Reinsurance giant Swiss Re and carbon removal solutions provider, Carbonfuture, have signed a seven-year contract, which will see Swiss Re supply a minimum of 70,000 tonnes of Biochar Carbon Removal (BCR) credits from Carbonfuture partner, Exomad Green’s new Riberalta facility in Bolivia.
Readers will be aware that this is not the first time that Swiss Re and Carbonfuture have worked together, as they both signed a multi-year offtake agreement to support high-quality standards in the biochar carbon removal market, in late 2022.
In addition, the new contract with Carbonfuture enables Swiss Re to buy further credits from multiple durable Carbon Dioxide Removal (CDR) projects in order help meet its net-zero goals.
The agreement also includes a combination of carbon removal and avoidance certificates, with the proportion of carbon removal in the mix increasing each year, eventually reaching 100% in 2030.
Further, the agreement also includes a requirement for independent third-party monitoring, reporting, and verification (MRV), provided through Carbonfuture’s MRV+ system.
Tom Spencer, Environmental Management Specialist at Swiss Re, commented: “Partnering with Carbonfuture allows Swiss Re to secure a reliable, long-term supply of high-quality carbon removal credits that will aid us in increasing the proportion of carbon removal in our compensation mix to 100% by 2030. Carbonfuture’s robust MRV+ system supports the transparency and quality we need to trust the impact of our carbon removal investments.”
Hannes Junginger-Gestrich, CEO of Carbonfuture, said: “By providing access to multiple high-quality carbon removal projects under a single contract, we are facilitating Swiss Re’s journey towards achieving their netzero goals with confidence and efficiency. We are also pleased that our partner Exomad Green is the key supplier in this multi-year agreement. Our collaboration with Swiss Re highlights the importance of rigorous monitoring, reporting, and verification in carbon removal efforts. Carbonfuture’s MRV+ process guarantees the highest standards of transparency and accountability.”
It is important to note, that Exomad Green’s new facility in Riberalta transforms forestry waste into carbon-sequestering biochar.
Moreover, the company produces biochar from sustainable forestry residues that would otherwise be incinerated.
The resulting biochar is then donated to local indigenous communities and mid-sized farming operations, which ultimately reduces deforestation linked to soil degradation and provides a variety of benefits for over 250,000 inhabitants of the Riberalta region in Bolivia.
Diego Justiniano, President of Exomad Green, added: “We are proud to partner with Swiss Re and Carbonfuture in this groundbreaking effort. This marks one of the first deals for Exomad Green’s new facility in Riberalta, representing a significant milestone in our mission to scale up the conversion of forestry waste into carbon-sequestering biochar at the level our planet urgently needs. This partnership will not only benefit the environment but also bring a wide array of co-benefits to the Riberalta region, a region in need. We also hope this collaboration will inspire more companies to take immediate action.”
