Microsoft Buys Carbon Credits from Indian Startup Alt Carbon
Microsoft has signed a three-year deal with Indian startup Alt Carbon to purchase nearly 37,000 metric tons of carbon removal credits by 2029. This marks Microsoft's first enhanced rock weathering purchase in Asia and highlights India's increasing significance in the global carbon removal market. The agreement aims to bolster Alt Carbon's operations and underscores Microsoft's commitment to climate goals.
Key points
- Microsoft signed a three-year agreement with Indian startup Alt Carbon to buy 36,920 metric tons of carbon removal credits.
- The deal, valued at an undisclosed amount, is Microsoft's first enhanced rock weathering purchase in Asia and is set for delivery by 2029.
- Alt Carbon will supply credits from its Darjeeling Revival Project in eastern India, using enhanced rock weathering techniques on farmland.
- This agreement signifies India's growing role in the global carbon removal sector and validates Alt Carbon's carbon removal methodology.
- Microsoft reaffirmed its commitment to climate goals, proceeding with procurement despite prior reports suggesting a pause in some programs.
Microsoft has entered into a significant three-year agreement to acquire nearly 37,000 metric tons of carbon removal credits from Alt Carbon, an Indian startup. This deal represents Microsoft's initial investment in enhanced rock weathering projects within Asia and underscores India's burgeoning presence in the global carbon removal industry.
The agreement focuses on credits to be delivered by 2029 from Alt Carbon's Darjeeling Revival Project located in eastern India. The project utilizes enhanced rock weathering, a method that involves spreading crushed silicate rocks, such as basalt, onto farmlands. This process accelerates natural chemical reactions that capture and store atmospheric carbon dioxide, transforming it into stable bicarbonates. Alt Carbon sources its basalt from the Rajmahal Traps and implements the technique across farmland in West Bengal.
Discussions between Microsoft and Alt Carbon commenced in early 2025 and concluded over a year later, following rigorous scientific evaluations, due diligence, and contract negotiations. The pact comes amidst earlier reports suggesting Microsoft had temporarily halted certain carbon-removal procurement activities. However, the tech giant has refuted these claims, asserting its continued dedication to its climate objectives while refining its sustainability strategies.
Sources
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