Colgate-Palmolive Reaching Net Zero 2040 Goal With Renewables & Carbon Credits

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Colgate-Palmolive is making huge strides toward achieving its 2040 net zero goal and part of that is its recent deal involving a 20-year virtual power purchase agreement (VPPA) for renewable energy from a solar farm in Texas. 

The new 209-megawatt Markum Solar Farm is under development by Scout Clean Energy, a subsidiary of Brookfield Asset Management. It’s one of the largest renewable energy asset owners in the U.S. 

The solar farm will start operation in 2025 and will supply clean, renewable energy sources covering 100% of Colgate’s operational power needs in the U.S.

Last year at Climate Week NYC, Colgate-Palmolive announced they’re the first multinational company in the sector to have a Science Based Targets initiative (SBTi)-approved Net Zero target.

Colgate’s Chief Sustainability Officer Ann Tracy noted that:

“Renewable energy agreements are a valuable part of our renewable energy master plan and will help us achieve our targets of Net Zero carbon emissions by 2040 and 100% renewable electricity across our global operations by 2030.”

Colgate’s Net Zero Pathway

Colgate has been tackling climate change and disclosing greenhouse gas emissions data for more than 2 decades. The company has set an ambitious goal of reaching net zero carbon emissions across operations and supply chain by 2040. 

Accelerating Action on Climate Change is key to Colgate’s 2025 Sustainability & Social Impact Strategy. Breaking down the company’s net zero targets, here are the details as specified in their 2023 climate action plan:

2025 targets:

Reduce Scope 3 GHG emissions from Purchased Goods and Services by 20% against a 2020 baseline 
Reduce Scope 1 and 2 emissions in operations by 20% vs. 2020 levels
Avoid GHG emissions from consumer use by 20% against a 2016 baseline 
Reduce manufacturing energy intensity by 25% against a 2010 baseline 

2030 goals:

Reach 100% renewable electricity in global operations against a 2020 baseline  
Reduce Scope 3 GHG emissions from Purchased Goods and Services by 42% vs. 2020 levels 
Reduce Scope 1 and 2 GHG emissions in operations by 42% vs. 2020 data

2040 goals: 

Reach Net Zero carbon emissions across the value chain
Reduce Scope 1, 2, and 3 emissions by 90% vs. 2020 levels

As per Tracy’s remark, Colgate-Palmolive pursues its net zero goals through “innovative and diverse ways that are proven and measurable”. And a big part of that is relying on renewable energy, both on-site projects and VPPAs. 

As of the end of 2022, about 52% of Colgate’s global electricity use was sourced from renewable energy. This is crucial because emissions from the company’s manufacturing operations are mostly from purchased electricity (Scope 2) and fuel combustion (Scope 1). 

Colgate Net Zero Carbon Approach 

To reduce GHG emissions and bring them to zero by 2040, Colgate follows this approach: carbon reduction, low or zero carbon technology innovations, and carbon removal.

The first priority is focusing on ways that reduce carbon emissions across the company’s entire value chain. These include investing in energy efficiency, creating less carbon-intensive products, and influencing suppliers to cut their carbon footprint. 

The next climate strategy centers on deploying lower carbon technologies and projects that further cut emissions. In particular, increased use of zero carbon and renewable energy sources, systems electrification, use of PPAs, and renewable energy credits. These measures can help the company make significant progress in its journey to net zero emissions. 

The company is also leveraging technology solutions for materials, packaging, manufacturing, transportation, and product use that cut down total carbon emissions.

Lastly, Colgate-Palmolive will apply carbon removals to neutralize any residual emissions from its value chain. 

The Use of Carbon Removal Credits 

Though the company didn’t reveal how much it’s investing in carbon removals, it’s one of the strategies they’re adopting to achieve net zero. 

The oral care producer favors proven nature-based solutions backed by verified carbon credits, including forest protection and reforestation projects. The company said these efforts bring other benefits beyond carbon reductions to the communities where the projects operate. 

Colgate is seeking nature-based carbon removal projects developed and managed by reputable organizations. These initiatives must contribute to biodiversity, ecosystem health, as well as local economic development in some cases.

The company will also consider investing in carbon credits from technological removal solutions, such as carbon capture and storage or utilization when they are developed and scaled. 

Colgate-Palmolive’s commitment to a 20-year renewable energy agreement and carbon removals mark a significant stride toward their ambitious 2040 net zero emissions target. It underscores their dedication to sustainability and reducing emissions in the fight against climate change.

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Is REDD+ Dead? A Deep Dive into the Flaws and Recommendations for REDD+ Project Methodologies

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REDD+ projects have long been touted as a climate change solution. However, a UC Berkeley study funded by Carbon Market Watch reveals that only 1 out of every 13 credits represents a real emissions reduction. 

The study “Error Log: Exposing the methodological failures of REDD+ forestry projects” concludes that REDD+ is not suitable for carbon offsetting and raises concerns about its impact on local communities and the environment.

What is REDD+

REDD+ stands for “Reducing Emissions from Deforestation and Forest Degradation.” It is an international initiative that incentivizes forest conservation to reduce carbon emissions and combat climate change.

At the end of 2022, there are over 620 individual REDD+ projects and programs implemented globally, backed by international donor organizations, such as the UN-REDD and the World Bank. For the same period, there were over 400 million REDD+ credit issuances, representing a quarter of total credits issued in the market.

Five Main Factors Influencing Carbon Credits

Baseline Setting: The baseline is the estimated level of carbon emissions that would occur without the project. Accurate baselines are crucial for measuring a project’s effectiveness. The report shows that there’s a staggering 14x overestimation in baseline settings. This means that the highest baseline calculated for a given project was 14 times higher than the lowest, leading to inflated carbon credits.
Leakage: This refers to the unintended increase in carbon emissions outside the project’s boundary due to its implementation. For example, if a project stops deforestation in one area, the activity might just move to another area. Current methodologies underestimate leakage, with an average rate of just 4.4%, affecting the overall effectiveness of the carbon credits.
Forest Carbon Accounting: This involves calculating the amount of carbon stored in the forest that the project aims to protect. Overestimation in this area leads to more carbon credits being issued than are actually warranted. The report indicates a 23%-30% overestimation in forest carbon, which includes both aboveground and belowground carbon pools.
Permanence: This factor considers the long-term viability of storing carbon in forests. Risks like wildfires, pests, and political instability can release stored carbon back into the atmosphere. These risks are often underestimated; for instance, natural risks are underestimated by more than a factor of 10. This affects the long-term credibility of the carbon credits.
Safeguards: These are measures put in place to protect local communities and the environment from potential harm caused by REDD+ projects. Current VCS (Verified Carbon Standard) safeguards are weak and fall behind “best in class” consideration by international standards. This raises ethical concerns and questions the overall integrity of the projects.

The Baseline Dilemma: A Foundation of Over-Crediting

Baselines set the estimated emissions without the project. The study found that inflated baselines led to over-crediting, with results differing by more than 14x for a given project.

Recommendations:

Implement Ex-Post Baseline Setting: Real-time data could correct inflated baselines, which are currently overestimated by 14x.
Transparency is Key: All calculations should be publicly available, given the current lack of transparency.
Third-Party Involvement: Independent analysts should set baselines, eliminating conflicts of interest.

Leakage: The Silent Saboteur

Leakage increases emissions outside a project’s boundary. The study found that the average leakage rate deducted by REDD+ projects is just 4.4%, far below the prescribed 10%-70%.

Recommendations:

Standardize Leakage Identification: First and foremost, clearly define areas where deforestation is likely to shift, considering the current 4.4% average leakage rate.
Tighten Exceptions: Subsequently, establish strict criteria, given that one out of four methodologies fails to include market leakage.
Global Leakage: Lastly, include international factors, as all four assessed methodologies unfortunately ignore international leakage.

Forest Carbon Accounting: The Numbers Game

Carbon accounting is central to credit issuance. The study found a 23%-30% overestimation in forest carbon content, with belowground carbon overestimated by 61%.

Recommendations:

Adopt Scientifically-Backed Equations: Use equations based on the latest research, given the current 23%-30% overestimation.
Open-Source Data: Make all data publicly available, as not one of the 12 assessed projects shared their data.
Quantify Uncertainty: Clearly communicate the 61% overestimation in belowground carbon.

Permanence: The Long-Term Risk

Permanence ensures long-term carbon storage. The study found that natural risks like wildfires are underestimated by more than a factor of 10.

Recommendations:

Avoid Offsetting Fossil Fuels: Carbon storage in forests should not offset fossil fuel emissions, given the high risk of release.
Base Risk on Science: Use scientific evidence, as natural risks are currently underestimated by more than a factor of 10.
Revise Buffer Contributions: Make buffer pools more robust, given the current underestimation of risks.

Safeguards: The Missing Link

Safeguards protect against harm. The study found that VCS safeguards are less stringent than international standards like the IFC and GCF.

Recommendations:

International Alignment: Adopt policies that meet or exceed international standards, given the current ambiguity in VCS rules.
Rigorous Verification: Verification bodies should apply policies strictly, as they currently “rubber-stamp” projects.
Grievance Mechanisms: Establish a free-of-charge, independent channel for grievances, given the current lack of accountability.

The UC Berkeley study serves as a wake-up call. By implementing its recommendations, we can improve REDD+ projects’ quality, effectiveness, and ethical standing.

The study provides a roadmap for making these projects more aligned with their intended goals, ensuring a meaningful contribution to the fight against climate change.

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Indigo’s $250M Raise Boosts Agricultural Carbon Credits Generation

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Indigo Ag, the leading sustainability partner of the agriculture industry, raised +$250 million to further grow its sustainable agriculture programs and boost farmers’ revenues with carbon credits. 

U.S.-based Indigo Ag harnesses science and technology to help improve the sustainability and profitability of the agriculture industry. The huge fundraise signals market validation of Indigo’s strategy and confidence in its ability to scale up agribusiness successfully. The fresh funds will help the company to almost double its revenue. 

The funding round was led by Flagship Pioneering, an existing investor, and is participated by new investors that include Lingotto Investment Management, one of the largest diversified holding firms in Europe and one of the U.S.’ largest pension funds the State of Michigan Retirement System.

Indigo is currently one of the only companies providing companies with high-quality agricultural carbon credits at scale, via its carbon farming program operating across 14 countries.

How Indigo’s Program Generates Ag Carbon Credits

Indigo’s carbon farming program provides solutions to companies looking for a market-based approach to capture and store carbon on soils. It offers a credible, nature-based climate solution for businesses. 

Indigo adopted a hybrid approach that combines soil sampling and modeling to help farmers generate agricultural carbon credits that meet industry quality standards. The Climate Action Reserve then verifies and issues the credits for entities committed to buying credit offsets.

The credits reflect the works of farmers who opted for Indigo’s climate-friendly farming practices, which is also called regenerative farming. Common examples include planting cover crops and less soil tillage.

Here is how agricultural carbon credits generation works through Indigo’s carbon farming program:

Indigo’s integrated business model enables actors in the agriculture supply chain to adopt and profit from their sustainability efforts. In particular, farmers working with the company can maximize their earnings by performing sustainable farming practices, each year of their rotation, while also improving soil quality. 

With the $250 million new capital, Indigo expects revenue to grow up to $100 million by 2024.

Speaking for Ag Partners Coop, Jed Miller commented on the raise saying:

“Farmers and agribusinesses need strong, innovative partners that create value… This fundraise is not only a win for Indigo, but a major win for market access. We look forward to continuing our collaboration with Indigo to drive farmer success.”

Delivering Agricultural Sustainability Solutions at Scale

After attracting additional large investors and more farmers to serve, Indigo was able to achieve great financial success. 

Its net revenues for last year increased 40% compared to the previous year, while total earnings for the first 7 months this year jumped 90% versus 2022. 

Moreover, Indigo’s digital sustainability program, Market+ Source, enabled the company to work with multi-billion dollar companies in reducing their Scope 3 emissions. Through this initiative, Indigo is on track to provide partners with 30 million bushels of sustainably grown products this year.  

Its Scope 3 accounting program connects the entire ag value chain to produce more sustainable crops. Under this program, farmers provide field-level data and earn a premium for sustainably grown grains, which help reduce carbon emissions.  

To date, Indigo Ag has generated around 133,000 certified and verified agricultural carbon credits. The company revealed its first-ever carbon credits production in June last year. 

The ag sustainability champion is currently working on its 3rd carbon crop. The company also said that enrollment for its 4th carbon harvest showed continued growth in both farmer and acreage participation.

Indigo aims to expand its digital products further and has a pipeline of 38 new biological products scheduled for a global launch over the next two and a half years.

The significant fundraise is a testament to “Indigo Ag’s successful transition from a startup to a trusted partner that is delivering critical sustainability solutions”, the company’s CEO and President Ron Hovsepian said. He also added that they have the science, business momentum, and ample resources to turn agricultural sustainability into real value.  

With an innovative approach that blends science and technology, Indigo Ag is not only boosting farmers’ incomes but also playing a pivotal role in decarbonizing the agricultural industry to combat climate change.

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Uranium Price Guide: Trends, Factors, and Future Predictions

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With its importance in the global energy landscape, the uranium price has become a hot topic for investors, policymakers, and energy enthusiasts. The world is evolving, and as technology advances, the need for efficient energy sources becomes paramount. 

Among the plethora of energy resources, uranium stands out as a vital ingredient in nuclear power generation. Understanding the dynamics, factors affecting its prices, and potential future trends is essential for anyone keen on the energy sector.

Historical Trends in the Uranium Price

The history of uranium prices can be characterized as a roller-coaster ride. In the early days of nuclear energy, during the mid-20th century, there was an initial surge in demand. Prices peaked in the late 1970s, driven by energy crises and a burgeoning interest in nuclear power as a cleaner alternative to fossil fuels.

However, major incidents like the Chernobyl disaster in 1986 and the Fukushima Daiichi disaster in 2011, affected public perception of nuclear energy and its safety, causing significant dips in demand and consequently, prices. 

But, as safety protocols improved and with the global push for cleaner energy, the value of uranium has seen a steady increase here in 2023.

Historic Uranium Price Spikes

Cigar Lake holds the largest reserve of high-grade uranium—at 100x average grade—anywhere in the world. And at the time it was supposed to be completed, it would have produced more than 10% of the world’s supply.

But when a small standpipe in Shaft No. 2 sprang a leak, two workers trying to fix it accidentally broke a valve completely off.

The gush of water couldn’t be stopped, and the mine flooded—several times. Mine development couldn’t resume for four years. The mere possibility of a tighter supply, combined with planned nuclear construction around the world, sent shockwaves through the entire uranium market. 

The uranium price spiked from $20/lb. to $140/lb. in early 2007.

Cameco, the company that owns Cigar Lake, couldn’t have been happier with the payout. Despite its largest project—by far—having just been delayed by nearly a decade, Cameco’s stock rose by 300 percent from 2005–2007.

But ultra-high uranium prices led to historically high exploration and production… and the price began to return to normal. Then Fukushima happened in 2011, and it was Three Mile Island all over again.

As a result, the price fell to one of the lowest inflation-adjusted levels in history. And it stayed there.

Factors Influencing Uranium Prices

Several key elements play a role in determining the uranium price:

Supply and Demand: Like any other commodity, uranium prices are heavily influenced by supply and demand dynamics. As more countries adopt nuclear power and existing nuclear plants expand, the demand for uranium increases. Meanwhile, supply constraints can arise from mining challenges, geopolitical issues, or strategic stockpiling.
Production Costs: Mining uranium is capital intensive. The cost of production, influenced by factors like ore quality and extraction methods, has a direct bearing on its price. When the production cost is high, it can set a floor for uranium prices, as miners wouldn’t sell below their cost of production.
Regulations and Policies: National and international regulations can sway uranium markets. Stringent safety and environmental guidelines can increase production costs, whereas supportive policies, such as those promoting clean energy, can boost demand.
Alternative Energy Sources: The rise of renewables like solar and wind energy can influence uranium demand. While nuclear energy offers consistent power generation unlike some renewables, the growth of alternative energy sources can impact uranium’s market dynamics.

Uranium Price Future Outlook

Looking forward, several factors may influence the uranium price. One of the most significant is the role of nuclear energy in the global quest to combat climate change. This includes major corporate initiatives as well as government policy to reduce emissions.

As nations strive to reduce carbon emissions, nuclear power, despite its critics, presents a viable option for a consistent and large-scale energy source. 

Emerging economies, particularly in Asia, are investing heavily in nuclear power. Countries like China and India, with their burgeoning populations and increasing energy needs, are looking towards nuclear energy to supplement their energy grids. This, in turn, will lead to a steady increase in demand for uranium in the coming years.

How High Can Uranium Prices Go?

According to Katusa Research, a distinct characteristic of the uranium market is its near-inelastic demand. Utility companies are compelled to purchase uranium for their reactors, irrespective of the uranium price.

Even if uranium’s price shifts from $45 to $450 per pound, the change in cost per kilowatt-hour is minimal, especially when compared to equivalent price surges in natural gas or coal.
To illustrate, if there’s a tenfold price hike in uranium, the cost for electricity generation from a nuclear reactor would only rise by about 24%.

Additionally, innovations in nuclear technology, including small modular reactors and next-generation reactors, might not only increase the efficiency of uranium usage but also boost its demand.

Uranium and the Acceleration of Nuclear Energy

The uranium price is more than just a number; it’s an indicator of the global energy landscape. 

As the world grapples with the challenges of climate change and energy security, uranium will likely continue to play a significant role in the global energy mix. 

440 nuclear power plants operating in 33 countries combined to provide 10% of the world’s electricity
Globally, a total of 90 nuclear reactors are on order or planned, with over 300 more in the proposal stage.
Nuclear energy will play a major role in the global energy mix as the world moves towards net zero emissions

The International Energy Agency says that the nuclear industry will need to double in size over the next two decades for us to meet net zero emissions targets.There are just over 400 nuclear reactors in operation around the world right now.

Future Uranium Price Dynamics: No Net Zero Without Nuclear

Far from reducing emissions—or even keeping them the same—for every reactor that is forced to shut down, CO2 emissions rise by 5.8 MT a year. That’s the equivalent of filling an NFL stadium to the brim with gas, and setting it on fire.

We’d need to install solar panels on one million homes just to make up for shuttering a single reactor. Nuclear reactors are extremely efficient, low-carbon sources of energy. In fact, it doesn’t matter whether it’s replacing coal or natural gas:

Nuclear is nearly 100 percent more effective than any other energy technology at reducing CO2 emissions.

There is simply no achieving net zero without nuclear. Staying informed about its price trends and underlying factors can offer insights not just into the nuclear energy sector, but the broader trajectory of our global energy future.

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Apple Reveals First-Ever Carbon Neutral Watch, Aims to Offset 25% Product Emissions with Carbon Credits

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Apple announced that its all-new Watch Series 9 marks its first-ever carbon neutral product, representing the iPhone maker’s giant step towards its ambitious goal of meeting carbon neutrality by 2030. 

Apple’s carbon emissions reduction strategy focuses on three key areas: electricity, materials, and transportation. 

The tech giant underlines the importance of reducing emissions within these sectors before using high-quality carbon credits from nature-based projects to offset any remaining emissions.

Apple’s Decade-Long Journey to 2030 Carbon Neutrality 

Apple’s path to carbon neutrality began over a decade ago and has since achieved significant milestones. In 2020, the company attained carbon neutrality for its global corporate operations and announced the Apple 2030 strategy, aiming for carbon neutrality or net zero carbon across its entire value chain by 2030.

Achieving carbon neutral corporate operations involves the use of 324,100 metric tons (Mt) CO2e of carbon removal credits. 

The company’s 2030 strategy revolves around a 75% reduction in overall carbon emissions from 2015 levels. And Apple has already reduced total emissions by more than 45% while simultaneously increasing revenue by over 65%. 

Apple Net Zero Emissions Roadmap

While the tech giant is still working its way towards its 2030 climate goal, it managed to achieve a significant milestone as it announced its first-ever carbon-neutral watch series. 

The Apple Watch lineup reduces product emissions by over 75% for each carbon-neutral watch. These watches were selected based on strict criteria, including the following:

100% clean electricity for manufacturing and product usage.
30% recycled or renewable material by weight.
At least 50% of shipping is without air transportation.

In the company’s carbon footprint calculations shown above, they also account for the emissions needed to generate clean electricity. This specifically refers to manufacturing renewable energy infrastructure, such as wind and solar farms. 

Only after implementing those carbon reduction efforts does Apple resort to offset residual emissions through high-quality carbon credits, ultimately achieving a carbon-neutral product footprint. 

The Carbon Footprint of Apple Watch SE paired with Sport Loop

In the case of Apple Watch SE paired with Sport Loop, the remaining 7.2kg of carbon emissions were offset with carbon removal credits. These carbon offsets are from Apple’s nature-based solutions through its Restore Fund program. The company expanded this program by doubling its investment up to $200 million in April this year. 

How About The Other Products?

Though revealing the carbon neutrality of Apple Watch is something, the company seeks to achieve the same for all its products by 2030. That means including emissions of other Apple watches, iPhones, iPad, iPod, MacBook, and more. 

Considering that Apple Watch SE has the least carbon footprint, the company still has huge emissions to reduce and offset. 

Source: 8billiontrees.com

For various iPhone and iPad models, the total CO2 footprint is around 4,500 kg. This figure includes only one product per model, and Apple sells millions of each model worldwide. 

According to Apple’s Environmental Report 2023, its total product life cycle emissions (Scope 3) in 2022 is >20 million Mt. To offset 25% of these emissions, the company would need over 5 million Mt of carbon removals.

Investing Heavily in Carbon Removals

Carbon removal is crucial to tackling the climate crisis and meeting global climate goals. 

After massive reductions in product emissions, Apple will cover residual emissions with high-quality carbon removal credits primarily from nature-based projects. These include protecting forests and restoring grasslands and wetlands. 

Apple defines high-quality carbon credits as those coming from projects that are real, additional, measurable, permanent and quantified. The tech company has been advancing carbon removal initiatives that meet those quality criteria through its Restore Fund program. 

The carbon removal funding supports projects in Latin America, generating credits certified by international standards such as Verra. Other certifying organizations are the Climate, Community & Biodiversity Standards and the Forest Stewardship Council.

For the carbon neutral Apple Watch models, the carbon offsets used will come from projects that restore and protect forests in Paraguay and Brazil. This is in partnership with Arbaro Advisors and BTG Pactual Timberland Investment Group.

Apple’s commitment to environmental sustainability extends beyond carbon neutrality. The company has also made the following efforts:

Ceased the use of leather across all its product lines;
Introduced entirely fiber-based packaging for the new Apple Watch lineup;
Increasingly incorporated recycled materials into iPhone production; and 
The Home app features a new tool called Grid Forecast, aiding users in selecting cleaner energy sources for electricity consumption.

Clean Energy, Sustainable Design, and Low-Carbon Materials

Apple plays a pivotal role in advocating for clean energy and supports its suppliers in transitioning to renewable power sources. The company actively invests in large-scale solar and wind projects and collaborates with manufacturing partners to promote clean energy adoption.

Currently, Apple and its global suppliers collectively support over 15 gigawatts of clean energy worldwide, sufficient to power over 5 million American homes. 

Apple’s Supplier Clean Energy Program, joined by 300+ suppliers, commits to 100% renewable electricity for Apple production by 2030.

Moreover, Apple designs products with sustainability at their core, incorporating recycled materials into their creation. The company is phasing out leather in favor of FineWoven, a textile made from 68% post-consumer recycled content. The company also aims to use 100% recycled metals in key components by 2025.

Looking Beyond 2030

Beyond its carbon neutrality goals, Apple also commits to supporting broader efforts to decarbonize shipping industries and identifying pathways for developing sustainable aviation fuels. The company also supports other innovations such as alternative fuels and electric vehicles.

Apple’s commitment to a 90% reduction in emissions by 2050 underscores the company’s role in the fight against climate change. Apple advocates for collective action, urging governments, businesses, and individuals to join forces in accelerating progress toward a sustainable future.

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DevvStream Eyes NASDAQ Listing Via Focus Impact SPAC

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DevvStream Holdings Inc., a pioneering force in the tech-based carbon credits industry, has announced a merger with Focus Impact Acquisition Corp. The newly formed entity will be listed on the NASDAQ stock exchange under the ticker symbol “DEVS,” marking a significant milestone for both companies.

This merger is not just a business transaction; it’s a strategic alliance to accelerate DevvStream’s growth and market penetration in the rapidly growing carbon credit sector.

The Deal and Valuation

Upon completion, the merger agreement between DevvStream and Focus Impact will result in a new company name – DevvStream Corp.

The deal is valued at approximately $250 million. This includes $50 million in cash from Focus Impact and an additional $200 million from a PIPE (Private Investment in Public Equity) investment led by top-tier institutional investors.

This valuation reflects the high growth potential and the robust business model of DevvStream, which has been a leader in tech-driven carbon credits and sustainability solutions.

DevvStream existing shareholders will retain a majority stake, ensuring continuity in the company’s vision and operational excellence. The merger is subject to customary closing conditions, including regulatory approvals and the companies’ shareholders approval.

Once finalized, the proceeds from the deal will be used to fund DevvStream’s ongoing and future projects that reduce global carbon emissions. For instance, it has launched a groundbreaking Buildings and Facilities Carbon Offset Program (BFCOP) for building owners.

Market Potential and Partnerships for Efficient Carbon Credit Trading

DevvStream operates on a dual-pronged business model.

They invest in carbon offset or reduction projects, with investments typically ranging from $500,000 to $2.5 million. These projects are not just about offsetting carbon; they are about creating a sustainable future through tech-driven solutions.

DevvStream offers carbon management services, where they provide expertise in generating and trading high-quality carbon credits. They invest mainly in the design and documentation of projects that are eligible for carbon credits. And thus, they’re creating a revenue stream from the sale of these credits.

DevvStream continues to advance its current pipeline of contracted projects and has identified 140+ projects. DevvStream is forecasting net revenue of $13 million for the year 2024. This figure will quadruple to $55 million by 2025.

The global carbon market is a booming industry, valued at nearly $1 trillion as of 2022. DevvStream aims to carve a significant share of this market. The company is focusing primarily on compliance-based credits, which have a higher value and demand.

The company has entered into a strategic partnership with Devvio Inc., involving a licensing agreement for Devvio’s DevvX Blockchain Platform. This partnership will enable DevvStream to leverage blockchain technology for transparent and efficient trading of carbon credits.

Earlier this year, the carbon credit investment company also partnered with AgriLedger, a global advisement and consultative service specializing in carbon offset strategy.

Bridging Financing and Future Plans

In addition to the merger, DevvStream is in the process of raising up to $7.5 million through unsecured convertible notes. The funds will be for general working capital and to hasten the company’s growth plans.

The merger between DevvStream Holdings Inc. and Focus Impact Acquisition Corp. is a game-changer in the carbon credit market. It combines DevvStream technological prowess and market leadership with Focus Impact’s financial muscle. Together they’re setting the stage for rapid growth and expansion.

As the world grapples with climate change, the demand for sustainable and tech-driven solutions is at an all-time high. This merger positions DevvStream Corp. as a frontrunner in meeting this demand, offering promising returns for investors and a sustainable future for all.

Disclosure: Owners, members, directors and employees of carboncredits.com have/may have stock or option position in any of the companies mentioned: DESG

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Please read our Full RISKS and DISCLOSURE here.

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Salesforce Revolutionizes ESG Reporting for Net Zero With the Help of Einstein

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At Dreamforce 2023, Salesforce revealed that it’s harnessing the power of AI technology to revolutionize its environmental, social, and governance (ESG) reporting platform, Net Zero Cloud, to help companies thrive in a rapidly evolving regulatory landscape.

Powered by “Einstein”, Salesforce Net Zero Cloud’s generative AI capabilities will suggest reliable, auto-generated responses to help businesses simplify the process of ESG reporting. Emphasizing the role of their platform, General Manager and VP Ari Alexander noted:

“Equipped with Einstein, Net Zero Cloud will help simplify the process of reporting ESG data, offering a valuable solution that any company can leverage towards achieving net zero.”

ESG Reporting Towards Net Zero

ESG offers a set of criteria through which to determine the impacts of a company on people and the planet. The “E” particularly focuses on environmental stewardship and shows the performance of the company’s efforts towards climate change. This is the main criteria that Net Zero centers on.

Addressing such a great concern for companies, Salesforce created the Net Zero Cloud as a comprehensive sustainability solution. It allows corporations to easily access and report on their environmental footprint for all scopes – 1, 2, and 3, as shown below.

The net zero platform also handles the two other criteria metrics, S and G, and produces reports in line with known ESG reporting standards, including SASB, CDP, and GRI. And most recently, the EU Corporate Sustainability Reporting Directive (CSRD) standards. 

Starting next year, about 50,000 businesses, including multinational companies based in the US, must comply with the EU CSRD. The new directive requires companies to report both climate-related financial risks, societal impact, and supply chain emissions (Scope 3). 

Salesforce further revamped its Net Zero Cloud by adding two more capabilities: CSRD Report Builder and Materiality Assessment. The first one automates the generation of CSRD reports while the second aids companies in gauging what’s “material” to focus on. 

The Power of AI in Generating ESG Reports

According to McKinsey, a successful ESG implementation can lower operating costs by up to 60%. But that is in exchange for a lot of time that finance officers have invested in collecting and disclosing ESG data.  

This is where generative AI technology becomes helpful as is the case with Salesforce’s Einstein for Net Zero Cloud. 

With Einstein, the platform will suggest responses based on prompts that align with certain reporting framework criteria to help a company simplify its ESG reports authoring process. 

For instance, Einstein can refer to the previous year’s ESG reports, uploaded impact or compliance reports, and other data uploaded to the cloud platform, such as carbon emissions. 

Einstein will then utilize the data to generate automatic responses for every item in the report.

The other Net Zero Cloud innovations will further help companies take charge and manage their ESG disclosures more efficiently. They are important reporting tools as governments begin to make ESG disclosures mandatory.

The CSRD Report Builder particularly enables businesses to generate ESG reports in line with CSRD requirements, such as “double materiality”. This new capability further broadens the scope of the platform’s report builders.

The other feature of materiality assessment will help ESG managers determine the aspects most material to the company. With ESG-align results, the company can then design their ESG reporting strategy better. 

Various companies have been using Salesforce Net Zero Cloud for their ESG disclosures. 

The iconic winter sports brand Rossignol, for instance, is using the platform to manage its carbon emissions. Doing so helps the company become accountable for its environmental responsibility and accelerate its journey to net zero. Rossignol is investing in nature by taking part in the global movement committed to growing 1 trillion trees by 2030. 

Salesforce has also shown its own climate commitment by implementing multiple initiatives at COP27 in Egypt last year. 

The cloud-based tech company has also launched a first-of-its-kind carbon credit solution, the Net Zero Marketplace, in 2022. It’s a trusted platform that makes the process of buying carbon credits easy and transparent.

Einstein for Net Zero Cloud will be available in Spring 2024 while the CSRD Report Builder and the Materiality Assessment features will be available starting October this year.

As ESG reporting becomes increasingly mandatory, Salesforce’s commitment to sustainability shines through, offering a valuable tool for businesses striving to achieve net zero. Its latest Net Zero Cloud innovations empower companies to navigate ESG disclosures more easily and more efficiently.

The post Salesforce Revolutionizes ESG Reporting for Net Zero With the Help of Einstein appeared first on Carbon Credits.

Hydrogen Fuel Cell Is Revving Up: BMW and Toyota Lead The Way to Zero-Emission Vehicles

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As the automobile industry shifts to electric vehicles to reduce carbon emissions, there’s an alternative option that’s starting to gain traction and showing the great potential of zero-emission vehicles (ZEVs) – hydrogen fuel cells. Leading automakers are investing heavily in the development of this game-changing vehicle fuel cell technology, particularly Toyota and BMW.

In a hydrogen fuel cell EV (FCEV),specially-made cells burn hydrogen with oxygen. Hydrogen combustion produces only water and warm air as a byproduct. Thus, it can potentially reduce 36 billion tons of CO2 emitted each year from burning fossil fuels.

In 2022, just over 810 refueling stations for FCEVs are operating worldwide, which remains very insignificant for rapid adoption. However, an industry report projects that FCEVs could reach 13 million by 2030, with >10,000 refueling stations globally. 

BMW Hydrogen Car Drives Around The World 

BMW believes that hydrogen fuel cell technology will play an important role in fighting climate change, alongside battery electric vehicles. The carmaker has been studying and working on this zero-emission vehicle tech since 2000. 

In their pledge to reach net zero emissions by 2050, the German brand is ramping up its hydrogen development game. It has started developing its own hydrogen fuel cells, which brought to life the BMW iX5 Hydrogen pilot fleet. The H2 vehicle was launched in February this year.

BMW’s FCEV boasts a drive system with a total of 401 horsepower. It drives at a top speed of over 112 MPH and has an impressive driving range of 504 kilometers (313 miles).

According to the automaker, its hydrogen-powered iX5 won’t flinch at freezing temperatures at -20°C. This H2 vehicle had just completed an intensive hot-weather test in Dubai for the first time, performing impressively despite the scorching 45°C temperature of the Middle East. 

The BMW development team has examined all the electric systems and how cooling is done when driving under extreme weather conditions, ensuring that performance and range aren’t compromised. 

The hydrogen fuel powering the cells is stored in two 700-bar tanks, holding a total of 6 kilograms of H2. 

About 100 of these BMW hydrogen vehicles were deployed worldwide for testing across different target groups for demonstration purposes. They have proven to be a hit in Germany, California, and the Middle East, while also driving around Japan, Korea, the US, and China. 

Producing FCEV by 2030

The results from these road trials are key for the German automaker to help build sufficient refueling infrastructure that can serve all types of vehicles, from passenger cars, and small vans to heavy-duty commercial vehicles. They are crucial for building a robust network of hydrogen technology suppliers, which can reduce costs.

First Hydrogen’s FCEVs were a massive success, beating expectations for commercial vehicles.

The BMW iX5 Hydrogen offers long-distance capability and short refueling stops for zero-emission driving. The German carmaker’s long-term goal is to bring these pilot hydrogen vehicles into production by 2030. 

To meet such a target, BMW partnered with its Japanese peer and a strong FCEV advocate, Toyota, to study the future of this emerging technology. 

Toyota has also set an ambitious goal of getting its recently revealed hydrogen-powered truck Hilux on the market by 2030. 

Toyota Hydrogen Hilux Debuts with 365-Mile Range

In July this year, Toyota made headlines when it announced that it was going to sell 200,000 hydrogen-powered vehicles. It specifically targeted China and European markets.

This month, the Japanese automaker reached another milestone by debuting its FCEV prototype Hilux. This announcement shows Toyota’s broader scope in achieving its decarbonization goals, which largely involve the global deployment of hydrogen vehicles. 

The revolutionary hydrogen pick-up is a joint project developed with consortium partners in England and $13+ million in funding from the UK Government. 

Hilux is a global icon of the Toyota brand known globally for its durability and outstanding reliability. This hydrogen vehicle features a new powertrain that uses Toyota Mirai’s FCEV main components.

As a ZEV, the Toyota Hilux emits no tailpipe pollution other than water. 

In terms of drive range, it seems to outperform BMW’s FCEV by boasting over 600 km (365 mi) with its 3 high-pressure tanks. If the results are successful, Toyota will proceed with small-scale production. However, specific details of the hydrogen-powered Hilux weren’t shared. 

The first of 10 Hilux will be made by the end of 2023. These FCEV will go through rigorous testing for safety, functionality, and durability to adhere to production standards. 

Other major carmakers are also considering hydrogen fuel cells for their vehicles such as Honda and Hyundai. The luxury brand Land Rover is also developing its own FCEV as a strategy to meet net zero emissions by 2036. Other companies such as First Hydrogen Corp (FHYD) have begun trials with 16 fleet operators in the United Kingdom.

The automobile industry seems to be inching closer to the hydrogen era as the world seeks innovative solutions to fight climate change. Hydrogen-powered vehicles are emerging as a promising alternative to traditional fossil fuel-powered cars, with BMW and Toyota at the forefront of this revolutionary shift, investing heavily in hydrogen fuel cell technology.

Disclosure: Owners, members, directors and employees of carboncredits.com have/may have stock or option position in any of the companies mentioned: FHYD

Carboncredits.com receives compensation for this publication and has a business relationship with any company whose stock(s) is/are mentioned in this article

Additional disclosure: This communication serves the sole purpose of adding value to the research process and is for information only. Please do your own due diligence. Every investment in securities mentioned in publications of carboncredits.com involve risks which could lead to a total loss of the invested capital.

Please read our Full RISKS and DISCLOSURE here.

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First Hydrogen’s FCEV Receives Positive Analysis From Rivus

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First Hydrogen Corp. (TSXV: FHYD) announced that fleet management company Rivus has released its report “First Hydrogen LCV Trial”, the first  independent analysis of First Hydrogen’s hydrogen-fuel-cell-powered vehicle (FCEV) versus similar battery electric (BEV) and diesel vehicles used over the same duty cycles. 

First Hydrogen is a Vancouver and London UK-based company focusing on zero-emission vehicles (ZEVs) and green hydrogen production. It is the first company to demonstrate a FCEV for the light commercial vehicle market on British roads. It has designed and built FCEV LCV in partnerships with AVL Powertrain and Ballard Power Systems Inc. 

The LCV has a range of 630+  kilometers and is being trialed with an initial 16 fleet operators in the UK. 

Over 100 Stops A Day

Rivus’ report provides an objective first impression of its experience with First Hydrogen’s FCEV. the UK-based fleet management provider concluded in the report that:

“…overall, the vehicle performed very well during testing, appearing much more robust than BEV in terms of how vehicle efficiency was affected by different load factors.” 

A copy of the report is available on First Hydrogen’s website.  

The hydrogen company has been working with significant fleets such as the Aggregated Hydrogen Freight Consortium (AHFC). After accomplishing successful trials, First Hydrogen’s FCEV gained interest from delivery businesses. 

The hydrogen vehicles were built to take on longer distances but they also come with hybrid engines (fuel cell and battery) for shorter journeys.

For journeys with plenty of starts and stops, regenerative braking recharges the vehicle’s battery. This is important for delivery vehicles wherein drivers need to have lots of drop-offs and pick-ups. With First Hydrogen’s FCEV, they can make more than 100 stops a day.

Refueling the vehicle is also much faster, which is only 5 minutes compared to a similar EV,  (5 hours). This minimizes vehicle down-time while extending daily duty cycles and thus, offers greater operational flexibility. 

First Hydrogen’s FCEV Beats Expectations

Study shows that parcel delivery vehicle market size will be over $210 billion by 2032. This projection can further go up as e-commerce continues to rise rapidly, fueling the growth of the delivery market. 

Moreover, with over 9 million online sellers across the globe selling products via the internet, parcel delivery will definitely increase. This is expected to result in more drivers on the road to cater to the growing parcels for delivery daily. It means more vehicles will also be needed, leading to more emissions. 

But with hydrogen-powered fleets, parcel delivery service providers can effectively deal with the associated carbon emissions. First Hydrogen’s FCEV, with its 5-minute refueling and >100 stops, offers a promising solution, as reported by Rivus. 

Earlier last month, SSE, one of the UK’s largest energy infrastructure firms, also tested the vehicles. They are the first to road test First Hydrogen’s hydrogen-powered vehicles. SSE trial results also showed that actual road performance beats pre-trial expectations, suggesting that heavier payloads and driving at higher speeds don’t significantly reduce the range or impact vehicle performance. 

First Hydrogen has launched its specialized vehicle design phase which will develop its fleet of proprietary ZEVs while also developing refueling capability working with FEV.

Disclosure: Owners, members, directors and employees of carboncredits.com have/may have stock or option position in any of the companies mentioned: FHYD

Carboncredits.com receives compensation for this publication and has a business relationship with any company whose stock(s) is/are mentioned in this article

Additional disclosure: This communication serves the sole purpose of adding value to the research process and is for information only. Please do your own due diligence. Every investment in securities mentioned in publications of carboncredits.com involve risks which could lead to a total loss of the invested capital.

Please read our Full RISKS and DISCLOSURE here.

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