Carbon Offset Through Tree Planting: a Sustainable Initiative in Companies

Objective: The objective of this study is to investigate the practice of environmental compensation as a strategy to mitigate companies' environmental impacts, with the aim of evaluating its effectiveness in reducing CO₂ emissions and its impact on corporate image, attracting consumers and investors interested in sustainability. Theoretical Framework: This section presents the main concepts and theories that underpin the research, such as the concept of corporate sustainability, ESG (Environmental, Social, and Governance), and environmental compensation practices. Theories on corporate socio-environmental responsibility and strategies for mitigating environmental impacts are highlighted, providing a solid foundation for understanding the research context. Method: The methodology adopted for this research consists of a case study focused on a company that calculates CO₂ emissions from its operations and compensates for those emissions through tree planting in a permanent persevation area (PPA) in São José dos Pinhais, Dinheiro. Data collection was carried out through document analysis, environmental reports, and interviews with managers responsible for sustainable practices. Results and Discussion: The results revealed that environmental compensation through tree planting in permanent preservation areas not only contributes to the recovery of degraded areas but also improves the company’s image in the market. In the discussion section, these results are contextualized within the theoretical framework, highlighting the implications for adherence to ESG criteria and the positive perception of consumers and investors. Study limitations, such as the reliance on self-reported company data, are also considered. Research Implications: The practical and theoretical implications of this research are discussed, providing insights into how companies can adopt environmental compensation as a tool to promote sustainability. These implications may impact the corporate sector, especially companies seeking to align their operations with ESG principles and reduce their environmental impact. Originality/Value: This study contributes to the literature by highlighting environmental compensation as an effective approach for companies seeking to reduce their CO₂ emissions, as well as contributing to environmental restoration. The relevance and value of this research are demonstrated by showing how this practice can strengthen corporate image in a market increasingly aware of sustainability and social responsibility issues.