out there and find ways to collaborate.
- Community energy is community led and there is no set way to do it. Local authorities can’t lead delivery if we want it to be community led and we shouldn’t worry if we are doing this slightly differently to other councils in the country.
Presentation Q&A:
Anna highlighted that many networks and organisations can help all over the UK and this is not limited to London, signposting to Community Energy England.
Question: What is the right support to offer as councils? Is our offer to them space, such as roof space or a piece of land they can build community energy schemes on, or do we become involved in the operation of the scheme?
Answer: Barnet’s approach has been to convene and enable, and provide support to local groups. Community Energy London and Repowering London have been helpful in this space. If there isn’t an experienced community energy group to partner with you may want to be more involved – it would be important to have the conversation about sharing these responsibilities at the beginning.
Question: How did you address procurement rules to enable you to work directly with community energy groups on capital projects on your buildings without having to open this up to the wider market?
Answer: Repowering London has been helpful in helping understand the technicalities of getting lease arrangements established, this is where established organisations can help.
Group Discussion:
Colleagues noted experiencing a few barriers which seem quite common, mostly around how to lease roof space. A briefing was shared around gaining authorisation from the Department for Education to put solar on school buildings. The concerns involved in ending a lease early were also flagged, and colleagues identified the benefits of projects where the community own the land, such as faith buildings.
One council shared their approach to putting solar on community buildings where the benefit has gone directly to the community and then Feed-in Tariffs (FITs) contribute to the council’s fund for repairs and inspections. This has also contributed to the council’s net zero goal. Solar is also installed on some of the council’s social housing with profit from these returns going to the council’s housing team.
Colleagues shared partnership work with community groups to run volunteer retrofit services. One project that was shared cost around £250,000 and was funded by the Local Energy Advice grant from DESNEZ. This included a large mail out of flyers about free retrofit advice and energy volunteers visiting properties, resulting in around 2,500 enquiries from residents.
The importance of proper training on energy for volunteers was discussed, including conducting DBS checks and instructing them on safety procedures within the property, such as not touching radiators or boilers. Anything beyond the scope of advice is referred to professionals such as retrofit assessors. A key challenge in working with energy volunteers is ensuring they recommend the correct grants and funding options to those eligible. One tool for this is allowing individuals to self-guide through a flow chart to understand what funding options are suitable for them.
Colleagues shared work being done with schools in partnership with a university behavioural science team. This includes developing a package for schools looking at insulation and running sessions on designing a model home. Councils are also working with the combined authority to each set up a net zero neighbourhood. This involves drones assessing the energy efficiency of houses and energy efficiency trained volunteers door knocking to provide energy advice. Discussions have assisted in understanding barriers to retrofit that would not otherwise be discovered, such as concerns about solar panels affecting satellite TV reception.
Shared links and resources
Context Setting
At an open drop in session for the Sustainability Action Network (SAN) on Wednesday 19 June 2024, members were asked for further insights from their roles about the priorities for their council net zero and sustainability work and how the SAN can further support members to meet these priorities.
Grace Abel, LGA Programme Manager, introduced the session and highlighted the importance of this type of meeting to discuss net zero strategies and action for local authorities. Colleagues from Hertfordshire approached the LGA to discuss carbon offsetting as a topic for an LGA Knowledge Exchange. This session aimed to start a conversation about offsetting in the context of local authorities and to learn from the experiences of other areas.
Helen Burridge, HCCSP Manager, Hertfordshire Climate Change and Sustainability Partnership, and Flavie Whetman Carbon Programme Manager, Hertfordshire County Council, provided a context setting presentation to introduce attendees to the concept of carbon offsetting. They stated that all local authorities in Hertfordshire would likely have excess emissions by target dates and they are considering offsetting as an option. They highlighted that currently there was no consistent national framework or approach for local authorities to follow and suggested that local authorities could begin to work together to develop a streamlined and optimised approach to offsetting.
They highlighted that in Hertfordshire there is a gross estimated excess of emissions between 25 and 30 kilotons of CO2e. They noted that high-quality carbon offsets can cost around £120 per tonne on the international market, which could lead to a total cost of over £3,000,000 for Hertfordshire. There is concern about the potential for duplication, contradiction, and reputational damage if local authorities were to seek to offset their emissions independently. This emphasised the importance of a coordinated, aligned, and optimised approach across the public and private sectors to ensure reliable, consistent, and high-quality offsetting at scale.
The presentation went on to discuss the different types of carbon offsetting markets and their potential relevance for local authorities. They highlighted the challenges and risks associated with voluntary carbon markets, including the potential for double counting and greenwashing. They also explored the different ways that local authorities could use offsetting to achieve their net zero targets, such as offsetting their own residual emissions or facilitating offsetting projects within their area. Finally, they raised questions about the structure, measurement, verification, and monitoring of offsetting initiatives, and the potential impact on local authorities' resources and reputations.
Section 1: Establishing understanding of carbon offsetting
To kick off the discussion, the audience was asked, “To what extent has your council looked into offsetting?” to baseline the general understanding and appetite for carbon offsetting. Over 50% of respondents indicated that they have explored offsetting to a small extent followed by 30% who stated they had ‘to a moderate extent’ with the remaining audience stating that had not considered it at all. This quick poll demonstrated the varying degrees to which local government colleagues had considered and explored carbon offsetting in their climate, sustainability and net zero programmes.
Section 1.1: Open discussion on offsetting plausibility, risks, and costs
Rachel Toresen-Owuor from Local Partnerships facilitated the discussion, focusing on the questions posed in the context setting. The first prompt question asked attendees to offer thoughts on the plausibility, risks, and costs of carbon offsetting.
One delegate mentioned that, like many other local authorities in the country, their council is facing financial difficulties that are hindering their decarbonisation efforts. Costs of net zero initiatives as well as potential costs and revenue generation of offsetting therefore made this conversation relevant but highlighted a need for cautious ambition.
The next delegate discussed the importance of credibility in offsetting initiatives. They mentioned that they were currently developing an offsetting policy that would outline acceptable practices and principles for using offsets. However, they stressed that focusing on offsetting should not detract from the ongoing efforts to mitigate and reduce emissions.
The next attendee discussed the need for clarity and understanding of the basics of carbon offsetting, including the differences between carbon neutrality and net zero. They highlighted the financial pressures faced by local authorities and the importance of prioritising decarbonisation programmes. They outlined the importance of calculating residual emissions accurately to justify spending on offsetting projects by considering their local benefits. They raised concerns about managing risks associated with national or international credits and the importance of monitoring and verification.
One delegate highlighted the importance of having consistent definitions for carbon offsetting terms. They expressed concern that local authorities might develop their own policies and approaches, only to find that they do not align with future national frameworks.
One delegate emphasised focusing on adaptation efforts, particularly in areas vulnerable to extreme weather events. They argued that while offsetting can be a valuable tool, it should not distract from the immediate need to adapt to climate change and address the concerns of local communities. They highlighted the potential challenges of prioritising offsetting projects over adaptation initiatives in areas where communities may be facing pressing issues related to climate change impacts.
The next attendee agreed with the previous statement about using offsetting as a last resort after exhausting other carbon reduction options. They acknowledged that there may be certain emissions that councils cannot control and emphasised the importance of considering local impacts and potential co-benefits when investing in offsetting projects. They suggested that collaboration with other councils could maximise the benefits of offsetting, ensuring that investments contribute to adaptation, mitigation, health, and wellbeing.
The next contributor mentioned that their organisation was considering offsetting their emissions through local initiatives like home retrofitting or tree planting within the borough. They stated that there was a consensus among the corporate management team that any offsetting funds should be spent within the borough boundaries.
The next point focused on the drivers for offsetting, which could include local nature recovery strategies and other initiatives that may not be directly related to carbon neutrality. They emphasised the importance of highlighting the multiple benefits of these projects, such as public health benefits, to encourage their implementation and support. The contributor also acknowledged the financial constraints faced by local authorities and expressed hope that the core benefits of offsetting projects would enable them to be implemented despite limited budgets.
The last contributor followed up on this point to stress the importance of considering co-benefits when making the case for offsetting projects. They mentioned the concept of additionality, which requires offsetting projects to not count activities that would have happened anyway: where do, for example, government grant schemes for residents (that local authorities can choose to facilitate) fit into this metric? They highlighted the need for clear policies and communication within organisations to ensure consistent approaches to offsetting that avoid unintended consequences.
Section 2: What does good look like?
The facilitator moved the discussion to focus on what good carbon offsetting could look like within local government. Chamu Kuppuswamy from the University of Hertfordshire offered views from research on the concept of carbon offsetting and its importance in achieving carbon neutrality.
Dr Kappuswamy referenced the challenges of defining acceptable levels of residual emissions and the need to consider the principle of additionality in offsetting projects highlighting the importance of fostering a culture of deep decarbonisation and the potential benefits of local insetting initiatives. They emphasised the need for further research and discussion on the topic of additionality to address the complexities involved in identifying truly additional offsetting projects.
The next colleagues shared details on research they conducted on various standards and principles related to offsetting and identified key points that were important to their organisations. These points included additionality, double counting, and leakage. The local authority subsequently developed a policy that incorporated these key points as criteria for any offsetting projects. They shared this approach that could be helpful for other organisations working on developing offsetting policies. Those draft principles were:
1. Offsetting is the option of last resort (prioritise reductions first).
2. Removals of carbon from the atmosphere are favoured over avoidance (because these are more robust).
3. Local projects are favoured (makes monitoring easier + supports the local economy).
4. Only additional projects contribute to formal offsetting (you can't count things you were legally required to do anyway).
5. Only offsets that do not result in emissions leakage and deliver permanent removals/avoidance are used.
6. Transparency and reporting and a robust calculation methodology are vital.
Section 3: If we are looking at responsibly offsetting, when do we do it?
In the last section, the discussion focused on timing and measuring offsetting. One attendee discussed the challenges of timing with offsetting schemes, particularly for projects like woodland and peatland restoration, which can take 10 to 15 years to generate verifiable credits. They suggested considering pre-purchasing carbon credits to ensure availability by the time target dates are reached.
The next delegate emphasised the importance of focusing on scope one and two emissions, which are within the control of local authorities. They mentioned that scope three emissions, such as procurement, employee commuting, and business travel, can also be significant and should be considered. However, they noted that when seeking verification for carbon neutrality or net zero, it is important to justify any exclusions of emissions categories and demonstrate that they are truly beyond the control of the organisation.
One council mentioned that their measurements cover scope one and two emissions, including gas, electricity, fuel use, and part of the fleet. They also included part of scope three emissions, such as business travel and electricity transmission distribution losses. They noted that there are different approaches to accounting for these emissions, including well-to-tank emissions. They mentioned that they are conducting a separate piece of work on scope three emissions, which is outside of their 2030 carbon neutrality target.
Concluding thoughts:
Grace Abel concluded the Knowledge Exchange session by thanking all participants for their contributions and highlighting the key takeaways from the discussion. With over 73 people attending at its peak, the importance of collaboration and knowledge sharing was emphasised across councils on the topic of offsetting. It was noted that while definitive answers were not reached, the session facilitated valuable discussions and provided a starting point for further exploration. Colleagues in Hertfordshire were keen to continue the discussion: next steps include their convening an informal offsetting officers’ group to consider sharing viable approaches for local authorities to consider taking forward. Those interested should contact Flavie Whetman for more information.
Shared Links & Resources:
- Shropshire Council – Biochar from Pyrolysis Project Committee Paper
- Anthesis – Area Based Insetting Framework Report & Rethinking Offsetting for LAs Blog
- Carbon Neutrality PAS 2060 is being replaced by ISO14068 ISO 14068-1:2023 - Climate change management – Part 1: Carbon neutrality
- Camden Climate Alliance – Camden Retrofit Credits Scheme
- HACT & PNZ Carbon – Retrofit Credits Programme
- University of Hertfordshire - A study into Decarbonisation and Carbon Offsetting in Hertfordshire
- APSE - The Relevance and Legitimacy of Carbon Offsetting in Local Government
- Natural England - Carbon Storage and Sequestration by Habitat 2021 (NERR094) Report
Highlighted pages
LGA Sustainability Action Network (SAN)
The SAN is a network designed to support officers working in sustainability and climate change related roles within local government. Members discuss emerging issues and trends affecting councils and combined authorities on new policies, programmes, and practices.
Sustainability hub
Alongside the majority of councils and combined authorities, the LGA has declared a climate emergency. We offer a wide range of resources to help councils and combined authorities address environmental sustainability, net zero and adaptation.