Carbon dioxide removal (CDR)

The Climate Transformation Fund is our first-hand recommendation for companies wanting to help reach global net zero. The fund has three pillars, durable CDR, nature restoration & protection and emission reductions. Since the start of the CTF in 2021 we have supported 45 projects, of which were 27 different CDR projects, often being the first buyer. Companies make charitable, tax-deductible donations to the CTF.

We have received requests from companies who prefer to buy and own the credits from these CDR suppliers instead of making donations, and now we open up two credit CDR portfolios, building on our CDR work under the CTF.

We select CDR projects based on their potential for long-term climate impact. We prioritize innovation, scaleability and co-benefits. Other key criteria include durability (carbon stored for centuries or longer), cost reduction potential, and additionality (projects that wouldn't happen without our support). We take a different role than most buyers, not just looking for high-quality projects but also those that broaden the CDR ecosystem by developing new solutions or those with exceptional future potential or co-benefits.

Buying novel carbon removal credits helps drive the innovation and the infrastructure to build a sector that is a crucial climate solution. To reach our global goals we need a CDR sector capable of removing billions of tonnes per year at a low-cost. By investing now, we help these technologies become more affordable and accessible, ensuring they can make a bigger impact in the future. If we do not buy now it won't be available later.

Investing in Milkywire’s CDR portfolios allows your company to take a leadership role in climate action by supporting the development of essential carbon removal technologies. This not only helps your company reduce its net carbon impact but also demonstrates a commitment to innovative and long-term climate solutions, which can enhance your brand’s reputation and align with your sustainability goals.

Unlike traditional carbon offsets, which typically focus on compensating for emissions by investing in projects like reforestation or renewable energy, Milkywire's CDR portfolios are designed to remove CO₂ from the atmosphere and store it permanently. This means that the carbon removal is durable and cannot be easily reversed. Additionally, Milkywire’s approach emphasizes funding innovative technologies that are critical for reaching global net-zero but are still in early stages and need support to scale.

Companies that are committed to ambitious climate goals and want to go beyond traditional carbon offsetting are ideal investors in our CDR portfolios. These include corporations that have adopted internal carbon pricing, are leaders in sustainability, or are looking to support innovative solutions that contribute to global net-zero targets. Our current partners include tech companies, financial institutions, and consumer brands that prioritize long-term climate impact over short-term gains.

The funds are strategically allocated across a diversified portfolio of projects, chosen for their potential to deliver substantial and measurable carbon removal. The Seed Portfolio focuses on early-stage projects that need initial funding to prove their viability, while the Scale Portfolio invests in projects that are already demonstrating success and need support to expand. We prioritize projects where our funding can have a catalytic effect, accelerating the development and deployment of these technologies.

We implement a robust monitoring and evaluation process that includes regular progress reports from project partners, independent third-party verification when applicable, and ongoing assessments by our advisory group. We track key metrics such as the amount of CO₂ removed, the durability of the storage, and any co-benefits for local communities and ecosystems. This ensures that the projects continue to deliver the expected climate impact over the long term.

While the portfolios are designed to offer a balanced and diversified approach to carbon removal, we understand that some companies may have specific interests. We offer bespoke portfolios that can be tailored to align with your company’s values, sustainability goals, and areas of interest, allowing for targeted investments in specific technologies or regions.

If a project fails to meet our criteria after initial funding, we reassess its potential for continued support. We may reduce or withdraw funding and reallocate resources to other projects that align better with our goals. Our focus is on ensuring that all supported projects contribute meaningfully to our mission of achieving global net-zero.