The UK Government's Quality Assurance Scheme for Carbon Offsetting

Why are there fees for approval?

The approval scheme is self-funding with fees charged for the following activities:

• Initial application to have an offset(s) approved under the Scheme
• Application to have a non-standard emission factor approved for use as part of an approved offset
• Renewal of approval

Fees received will be used by the Approval Body to:

• Review and assess the applications
• Maintain the approval website
• Monitor the market to ensure the requirements are being met and the Quality Mark is being used correctly
• Complete audits
• Ensure compliance with Scheme
• Respond to queries and complaints
• Provide an annual report to Defra on the scheme and state of the offsetting industry

Initial fees and renewal

Initial fees for application to have an offset approved by the Scheme are stratified and based on the offset provider’s turnover or balance sheet total relating to the highest parent company or organisation. Reduced fees are offered to organisations defined as large, medium, small and micro.

The initial fee covers the assessment of an individual application and funds the Scheme’s audit process and the monitoring of use associated with the Scheme’s Quality Mark.

All offsets that adhere to the Scheme can be approved as part of the initial application. A single fee is charged each time an application for offset approval is made. Offset providers may wish to put forward one or more offsets for approval within each application. All supporting information relating to the offsets submitted as part of an application for approval must be provided simultaneously. Any further offsets submitted for approval will carry an additional approval fee. 

The fees associated with the annual renewal of an approved offset are outlined below.

Fees for resellers

Fees are charged for large or small resellers of approved offsets where the reseller wishes to use the Quality Mark. This fee covers the administration, issuance of the Quality Mark and subsequent auditing of resellers.

Fees are levied via the offset provider supplying the approved offset.

Fees structure for initial offset approval

Company/organisation category	Initial fee for application to the approval scheme	Turnover	Balance sheet total
Large	£10,000	> £40 million	> £ 34.4 million
Medium	£7,500	≤ £40 million	≤ £ 34.4 million
Small	£4,500	≤ £8 million	≤ £8 million
Micro	£3,600	≤ £1.6 million	≤ £1.6 million
Large Reseller	£5,000	≥ £8 million	≥ £8 million
Small Reseller	£750	< £8 million	N/A

Fees structure for approved offset renewal

Company/organisation category	Renewal fee for approved offsets	Turnover	Balance sheet total
Large	£4,444	> £40 million	> £ 34.4 million
Medium	£3,333	≤ £40 million	≤ £ 34.4 million
Small	£2,000	≤ £8 million	≤ £8 million
Micro	£1,600	≤ £1.6 million	≤ £1.6 million
Large Reseller	£5,000	≥ £8 million	≥ £8 million
Small Reseller	£750	< £8 million	N/A