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The key concept is that offset credits are used to convey a net climate benefit from one entity to another. Because GHGs mix globally in the atmosphere, it does not matter where exactly they are reduced. From a climate change perspective, the effects are the same if an organization: (a) ceases an emission-causing activity; or (b) enables an equivalent emission-reducing activity somewhere else in the world. Carbon offsets are intended to make it easier and more cost-effective for organizations to pursue the second option. see it here

However, figures from the Clean Energy Council show renewable energy provided 17.3 per cent of Australia’s electricity in 2016. This was a significant improvement compared to the previous year, when renewable energy provided 14.6 per cent of Australia’s electricity.

Solar energy is experiencing the biggest growth among renewable energy sources, with almost 60 per cent average annual growth over the last ten years.

Clean Energy Council figures show an $8.8 billion investment in large-scale renewable energy projects in 2017. Solar and wind projects were roughly equal, with Queensland leading the way on solar and Victoria and SA accounting for most of the wind power.

Renewable energy is energy that is continuously replenished in the environment. Once coal and oil leave the earth that resource does not regenerate. It is non-renewable energy, also known as fossil-fuel energy because of its origins hundreds of millions of years ago as debris left from plant and animal remains.

But certain sources of energy are renewable because they are the result of continuous natural phenomenon, like the sun and the wind, a river flow, or the tide. Renewable energy comes from sources that are essentially inexhaustible.

But coal still dominates in electricity production. According to statistics from the Office of the Chief Economist, 32 per cent of our energy consumption in 2014-15 came from coal.

A carbon footprint is the total amount of carbon dioxide and other GHGs the activities of a person or organization generates. It includes both direct and indirect emissions.

A direct emission originates from a source the reporting entity owns. An example is carbon dioxide produced from fossil fuel combustion inside a delivery vehicle a company owns. Indirect emissions result from the reporting entity's activities but originate from sources the reporting entity does not own. These are also referred to as upstream or downstream activities.

Producing a T-shirt creates indirect emissions at various points in the supply chain. These include growing the cotton and shipping raw materials and the final product, as well as later decomposition of the material in a landfill. These indirect emissions contribute to both the producer's and the consumer's carbon footprints.