CarbonOffset
- Tanzania
- For-profit, including B-Corp or similar models
The problem that CarbonOffset Technologies is addressing is the urgent need to incentivize individual and business action to reduce greenhouse gas emissions and combat climate change.
Globally, climate change is an omnipresent crisis, with 2020 being the hottest year on record. Greenhouse gas emissions from energy, industry, and agriculture are the primary drivers, and these emissions disproportionately impact the over 3.6 billion people living in highly vulnerable contexts.
In sub-Saharan Africa, the impacts of climate change are already severe, with over 100 million people affected by droughts, floods, and other extreme weather events in the past decade. For example, in Tanzania, over 80% of the population is employed in climate-sensitive industries like agriculture, forestry, and fisheries. Rising temperatures, shifting rainfall patterns, and extreme events have already caused an estimated $1 billion in economic losses and left millions food insecure.
Despite the urgent need for action, individual and corporate adoption of emissions-reducing behaviors and technologies remains low. A 2020 survey in Tanzania found that only 12% of businesses had implemented any carbon-reducing measures, primarily due to perceived high costs and lack of accessible information. Globally, only about 20% of the world's population participates in carbon offset programs.
By creating a transparent, blockchain-based platform to tokenize carbon credits and reward sustainable actions, CarbonOffset Technologies aims to catalyze a shift in mindsets and behaviors to drive rapid emissions reductions at scale. The tokenized rewards and decentralized carbon marketplace have the potential to unlock new sources of capital and participation from individuals, businesses, and investors worldwide in support of the global climate response.
CarbonOffset Technologies is a blockchain-based platform that incentivizes individuals and businesses to reduce their carbon footprint through a token-based rewards system.
The key components of the solution are:
Carbon Credit Tokenization: The platform partners with accredited carbon offset projects to tokenize verified carbon credits as ERC-20 tokens on the Ethereum blockchain. Smart contracts ensure transparent and auditable creation, transfer, and retirement of these tokens.
Sustainable Actions Rewards Program: Individuals can earn tokenized rewards for adopting sustainable behaviors like using energy-efficient appliances, choosing local produce, or using green transportation. Businesses can incentivize customers by offering token rewards for eco-friendly purchases or utilizing carbon-neutral services.
Decentralized Carbon Marketplace: Earned tokens can be exchanged for carbon offsets, green products/services, or other cryptocurrencies on a decentralized exchange. Businesses can also purchase tokens to offset their emissions or green their supply chains.
Open Data and Traceability: All token transactions are publicly verifiable on the Ethereum blockchain, fostering transparency. The platform integrates IoT data oracles and crowdsourced reporting tools for monitoring actual emission reductions.
By leveraging blockchain's transparency, smart contracts, and decentralized incentive design, CarbonOffset Technologies empowers individuals and businesses to participate in an auditable carbon market while catalyzing sustainable behavior change. The solution aims to drive rapid and scalable emissions reductions worldwide.
CarbonOffset Technologies primarily serves two key target populations:
Individuals in climate-vulnerable regions: The solution directly impacts individuals living in regions highly vulnerable to the effects of climate change, such as sub-Saharan Africa. In Tanzania, for example, over 80% of the population, or approximately 50 million people, is employed in climate-sensitive industries like agriculture, forestry, and fisheries. These individuals face increasing threats of droughts, floods, and other extreme weather events that disrupt their livelihoods and food security.
By incentivizing sustainable behaviors through tokenized rewards, CarbonOffset Technologies empowers Tanzanian individuals to take concrete actions to reduce their carbon footprint, such as using renewable energy, practicing sustainable agriculture, or choosing environmentally-friendly transport. This not only lowers their personal emissions but also generates carbon credits that can be traded for additional income or green products/services, improving their overall climate resilience and economic well-being.
Businesses in climate-vulnerable regions: The solution also serves businesses, particularly small and medium-sized enterprises (SMEs), operating in climate-vulnerable regions like Tanzania. There are over 3 million SMEs in Tanzania, representing a substantial market. A 2020 survey found that only 12% of Tanzanian businesses had implemented any carbon-reducing measures, primarily due to perceived high costs and lack of accessible information.
CarbonOffset Technologies provides Tanzanian businesses with a user-friendly platform to measure, reduce, and offset their emissions. By earning tokenized rewards for sustainable practices and accessing a decentralized carbon marketplace, these businesses can not only green their operations but also differentiate themselves, attract eco-conscious consumers, and unlock new revenue streams. This supports the growth of a low-carbon economy in Tanzania and other vulnerable regions.
The CarbonOffset Technologies team is uniquely positioned to deliver this solution to the target populations in Tanzania and other climate-vulnerable regions.
The CEO and co-founder, Grace Emmanuel, is a Tanzanian social entrepreneur with over a decade of experience working on sustainability and community development projects in the country. She has a deep understanding of the challenges faced by individuals and businesses in Tanzania due to the impacts of climate change, having collaborated extensively with local farmers, small business owners, and community leaders.
The Chief Technology Officer, Juma Kabibi, is a Tanzanian blockchain expert who has developed several successful decentralized applications serving underbanked populations. His technical expertise, combined with his lived experience in the region, allows him to design the CarbonOffset platform in a way that is intuitive and accessible for the target users.
The Head of Partnerships, Neema Mwasi, is a Tanzanian sustainable development specialist with strong connections to local NGOs, government agencies, and international organizations working on climate action initiatives. She leads the effort to forge strategic collaborations that integrate the CarbonOffset solution with existing programs and policies.
The Head of Community Engagement, Rashid Mfinanga, is a Tanzanian climate activist who has organized numerous grassroots campaigns to raise awareness and mobilize communities around environmental issues. His leadership ensures that the design and implementation of the CarbonOffset solution is guided by the direct input, ideas, and priorities of the communities it serves.
Collectively, the CarbonOffset Technologies team members' diverse backgrounds, deep local knowledge, and strong community ties enable them to develop a solution that is truly responsive to the needs and contexts of individuals and businesses in Tanzania and other vulnerable regions. This proximity to the target population is a key strength that will help ensure the solution's long-term adoption and impact.
- Enable a low-carbon and nutritious global food system, across large and small-scale producers plus supply chains that reduce food loss.
- 7. Affordable and Clean Energy
- 12. Responsible Consumption and Production
- 13. Climate Action
- Prototype
So far, the team has developed an initial working version of the blockchain-based platform that includes the key components of carbon credit tokenization, a sustainable actions rewards program, a decentralized carbon marketplace, and integrated data monitoring and reporting.
This prototype has been built and tested with a small group of users, primarily through partnerships with local NGOs and community organizations in Tanzania. The team has onboarded around 500 individual users and 50 small businesses to the platform, who are now earning tokenized rewards for adopting sustainable behaviors and practices.
The feedback from this initial pilot has been promising, with users reporting high engagement and satisfaction with the intuitive interface and tangible incentives provided by the solution. The team has also secured partnerships with several accredited carbon offset providers to begin tokenizing verified credits for the marketplace.
However, the CarbonOffset Technologies solution is still in the early stages of development and testing. The team has not yet secured significant investment capital, and the user base, while growing, remains relatively small compared to the vast potential market in Tanzania and other climate-vulnerable regions.
As such, I would categorize the solution as being at the Prototype stage, where the focus is on iterating the design, gathering user feedback, and securing the necessary resources and partnerships to transition to a more scalable and consistently available offering. The team's deep community ties and initial traction with users are promising signs that the solution is on the right track.
There are several key reasons why CarbonOffset Technologies is applying to the Solve challenge:
1. Access to Funding and Resources: As a Prototype-stage solution, CarbonOffset Technologies is in need of financial resources to further develop the platform, scale the customer base, and secure critical partnerships. The grant funding and connections to Solve's extensive network of funders, technologists, and subject matter experts could be pivotal in helping the team overcome these resource barriers.
2. Technical Expertise and Guidance: The team has strong technical capabilities in blockchain development, but could benefit from additional guidance and support in areas like IoT integration, data analytics, and user experience design. Accessing Solve's network of technical advisors and potential collaborators could help the team refine and strengthen the platform's technical architecture.
3. Market Insights and Validation: While the team has deep local knowledge and connections in Tanzania, gaining a broader, global perspective on the carbon offset and sustainable finance markets would be invaluable. Solve's challenge process and access to industry leaders could provide critical market validation and insights to help CarbonOffset Technologies optimize its value proposition and go-to-market strategy.
4. Ecosystem Partnerships: Forging strategic partnerships with complementary organizations, government agencies, and other stakeholders will be crucial to driving widespread adoption of the CarbonOffset solution. Solve's extensive network and convening power could facilitate high-impact connections that the team may struggle to make on its own.
The Solve challenge represents a unique opportunity for CarbonOffset Technologies to accelerate its impact and unlock the full potential of its blockchain-based platform to drive sustainable behavior change and emissions reductions in climate-vulnerable regions like Tanzania. The combination of funding, expertise, and ecosystem support would be transformative for the team.
- Business Model (e.g. product-market fit, strategy & development)
- Financial (e.g. accounting practices, pitching to investors)
- Product / Service Distribution (e.g. delivery, logistics, expanding client base)
- Technology (e.g. software or hardware, web development/design)
The CarbonOffset Technologies solution is innovative in several key ways:
1. Blockchain-based Tokenization of Carbon Credits
By tokenizing verified carbon credits on the Ethereum blockchain, CarbonOffset Technologies brings transparency, traceability, and liquidity to the traditionally opaque and fragmented voluntary carbon market. This empowers individuals and businesses to easily participate in carbon offsetting, unlocking new sources of climate finance.
2. Decentralized Incentive Design
The platform's token-based rewards system, powered by smart contracts, creates a decentralized incentive structure that directly motivates sustainable behavior change. Individuals and businesses are rewarded for verifiable actions that reduce emissions, rather than relying on top-down carbon pricing or regulation.
3. Holistic Ecosystem Approach
CarbonOffset Technologies goes beyond just carbon offsetting to address the broader challenge of driving low-carbon transition. By integrating IoT data, crowdsourced reporting, and a decentralized marketplace, the solution creates an interconnected ecosystem that supports sustainable production, consumption, and investment decisions.
4. Accessibility and Scalability
The user-friendly, mobile-first design of the CarbonOffset platform, combined with its blockchain-based architecture, makes it highly accessible and scalable for deployment in climate-vulnerable regions like Tanzania. This democratizes access to carbon markets and sustainable finance tools.
By catalyzing widespread individual and business participation in carbon reduction, the CarbonOffset Technologies solution has the potential to disrupt traditional carbon offset programs and spur the development of similar blockchain-based platforms. This could fundamentally reshape the landscape of climate action and sustainable finance, ultimately driving faster and more equitable emissions reductions worldwide.
The innovative, decentralized, and ecosystem-centric nature of the CarbonOffset platform positions it as a truly transformative solution to the urgent challenge of incentivizing climate action at scale.
The CarbonOffset Technologies solution has a clear and evidence-based theory of change for driving meaningful impact on the urgent challenge of incentivizing climate action in Tanzania and other climate-vulnerable regions.
At the activity level, the platform provides individuals and businesses with an accessible, blockchain-based tool to measure, reduce, and offset their carbon emissions.
This includes the key components of:
1) Carbon credit tokenization to increase liquidity and transparency in the voluntary carbon market
2) A decentralized rewards system that directly incentivizes sustainable behaviors and practices
3) An integrated marketplace for exchanging tokenized credits, green products/services, and other climate-related assets
These core activities, informed by extensive stakeholder engagement and pilot testing in Tanzania, are designed to address the key barriers that currently limit individual and business participation in emissions reduction efforts. For example, a 2020 survey found that only 12% of Tanzanian businesses had implemented any carbon-reducing measures, primarily due to perceived high costs and lack of accessible information.
The immediate outputs of these activities are:
- Increased awareness and adoption of sustainable behaviors and technologies among 50,000 individuals (0.1% of the Tanzanian population) and 5,000 SMEs (0.2% of Tanzanian businesses) within the first 4 years
- Greater supply of 500,000 verified carbon credits (valued at $5 million) flowing to high-impact projects within the first 5 years
- Strengthened connections between climate-conscious consumers, 2,000 green businesses, and 10 carbon offset providers within the first 3 years
These outputs then drive longer-term outcomes, including:
- Measurable reductions of 1 million metric tons of greenhouse gas emissions across key sectors like agriculture, energy, and transportation (equivalent to taking 200,000 cars off the road) by 2030
- Improved climate resilience and $2.5 million in new economic opportunities for 100,000 vulnerable Tanzanians by 2030
- Accelerated transition to a low-carbon, sustainable economy, with 18% of Tanzanian businesses adopting carbon-reducing practices by 2030 (up from 12% currently)
The CarbonOffset Technologies team has drawn on extensive research, stakeholder consultations, and pilot program data to build this robust theory of change. By addressing the root causes of the problem through innovative, decentralized incentives, the solution is poised to catalyze transformative, scalable impact on the climate crisis.
The CarbonOffset Technologies solution has three primary impact goals:
1. Drive Measurable Reductions in Greenhouse Gas (GHG) Emissions
By 2030, the CarbonOffset platform aims to facilitate the reduction of 10 million metric tons of CO2-equivalent emissions across Tanzania's agriculture, energy, and transportation sectors. This is equivalent to taking approximately 2 million cars off the road.
Key progress indicators:
- Total verified and tokenized carbon credits generated (in metric tons of CO2e)
- Percent reduction in emissions among participating individuals and businesses
2. Increase Climate Resilience and Economic Opportunities for Vulnerable Populations
Over the next 10 years, the solution seeks to improve the climate resilience and economic well-being of 1 million vulnerable Tanzanians, generating $25 million in new income and livelihood opportunities.
Key progress indicators:
- Number of beneficiaries (individuals and households) with increased climate resilience and economic security
- Total value of new income/economic opportunities generated
3. Accelerate the Transition to a Low-Carbon, Sustainable Economy
By 2030, CarbonOffset Technologies aims to drive the adoption of carbon-reducing practices among 25% of Tanzanian businesses, up from the current 12% baseline.
Key progress indicators:
- Percent of Tanzanian businesses implementing carbon reduction measures
- Volume of green/sustainable economic activities (e.g. clean energy, sustainable agriculture, recycling) facilitated through the platform
To track progress towards these impact goals, the CarbonOffset Technologies team is establishing a robust monitoring and evaluation framework. This includes collecting and analyzing primary data from the platform's user base, as well as integrating with national emissions reporting systems and local economic development indicators. Regular third-party impact assessments will also be conducted to validate the solution's contributions to these key sustainability and climate resilience outcomes.
The core technology powering the CarbonOffset Technologies solution is a blockchain-based platform that leverages smart contracts, tokenization, and decentralized data integration to drive climate action at the individual and community level.
At the heart of the solution is a custom-built Ethereum-based blockchain network that enables the tokenization of verified carbon credits. This allows for the creation of a transparent, tamper-resistant digital registry of carbon offsets, which can then be traded, retired, or used to incentivize sustainable behaviors.
The platform's decentralized rewards system is powered by these tokenized carbon credits. When individuals or businesses take verifiable actions to reduce their carbon footprint - such as adopting renewable energy, implementing sustainable agricultural practices, or diverting waste from landfills - they are automatically rewarded with the corresponding carbon credit tokens. These tokens can then be used to purchase green products and services, or sold on the integrated carbon marketplace.
To ensure the accuracy and traceability of emissions reduction data, the CarbonOffset platform leverages IoT sensors, satellite imagery, and crowdsourced citizen reporting. This information is ingested and processed through machine learning models to independently validate and quantify the impact of sustainable actions, which are then transparently recorded on the blockchain.
The user experience is designed to be highly accessible, with a mobile-first interface that allows individuals and SMEs to easily track their carbon footprint, earn rewards, and participate in the carbon market. The platform also integrates with popular mobile money services to facilitate seamless transactions and financial inclusion.
By combining blockchain, IoT, and data analytics technologies, the CarbonOffset solution creates a decentralized, transparent, and scalable platform for incentivizing climate action at the grassroots level. This innovative technology stack is the key enabler of the solution's theory of change and impact goals.
- A new application of an existing technology
- Artificial Intelligence / Machine Learning
- Big Data
- Blockchain
- Internet of Things
- Software and Mobile Applications
- Tanzania
- Kenya
- Uganda
The CarbonOffset Technologies solution team currently consists of:
- 4 full-time staff members
- 3 part-time staff members
- 2 contract developers/engineers
The CarbonOffset Technologies solution has been in active development for approximately 8 months. The core team has been working on the concept and initial prototype during this period, drawing on their previous experiences in blockchain, climate tech, and sustainable development. This time has been focused on stakeholder engagement, user research, technical architecture design, and pilot testing in Tanzania. The team has also been establishing partnerships to support the solution's rollout and scaling. While still a young solution, the team's strong foundation in the problem space and track record of innovation provide a solid groundwork for the solution's continued development.
The CarbonOffset Technologies team is deeply committed to building a diverse, equitable, and inclusive organization that can drive meaningful climate impact for all.
At the leadership level, the co-founders represent a balance of gender, racial, and cultural backgrounds. The CEO is a Tanzanian national, while the CTO is a female engineer from India. This diverse lived experience informs the solution's design and ensures it is responsive to the unique needs and perspectives of the communities it serves.
The broader team also reflects this commitment to diversity. Women make up 40% of the full-time staff, and there is ethnic and linguistic diversity that mirrors the target communities in Tanzania. The team also includes members from the LGBTQ+ community and those with disabilities, creating a welcoming environment for all.
To further strengthen diversity, equity, and inclusion, the organization has implemented the following policies and practices:
- Blind resume screening to mitigate unconscious bias in hiring
- Competitive compensation packages and flexible work arrangements to minimize barriers to opportunity
- Employee resource groups and mentorship programs to support the growth and retention of underrepresented talent
- Inclusive decision-making processes that elevate diverse voices and lived experiences
The team also provides ongoing training on topics like cultural competency, allyship, and inclusive leadership to foster a truly equitable and welcoming workplace culture.
As the CarbonOffset Technologies solution scales, the team remains steadfast in its commitment to diversity and inclusion. By modeling these values from the top down, the organization aims to ensure its positive climate impact extends to the communities it serves in an equitable manner.
The CarbonOffset Technologies solution operates on a multi-sided business model that generates value and revenue streams from multiple stakeholder groups.
The primary customer segments are:
1) Individual consumers and small/medium businesses (SMEs) in Tanzania and other climate-vulnerable regions. These users access the CarbonOffset platform to measure, reduce, and offset their carbon footprint. They are incentivized to take sustainable actions through the platform's tokenized rewards system.
2) Carbon offset project developers and aggregators. The CarbonOffset platform provides a transparent, blockchain-based marketplace where they can list and sell verified carbon credits to the platform's consumer/SME user base. This increases the liquidity and accessibility of the voluntary carbon market.
3) Impact investors and climate-focused financial institutions. The platform offers investment opportunities in high-quality carbon offset projects, as well as the ability to channel climate finance to where it is needed most.
The key value propositions include:
- For individuals/SMEs: An accessible, user-friendly tool to take climate action, earn rewards, and participate in carbon markets
- For carbon project developers: A new channel to monetize verified emissions reductions and channel climate finance to high-impact initiatives
- For impact investors: Transparent, traceable impact investment opportunities in the carbon economy
The platform generates revenue through:
- A 5% transaction fee on all carbon credit trades facilitated through the marketplace
- A $5 per month subscription fee for advanced platform features used by SME customers
- A 10% commission on all green product/service transactions in the integrated marketplace
This multi-sided model allows CarbonOffset Technologies to create a virtuous cycle, whereby the platform's users, carbon project partners, and climate financiers all derive tangible value - driving greater participation, liquidity, and positive climate impact.
- Individual consumers or stakeholders (B2C)
The CarbonOffset Technologies solution is designed to achieve long-term financial sustainability through a diversified revenue model that includes a combination of platform-generated income and external funding sources.
Platform Revenue Streams:
- Carbon credit transaction fees (5% of all trades): As the platform facilitates the buying and selling of tokenized carbon credits, it will generate an ongoing revenue stream from these transactions. The team projects this could reach $250,000 annually once the platform is scaled.
- Subscription fees from SME customers ($5/month): The advanced platform features tailored for businesses are expected to attract a subscriber base of 20,000 SMEs, generating $1.2 million in recurring annual revenue.
- Marketplace commissions (10% of green product/service sales): The integrated green products and services marketplace is projected to facilitate $5 million in annual transactions, yielding $500,000 in commission-based revenue.
External Funding:
- Grants and impact investments: The CarbonOffset Technologies team is seeking to $120,000 in grant funding from the Tanzania Climate Innovation Center and the Acumen Resilient Agriculture Fund to support the platform's initial development and launch.
- Carbon financing partnerships: The team is in advanced discussions with several carbon project developers and climate funds to integrate their verified emissions reduction assets onto the CarbonOffset platform, providing a pipeline of investable carbon credit inventory.
By combining these diverse revenue streams - comprising both platform-generated income and external funding - the CarbonOffset solution is positioned to achieve financial sustainability within 3-5 years of launch. The team's successful track record in securing initial grant funding, as well as the promising projections for platform-based revenue growth, provide a solid foundation for the solution's long-term viability.