A few days ago we reported about the USA starting to move strongly in the direction of carbon credits. Among the reasons, the guide “Voluntary Carbon Market. A Critical Piece of the Net Zero Puzzle” published by Citigroup.
Worth adding the steps taken by JPMorgan Chase, that is scaling up investments in emerging carbon removal technologies, with significant agreements made to durably remove and store 800,000 tons of carbon. Durability is defined as amount of time for which CO2 can be stored in a stable and safe manner ... 1,000+ years.
According to estimates from the Intergovernmental Panel on Climate Change (IPCC) the cumulative carbon dioxide removal (CDR) needs to grow dramatically between now and 2050 to 10 GtCO₂ and further to 100 to 1,000 gigatons (GtCO₂e) by 2100.
Here the list of projects invested by JPMorgan Chase:
A 9-year agreement with Climeworks to deliver 25,000 mtCO₂e of carbon removal services
Purchase of 28,500 mtCO₂e over 5 years of bio-oil CDR from Charm Industrial
A ‘Memorandum of Understanding’ (MOU) with CO280 Solutions, Inc. to purchase up to 30,000 mtCO₂e of CDR per year for delivery over up to 15 years
Commitment to purchase from Frontier $50M of durable, high-quality CDR credits for its own operational emissions + $25M of credits to help clients meet their climate targets
And towards science-based and equitable voluntary carbon credit markets, JPMorgan Chase also published a white paper summarizing its perspectives on these markets role and a set of core principles that the bank references when evaluating carbon credits, both for own use and by its clients, on carbon credit-related transactions. For example, the Carbon Compass Methodology.
Click at the image below for JPMorgan Chase white paper "Carbon Market Principles. Our approach to strengthening the voluntary carbon market to scale decarbonization solutions" and here for the full press release of the investments in these emerging carbon removal technologies.
