Greenhouse gasses, such as carbon dioxide and methane absorb and emit heat radiation, which contribute to global warming. Human activities such as increased emissions through burning of fossil fuels and deforestation drive this climate threat. International treaties such as the Paris agreement, enables stakeholders to mitigate effects of climate impact and create new sustainable markets. Various carbon offset projects on the voluntary market are an attempt to neutralize climate impact. In this report we identify five main project types for carbon offsets: i) forestry and land use, ii) renewable energy and energy effectivization, iii) transport, iv) waste handling and v) household devices. These project types are evaluated against UNs 17 sustainable development goals. The results show a net positive impact on goal 13, Climate action, for all project types, which is congruent with the focus on carbon offsetting. The results also show that impact varies depending on how the project is deigned. Climate offsetting has enabled multiple stakeholders to contribute to climate change mitigation. Despite many global benefits, carbon offsets have been subject to criticism in cases where the concept is not used as intended. There are currently no clear guidelines as to when focus for companies should shift from internal reduction to external reduction through offsetting. Validation of carbon offsets is another problematic aspect, as there is no one standard for the market to secure the quality of projects.

The work reported in this thesis is divided in to two parts. In the first part, we report a closed-form bit error rate (BER) performance analysis of orthogonal frequency division multiple access (OFDMA) on the uplink in the presence of carrier frequency offsets (CFOs) and/or timing offsets (TOs) of other users with respect to a desired user. We derive BER expressions using probability density function (pdf) and characteristic function approaches, for a Rician faded multi-cluster multi-path channel model that is typical of indoor ultrawideband channels and underwater acoustic channels. Numerical and simulation results show that the BER expressions derived accurately quantify the performance degradation due to non-zero CFOs and TOs. Ultrawideband channels in indoor/industrial environment and underwater acoustic channels are severely delay-spread channels, where the number of multipath components can be of the order of tens to hundreds. In the second part of the thesis, we report low complexity equalization algorithms for cyclic-prefixed single carrier (CPSC)systems that operate on such inter-symbol interference(ISI) channels characterized by large delay spreads. Both single-input single-output and multiple-input multiple-output(MIMO) systems are considered. For these systems, we propose a low complexity graph based equalization carried out in frequency domain. Because of the noise whitening effect that happens for large frame sizes and delay spreads in the frequency domain processing, improved performance compared to time domain processing is shown to be achieved. Since the graph based equalizer is a soft-input soft-output equalizer, iterative techniques(turbo-equalization) between detection and decoding are shown to yield good coded BER performance at low complexities in convolutional and LDPC coded systems. We also study joint decoding of LDPC code and equalization of MIMO-ISI channels using a joint factor graph.

As the anthropogenic emissions of greenhouse gases (GHGs) have increased and received moreattention, the need for climate mitigation solutions has become more urgent. Today, several methodologies for carbon accounting exists, as well as the possibility to offset emissions by buying carbon offsets. All these methodologies directly or indirectly spring from LCA but have developed to metrics considering only climate and with a dissatisfying sustainability performance in other aspects. Four carbon accounting methodologies (VCS, Gold Standard, GHG Protocol, XPRIZE Carbon Removal) have been examined and compared, showing differences in the approach to quantification and to more holistic sustainability aspects. They have also been analysed in comparison to the QU.A.L.ITY framework proposed by the European Commission, which aims to ensure the quality of carbon removals and prevent greenwashing. The results showed a lack of coherence between the carbon offset standards as well as a low coherence with the criteria in the proposed framework and lack of holistic sustainability perspectives. Algae are photosynthesizing organisms fixating CO2 in the same process as terrestrial plants. They are fast growing and does not require land or much maintenance, which is why seaweed aquaculture has been suggested as a method for carbon removals. This have given birth to a plethora of start-ups aiming to sell carbon offsets from systems based on macroalgae, here called “seaweed offsets”. Nine companies/projects were identified and examined. The results showed that most of the companies used systems involving cultivation, while one company use wild seaweed. The two largest techniques for sequestration of the carbon fixated in the biomass were 1) sinking the seaweed into the deep sea and 2) making biochar from the biomass. However, there are not yet any standards covering this type of carbon offset methodologies and these offsets are thus not certified and the results also show that the efficiency of these activities is highly unreliable. Large uncertainties remain regarding the net carbon removal, sequestration, and potential ecological impacts. These uncertainties and knowledge gaps also cause the suggested methods for seaweed offsetting to clash with the QU.A.L.ITY framework. / I takt med att de antropogena utsläppen av växthusgaser har ökat och fått mer uppmärksamhet har behovet av lösningar för att begränsa klimatförändringarna blivit mer brådskande. Idag finns flera metoder för koldioxidredovisning och -beräkning, liksom möjligheten att klimatkompensera genom att köpa klimatkompensation. Alla dessa metoder här rör direkt ellerindirekt från LCA men har utvecklats till mått som endast tar hänsyn till klimat, och med en otillfredsställande hållbarhetsprestanda i andra aspekter. Fyra metoder förkoldioxidredovisning (VCS, Gold Standard, GHG Protocol, XPRIZE Carbon Removal) har undersökts och jämförts, vilket visar skillnader i tillvägagångssättet för kvantifiering och förmer holistiska hållbarhetsaspekter. De har också analyserats i jämförelse med ”QU.A.L.ITY”-ramverket som föreslagits av Europeiska kommissionen, vilket syftar till att säkerställa kvaliteten på lösningar som skall ta bort CO2 ur atmosfären och förhindra greenwashing. Resultaten visar på bristande samstämmighet mellan klimatkompensationsstandarderna samt låg överensstämmelse med kriterierna i det föreslagna ramverket och brist på holistiskahållbarhetsperspektiv. Alger är fotosyntetiserande organismer som fixerar CO2 i samma process som markväxter. De växer snabbt och kräver inte mark eller mycket underhåll, vilket är varför algodling har föreslagits som en metod för att minska halten CO2 i atmosfären. Detta har gett upphov till en uppsjö av nystartade företag som syftar till att sälja koldioxidkompensation från system baserade på makroalger, här kallade "tångkompensationer" (seaweed offsets). Nio företag/projekt identifierades och granskades. Resultaten visar att de flesta av företagen använder system som involverar odling, medan ett företag använder vild tång. De två största teknikerna för att binda kolet fixerat i biomassan var 1) sänka tången i djuphavet och 2) göra biokol av biomassan. Det finns dock ännu inga standarder som täcker denna typ av klimatkompenseringsmetoder och dessa kompensationer är därför inte certifierade. Resultaten visar också att effektiviteten i dessa system är mycket otillförlitlig. Storaosäkerheter kvarstår när det gäller netto upptag av CO2, lagring och potentiella ekologiska effekter. Dessa osäkerheter och kunskapsluckor gör också att de föreslagna metoderna för tångkompensation kolliderar med QU.A.L.ITY-ramverket.

Os planos de coordenação semafórica são reconhecidamente eficientes para promover a fluidez das correntes de tráfego e melhorar a qualidade operacional do sistema viário. Portanto, os técnicos responsáveis pela gestão do tráfego deveriam, sempre que possível, adotar métodos para a definição adequada das defasagens, utilizando ferramentas que auxiliem na decisão das operações. Porém, uma pesquisa realizada em cidades das regiões Sul e Sudeste sobre as estratégias de coordenação empregadas, demonstrou especialmente para municípios de porte médio que somente 13% utilizam ferramentas computacionais para prover planos de coordenação nos semáforos monitorados por centrais. Para os demais corredores semaforizados, cerca de 27% utilizam o diagrama espaço-tempo, 36% realizam ajustes locais através da observação do tráfego, 14% utilizam veículo-teste e 23% não adotam esquemas de coordenação. O objetivo desta dissertação é avaliar a eficiência de dois programas de coordenação semafórica que poderiam ser utilizados em cidades que não dispõem de técnicas mais eficientes para definir os planos semafóricos. Uma revisão bibliográfica sobre os métodos mais conhecidos foi realizada, identificando que os programas disponíveis seguem três critérios distintos: a maximização da largura da banda verde; a minimização dos atrasos e paradas; e a combinação das vantagens de ambos os critérios. O primeiro programa, cujo nome é SBAND, consiste em uma implementação computacional do critério de maximização de banda baseada no método half-integer synchronization, proposto por Morgan e Little. O segundo programa é o simulador INTEGRATION, que coordena semáforos baseado no critério de minimização de atrasos e paradas. Com esses programas, foram gerados planos semafóricos para diversas condições de tráfego em vias arteriais de Londrina e São Carlos, simuladas com o INTEGRATION. A análise das medidas de desempenho - tempo de percurso, atraso médio e número médio de paradas - indica que é possível planos semafóricos melhores do que aqueles em vigência nos corredores analisados, com redução dos valores médios destas medidas. A análise sugere que o programa INTEGRATION é mais recomendado para os casos em que o fluxo de veículos é elevado e semelhante na via principal e nas transversais, enquanto o programa SBAND é recomendado quando a via principal apresenta volume de tráfego leve ou moderado, maior do que nas vias secundárias. / Traffic signal synchronization strategies are useful to improve traffic flow mobility and level of service of arterial streets. Therefore, technicians in charge of management of the traffic system operation should take advantage of the benefits of these tools, as always as possible, in order to define the most adequate traffic signal offsets. However, interviews carried on mid-size cities of southern and southwestern regions of Brazil indicated that only 13% of these cities define plans for traffic signal networks, controlled by a central control room, based on any type of traffic signal coordination software. For non-controlled streets, 27% of the cities define offsets using the traditional space-time diagram, 36% make local adjustments in a trial and error basis, 14% use a test vehicle and the remaining 23% do not use any strategy for synchronization. Based on these findings, the objective of this master thesis is to assess the performance of two traffic signal synchronization tools that might be used in cities which do not make use of more efficient techniques to define signal plans. Literature review indicates that the available softwares are developed according to three distinct approaches: bandwidth maximization, minimization of delays and stops and combination of both previous methods. The first software tested, named SBAND, is based on the Morgan and Little half-integer synchronization algorithm, which maximizes bandwidth of signalized arterial streets. The second software is the INTEGRATION traffic simulation tool, which synchronizes traffic signals minimizing delays and stops. Different signal plans were defined by means of these two softwares, for several traffic conditions in arterial streets of Londrina and São Carlos, and simulated with INTEGRATION. The analysis of measures of effectiveness generated on the simulations – travel time, average delay and average number of stops – indicate that is possible to obtain better traffic signal plans, with reduction on the measures of effectiveness for the plans currently adopted for these arterials. The results also suggest that INTEGRATION is more recommended for scenarios when traffic flow on principal arterials is heavy and similar to the traffic on secondary streets, while SBAND is recommended for light to moderate traffic flow on main street, with through trips predominating and lighter traffic on secondary streets.

Os planos de coordenação semafórica são reconhecidamente eficientes para promover a fluidez das correntes de tráfego e melhorar a qualidade operacional do sistema viário. Portanto, os técnicos responsáveis pela gestão do tráfego deveriam, sempre que possível, adotar métodos para a definição adequada das defasagens, utilizando ferramentas que auxiliem na decisão das operações. Porém, uma pesquisa realizada em cidades das regiões Sul e Sudeste sobre as estratégias de coordenação empregadas, demonstrou especialmente para municípios de porte médio que somente 13% utilizam ferramentas computacionais para prover planos de coordenação nos semáforos monitorados por centrais. Para os demais corredores semaforizados, cerca de 27% utilizam o diagrama espaço-tempo, 36% realizam ajustes locais através da observação do tráfego, 14% utilizam veículo-teste e 23% não adotam esquemas de coordenação. O objetivo desta dissertação é avaliar a eficiência de dois programas de coordenação semafórica que poderiam ser utilizados em cidades que não dispõem de técnicas mais eficientes para definir os planos semafóricos. Uma revisão bibliográfica sobre os métodos mais conhecidos foi realizada, identificando que os programas disponíveis seguem três critérios distintos: a maximização da largura da banda verde; a minimização dos atrasos e paradas; e a combinação das vantagens de ambos os critérios. O primeiro programa, cujo nome é SBAND, consiste em uma implementação computacional do critério de maximização de banda baseada no método half-integer synchronization, proposto por Morgan e Little. O segundo programa é o simulador INTEGRATION, que coordena semáforos baseado no critério de minimização de atrasos e paradas. Com esses programas, foram gerados planos semafóricos para diversas condições de tráfego em vias arteriais de Londrina e São Carlos, simuladas com o INTEGRATION. A análise das medidas de desempenho - tempo de percurso, atraso médio e número médio de paradas - indica que é possível planos semafóricos melhores do que aqueles em vigência nos corredores analisados, com redução dos valores médios destas medidas. A análise sugere que o programa INTEGRATION é mais recomendado para os casos em que o fluxo de veículos é elevado e semelhante na via principal e nas transversais, enquanto o programa SBAND é recomendado quando a via principal apresenta volume de tráfego leve ou moderado, maior do que nas vias secundárias. / Traffic signal synchronization strategies are useful to improve traffic flow mobility and level of service of arterial streets. Therefore, technicians in charge of management of the traffic system operation should take advantage of the benefits of these tools, as always as possible, in order to define the most adequate traffic signal offsets. However, interviews carried on mid-size cities of southern and southwestern regions of Brazil indicated that only 13% of these cities define plans for traffic signal networks, controlled by a central control room, based on any type of traffic signal coordination software. For non-controlled streets, 27% of the cities define offsets using the traditional space-time diagram, 36% make local adjustments in a trial and error basis, 14% use a test vehicle and the remaining 23% do not use any strategy for synchronization. Based on these findings, the objective of this master thesis is to assess the performance of two traffic signal synchronization tools that might be used in cities which do not make use of more efficient techniques to define signal plans. Literature review indicates that the available softwares are developed according to three distinct approaches: bandwidth maximization, minimization of delays and stops and combination of both previous methods. The first software tested, named SBAND, is based on the Morgan and Little half-integer synchronization algorithm, which maximizes bandwidth of signalized arterial streets. The second software is the INTEGRATION traffic simulation tool, which synchronizes traffic signals minimizing delays and stops. Different signal plans were defined by means of these two softwares, for several traffic conditions in arterial streets of Londrina and São Carlos, and simulated with INTEGRATION. The analysis of measures of effectiveness generated on the simulations – travel time, average delay and average number of stops – indicate that is possible to obtain better traffic signal plans, with reduction on the measures of effectiveness for the plans currently adopted for these arterials. The results also suggest that INTEGRATION is more recommended for scenarios when traffic flow on principal arterials is heavy and similar to the traffic on secondary streets, while SBAND is recommended for light to moderate traffic flow on main street, with through trips predominating and lighter traffic on secondary streets.

Carbon-based forestry (CBF) projects for the carbon market have been proposed with the aim of mitigating climate change, enhancing forest cover and improving livelihoods in developing countries. Debate has ensued regarding the validity of applying market-based mechanisms to climate mitigation in the form of CBF activities. Through in-depth interviews and focus groups, this study explores the various stakeholders’ involvement in the development of CBF projects in the Peruvian Amazon and reveals how their interests influence the types of activities that are established. Farmers’ perceptions on the carbon trade are examined and it is demonstrated that the potential of earning a carbon credit may influence farmers’ current land management practices in favor for implementing reforestation or agroforestry systems on their terrain. Regardless, the number of obstacles and the preferences of stakeholders significantly limit the ability of small-scale farmers to access and benefit from the emerging market.

Carbon-based forestry (CBF) projects for the carbon market have been proposed with the aim of mitigating climate change, enhancing forest cover and improving livelihoods in developing countries. Debate has ensued regarding the validity of applying market-based mechanisms to climate mitigation in the form of CBF activities. Through in-depth interviews and focus groups, this study explores the various stakeholders’ involvement in the development of CBF projects in the Peruvian Amazon and reveals how their interests influence the types of activities that are established. Farmers’ perceptions on the carbon trade are examined and it is demonstrated that the potential of earning a carbon credit may influence farmers’ current land management practices in favor for implementing reforestation or agroforestry systems on their terrain. Regardless, the number of obstacles and the preferences of stakeholders significantly limit the ability of small-scale farmers to access and benefit from the emerging market.

Addressing climate change is a major undertaking. Agricultural soil has the potential to assist in decreasing the concentration of GHGs in the atmosphere by storing CO2 in the soil. Carbon offset markets have been suggested as a cost effective means of reducing GHG emissions. Farmers can increase their soil sink potential by applying Beneficial Management Practices (BMPs) that enhance carbon sequestration through improvements to soil, nutrient and livestock management practices (Fulton et. al., 2005). Whether or not a market for carbon offsets will emerge depends on a number of factors which mainly are related to the profitability of the BMPs and the costs of implementing a carbon contract. Provided that a market for carbon offsets emerges, the effectiveness of the market depends, in part, on the degree to which buyers and sellers in the market comply with the terms of the contracts they sign. The resource costs associated with monitoring and verification may result in incomplete monitoring. As long as monitoring is not perfect, non-compliance will be an issue. <p>The analysis that will be performed in this thesis introduces non-compliance in the economic analysis of carbon-offset market. The purpose of this work is to examine the overall cost effectiveness of the carbon-offset market when introducing non-compliance. <p>Firstly the theoretical model investigates the incentives for different farmers to participate in the carbon offsets market as well as incentives for engaging in cheating. The model recognizes farmers heterogeneity with respect to cost differences and examines the economic determinants of farmers non-compliance as well as the consequences of non-compliance on the performance of the carbon-offset market. Results support the standard finding that the extent of producers non-compliance decreases with an increase in the audit probability and/or an increase in the penalty per unit of non-compliance. In addition, the number of producers participating in the carbon offsets market is shown to increase with an increase in the carbon-offset price.<p> The analysis then introduces intermediaries in the market that will take care of trading carbon offsets as well as monitoring producers. The traders role in this study is played by an IOF (investor owned-firm) or a PA (producers association). Within the IOF, the analysis focuses on the monopoly and oligopoly structures. The key role of the traders is to guarantee, based on the amount of monitoring that is undertaken, that the emitters purchase only carbon offsets that actually correspond to sequestered carbon. The analysis then examines three cases for the group that monitors farmers compliance a group owned by for-profit traders, a government-run agency and a group owned by the PA trader. This part of the thesis examines what impact the involvement of the traders in the carbon-offset market has on non-compliance, as well as how the structure of the monitoring group affects non-compliance and the amount of carbon offsets traded in the market. The results of the analysis show that the monitoring groups always undertake sufficient monitoring to ensure that full compliance is achieved thus, while non-compliance is possible, it does not occur in equilibrium. The finding suggests that the formation of a government monitoring agency can potentially increase traded output and lower the price paid by emitters, still these changes are likely to be small, particularly when the trading sector is monopolistic. The overall analysis in this chapter shows that the optimal amount of enforcement, and as a result the cost effectiveness of a carbon-offset market, depends on the nature of the organization that undertakes the enforcement. <p>The next consideration of the thesis is the heterogeneity attributed to the timing of sequestration by different farmers. The analysis focuses on the carbon offsets pooling by considering two structures for the aggregator: a for-profit aggregator and a producers association. Pooling resources enables the farmers to benefit from economies of scale. The pricing schedule used by the aggregator is a two-part tariff. The two-part tariff is used as a way of providing an incentive for the farmers sequestering large amounts of carbon to participate in the pool. The study considers two alternatives for the coefficients that might be used to decide on the amount of carbon offsets to which each farmer will be entitled: default coefficient and custom coefficients. Each situation is modeled in a principal agent framework. <p>The analysis examines how the aggregator will target the monitoring service for different group of farmers. The investigation reveals that, under different scenarios, a PA or a FPA (for-profit aggregator) might lead to the formation of a heterogeneous pool or a homogeneous pool of each type. <p>The last issue investigated in this dissertation is the coexistence of a FPA and a PA in the default coefficient case. The analysis show that both aggregator structures can exist together in the market in the same time if the savings in the monitoring costs made possible by the PA are smaller than the cost of organizing the pool. If this condition is not satisfied the FPA cannot survive in the market and the producers association will dominate. <p>In addition to providing a better understanding of how the carbon-offset market may perform when introducing non-compliance, the results of this study can assist in assessing the cost effectiveness of the carbon-offset market when enforcement is undertaken by different organizations. Furthermore, the last consideration of the pooling option might help in selecting which type of pool a heterogeneous or a homogeneous one might perform better under different alternatives.

Addressing climate change is a major undertaking. Agricultural soil has the potential to assist in decreasing the concentration of GHGs in the atmosphere by storing CO2 in the soil. Carbon offset markets have been suggested as a cost effective means of reducing GHG emissions. Farmers can increase their soil sink potential by applying Beneficial Management Practices (BMPs) that enhance carbon sequestration through improvements to soil, nutrient and livestock management practices (Fulton et. al., 2005). Whether or not a market for carbon offsets will emerge depends on a number of factors which mainly are related to the profitability of the BMPs and the costs of implementing a carbon contract. Provided that a market for carbon offsets emerges, the effectiveness of the market depends, in part, on the degree to which buyers and sellers in the market comply with the terms of the contracts they sign. The resource costs associated with monitoring and verification may result in incomplete monitoring. As long as monitoring is not perfect, non-compliance will be an issue. <p>The analysis that will be performed in this thesis introduces non-compliance in the economic analysis of carbon-offset market. The purpose of this work is to examine the overall cost effectiveness of the carbon-offset market when introducing non-compliance. <p>Firstly the theoretical model investigates the incentives for different farmers to participate in the carbon offsets market as well as incentives for engaging in cheating. The model recognizes farmers heterogeneity with respect to cost differences and examines the economic determinants of farmers non-compliance as well as the consequences of non-compliance on the performance of the carbon-offset market. Results support the standard finding that the extent of producers non-compliance decreases with an increase in the audit probability and/or an increase in the penalty per unit of non-compliance. In addition, the number of producers participating in the carbon offsets market is shown to increase with an increase in the carbon-offset price.<p> The analysis then introduces intermediaries in the market that will take care of trading carbon offsets as well as monitoring producers. The traders role in this study is played by an IOF (investor owned-firm) or a PA (producers association). Within the IOF, the analysis focuses on the monopoly and oligopoly structures. The key role of the traders is to guarantee, based on the amount of monitoring that is undertaken, that the emitters purchase only carbon offsets that actually correspond to sequestered carbon. The analysis then examines three cases for the group that monitors farmers compliance a group owned by for-profit traders, a government-run agency and a group owned by the PA trader. This part of the thesis examines what impact the involvement of the traders in the carbon-offset market has on non-compliance, as well as how the structure of the monitoring group affects non-compliance and the amount of carbon offsets traded in the market. The results of the analysis show that the monitoring groups always undertake sufficient monitoring to ensure that full compliance is achieved thus, while non-compliance is possible, it does not occur in equilibrium. The finding suggests that the formation of a government monitoring agency can potentially increase traded output and lower the price paid by emitters, still these changes are likely to be small, particularly when the trading sector is monopolistic. The overall analysis in this chapter shows that the optimal amount of enforcement, and as a result the cost effectiveness of a carbon-offset market, depends on the nature of the organization that undertakes the enforcement. <p>The next consideration of the thesis is the heterogeneity attributed to the timing of sequestration by different farmers. The analysis focuses on the carbon offsets pooling by considering two structures for the aggregator: a for-profit aggregator and a producers association. Pooling resources enables the farmers to benefit from economies of scale. The pricing schedule used by the aggregator is a two-part tariff. The two-part tariff is used as a way of providing an incentive for the farmers sequestering large amounts of carbon to participate in the pool. The study considers two alternatives for the coefficients that might be used to decide on the amount of carbon offsets to which each farmer will be entitled: default coefficient and custom coefficients. Each situation is modeled in a principal agent framework. <p>The analysis examines how the aggregator will target the monitoring service for different group of farmers. The investigation reveals that, under different scenarios, a PA or a FPA (for-profit aggregator) might lead to the formation of a heterogeneous pool or a homogeneous pool of each type. <p>The last issue investigated in this dissertation is the coexistence of a FPA and a PA in the default coefficient case. The analysis show that both aggregator structures can exist together in the market in the same time if the savings in the monitoring costs made possible by the PA are smaller than the cost of organizing the pool. If this condition is not satisfied the FPA cannot survive in the market and the producers association will dominate. <p>In addition to providing a better understanding of how the carbon-offset market may perform when introducing non-compliance, the results of this study can assist in assessing the cost effectiveness of the carbon-offset market when enforcement is undertaken by different organizations. Furthermore, the last consideration of the pooling option might help in selecting which type of pool a heterogeneous or a homogeneous one might perform better under different alternatives.

In order to sell products in the defense industry it is often demanded of the seller to reinvest capital and collaborate with companies in the buying country, with the buyer hoping to establish a defense industry of their own. These so called offset demands are seen as an industry standard and forces the sellers to open up their supply chain and educate and develop the industry in the buying country. This “forced” knowledge transfer is an interesting topic and have been the focus point of this thesis. How can firms conduct successful knowledge transfer and develop the foreign industry and at the same time protects its own products and competitive advantage? This qualitative study has been done through interviews with four people having senior positions and a vast knowledge and background in working with offsets, combined with secondary data from previous studies and articles. The study showed that the most important factor for a successful knowledge transfer is the absorptive capacity of the partner and buying country. Furthermore, the success also lies in the offset regulations of the buyer, if you ask for the wrong things or in the wrong way, the industrial effects will be very limited. The Swedish firms were not afraid of sharing their knowledge since they had the confidence that they would keep to stay ahead of any new upcoming competitor, therefore a minor factor to consider. Lastly offsets have often been portrayed negatively. However, if successfully conducted, several positive effects of offsets have been identified by the authors. Showing that even though partnerships may an “arranged marriage” it can still become successful.