Carbon Credits Estimator

What it does

When you cut energy use, you avoid the CO₂ the power plant would have burned to make that electricity. A "carbon credit" is a tradeable certificate representing one tonne of CO₂ kept out of the air, which can be worth money on carbon markets or in sustainability reporting. This tool converts your annual energy (and water) savings into tonnes of CO₂ avoided and puts a dollar value on them at a carbon price you choose.

When to use it

When building the sustainability or ESG side of a business case — for example, justifying an LED retrofit or efficiency project by adding a carbon-offset value on top of the energy-bill savings. It is crop-agnostic. Be realistic: actually monetizing credits requires enrolling in a verified offset program with third-party measurement, so treat the dollar figures as illustrative unless you have a buyer.

What you enter

Annual Energy Savings(kWh)

Grid Emission Factor(kg CO₂/kWh)

kg of CO₂ emitted per kWh on your local grid — look up your region's value (EPA eGRID in the US); coal-heavy grids ≈ 0.9, clean grids ≈ 0.1.

Carbon Credit Price($/tonne)

Water Saved(gal/yr)

What you get

CO₂ Avoided(tonnes/yr)

Carbon Credit Value($/yr)

Water-Related CO₂(tonnes/yr)

Total Offset Value($/yr)

Reading the result

CO₂ Avoided (tonnes/yr) is your energy saved × your grid's emission factor — so a dirty, coal-heavy grid produces far more credit value per kWh saved than a clean one. Carbon Credit Value and Total Offset Value multiply those tonnes by your chosen carbon price, which swings widely ($5–150/tonne), so run a low and a high price to bracket the range. The water-related CO₂ term is small and based on a generic per-gallon factor. Use these numbers to strengthen an efficiency case, not as guaranteed income.

Related calculators

• Energy Consumption & Cost Calculator
• Sustainability Tracker
• Demand Response Optimization
• Electrical Estimator