ABSTRACT
Risk was not given much consideration in offsets management for some time, especially by buyers or offsets authorities. The onus of undertaking risks and developing risk mitigation was often thought of as the responsibility of sellers. Failure to appreciate risks by both sellers and buyers had often caused confusion, unexpected programme delay, escalation in cost and many other complications in delivering an effective offsets programme. Sellers and buyers are increasingly considering risks and incorporating risks mitigation strategies in their offsets planning and implementation. Risk is now an important component of offsets management and it has become the collective responsibility of both sellers and buyers to anticipate risks and develop risks register as guidance in programme delivery. This chapter focuses on risk as part of offsets management from the views of sellers and buyers. It discusses the risk of offsets obligee and then it focuses on the risks of offsets obligor within the offsets management life cycle.
