Meaning & use

Offsetting

noun·Advanced

Last updated

The action of counterbalancing one effect, cost, or emission with an equivalent opposite one, especially funding environmental projects to compensate for carbon emissions.

See it in a sentence

The airline lets passengers pay extra for carbon offsetting to reduce their flight's environmental impact.

The company used currency offsetting to protect its profits from exchange-rate swings.

A note on using this word

The term is especially common in environmental contexts, where "carbon offsetting" has become a widely debated corporate sustainability strategy.

Words with a similar meaning

counterbalancingcompensating

Choose a synonym to suit the sentence. Meanings can overlap without being identical.

Another way to use it

2. verb

Canceling out or neutralizing an effect by an opposing one.

Rising ingredient costs were offsetting the restaurant's higher sales.

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