“Marge, I agree with you—in theory. In theory, communism works. In theory,” said Homer Simpson in response to his wife’s concerns over owning an elephant. Replacing the word “communism” with “carbon offsets” might be appropriate considering a recent turn of events.

In the United States, the Federal Trade Commission is currently investigating green marketing and advertising claims in a series of hearings. One of the topics under review is carbon offsets, a $54-million (USD) business in the United States alone last year.

As part of a growing “green trend,” many companies are featuring environmental incentives for consumers who choose their brand. One doesn’t have to search hard to find examples of this practice. Air Canada started a carbon offset program last May, in conjunction with a non-profit group called Zerofootprint. After typing in your destination and point of origin, the Zerofootprint website calculates the money you owe in order to cover the carbon dioxide emissions you are responsible for creating by flying. Other large corporations, such as Dell, Volkswagen, and General Electric offer optional environmental programs that range from investing in tree planting to reward points that earn the customer carbon offsets.

The FTC’s guidelines for environmental advertising haven’t been updated since 1998. Coupled with worries over where the money put into these programs actually goes, it is easy to see why some people are concerned.

On top of all this, the effectiveness of some carbon fighting strategies has been called into question. The number- one reason planting trees has been advocated as a tool for fighting climate change is the fact that they act as carbon sinks. Through photosynthesis, trees are able to absorb atmospheric carbon dioxide and use it to create leaves, branches, and other structures. Conceivably, extra trees will absorb the excess carbon dioxide that human activity puts into the atmosphere, provided they live long enough. A typical tree in the tropics is estimated to be able to absorb 22 kilograms of carbon dioxide from the atmosphere per year. However, trees in slower growing temperate forests absorb much less.

Compared to other carbon reduction strategies, planting trees is extremely cost effective. The International Panel on Climate Change notes that the price for this strategy can be as low as $0.10 to $20 USD per metric ton of carbon dioxide sequestered. In contrast to the usually steep costs of developing alternative energy sources, planting carbon sinks is an attractive and easily implemented solution. Whether or not it is an effective one remains to be seen.

Ken Caldeira, a researcher with the Carnegie Institution, denounces this “feel-good” practice of purchasing offsets, recommending that more effective strategies be pursued, such as stopping ecosystem destruction and changing the way we use energy.

English environmentalist George Monbiot famously compared the carbon offset system to that of buying indulgences in the Middle Ages. For a certain fee, Catholics could buy forgiveness for sins, easing their guilty consciences through monetary donations to the church. Rather than changing consumption habits, everyday consumers can use carbon offsets in much the same way.

Admittedly, it is difficult to gauge how effective climate change strategies are, and here is where the problem lies. Aware of the potential for abusing the system, many organizations that deal with carbon offsets are beginning to use independent groups to monitor their efforts. A formal certification system is needed and hopefully the FTC can get the ball rolling on this initiative.

Carbon offsets are a positive step towards fighting climate change, and the speed with which consumers and corporations have adopted the practice is encouraging. But accountability is needed to make sure carbon offsets are not money thrown out the window. The theory behind carbon offsets is a good one. Let’s hope the experiment proves they are effective.