The ERF’s carbon offset crediting scheme is an indispensable part of the policy framework required to ensure Australia achieves its net zero target in a cost-effective manner. Abandoning carbon offsets would substantially increase the cost of achieving the target and forego the many environmental and social co-benefits that can be generated from a well-functioning offset market. However, significant reform is needed to ensure the ERF generates real and additional abatement and performs its intended functions.