Book and claim is a powerful decarbonization lever, but it is one of many tools in our toolbox. In fact, there are many instances when other approaches, such as direct procurement, should be prioritized. With this in mind, how can we determine when book and claim is appropriate and when it is not? 

These four criteria are useful for determining if a book and claim merits consideration.  

1. At the early stages of any emerging market, supply is constrained. If you are unable to purchase the fuel or low-carbon service directly due to lack of access or if you do not normally directly procure the lower-carbon good yourself, book and claim might be a strong option. For example, if you aim to reduce your business travel emissions but do not purchase jet fuel and cannot easily partner with your carrier or LSP, you could purchase a book and claim certificate to address your emissions.  

2. While markets are growing, lower-carbon fuels and services are often not readily available in all geographies. Additionally, it doesn’t necessarily make sense from an emissions perspective to transport a lower-carbon fuel or vehicle if it could have been used closer to its production site. If you cannot source a lower-carbon good or service in your geography, book and claim might be a strong option. For example, if you are an airline that would like to increase their SAF uptake but do not regularly operate out of airports with access to SAF, you could purchase book and claim certificates to address a portion of your emissions. 

3. Many supply chains are long and complex, making it difficult to identify and influence distant supply chain partners. If a scope 3 emissions source is prohibitively buried in your supply chain, book and claim may be a strong option to address those emissions. For example, it may be practically difficult for an LSP or Carrier to efficiently shift a retailer’s exact cargo to its lower emission trucks within a busy tradelane. Doing so may create additional costs and even additional emissions. Book and claim systems can help service providers decarbonize efficiently. 

4. Many sector transitions require high capital investments to build new or retrofit existing production sites, this can drive up the prices of lower-carbon alternatives. If a book and claim certificate purchase goes directly towards addressing that cost premium and will push the sector closer to cost parity when at scale, book and claim may be a strong option. For example, a marine operator sees that green methanol will be a necessary part of its future decarbonization landscape but runs into any of the above issues. A book and claim certificate ensures they can support this emerging technology today. 

In ideal book and claim scenarios, all four of these criteria are present, but depending on your position in the supply chain or within which sector you operate, some may be more prevalent than others.