Reinsurance giant Munich Re has started a new corporate venture called TreeTrust, which aims to plant trees in order to reduce the amount of carbon in the atmosphere.
The first project from the venture will see Munich Re and Vaillant Group invest in more than 10 million square metres of former grassland in northern Costa Rica. According to a release from Munich Re, this project will see new forests grown over the next four decades, capturing more than 600,000 metric tonnes of carbon dioxide. TreeTrust’s partner and project developer, BaumInvest, will oversee the afforestation on site and issue the CO2 certificates.
Torsten Jeworrek, member of the board of management at Munich Re, said: “A lot of companies set ambitious climate protection targets. They want to offset inevitable carbon dioxide emissions by capturing the same amount from the atmosphere. In a carbon offset market where supply is scarce, TreeTrust organises suitable afforestation projects for discerning companies.”
He added: “Munich Re has been researching the risks of climate change for over four decades. Our innovative approaches here emphasise prevention, risk transfer and resilience. TreeTrust is now leveraging our expertise in the carbon offset market, in turn aiding the transformation towards a climate-neutral economy.”
According to Munich Re, the corporate forestry projects will be certified to Gold Standard and based on UN Sustainable Development Goals. It also said that there will soon be more projects of a similar nature, likewise based on UN Sustainable Development Goals.