Microsoft multi-decade offtake for Mt-scale removals
Key Questions
What is the scale of Microsoft's carbon removal offtake commitments?
Microsoft has committed to approximately 7 MtCO2 over 25 years from US-based projects starting around 2026. This includes a 10-year deal with Liferaft for 1M Carbon Removal Units (CRUs) of biochar. AI demands are driving larger buys, with over 20M tons via ClimeFi RFP.
How does Microsoft's focus differ between durable CDR and NBS?
Microsoft prioritizes durable CDR over Nature-Based Solutions (NBS), raising standards for permanence, MRV, and 45Q tax credits. Deals like Liferaft's 1M biochar tons emphasize durability. This contrasts with broader market trends favoring NBS.
Has Microsoft paused its carbon removal purchases?
Reports indicate Microsoft has paused carbon removal purchases, notifying suppliers according to media outlets. This occurs amid ongoing multi-decade offtake commitments like the ~7 MtCO2 over 25 years. The pause may relate to market dynamics discussed in carbon credit conundrums.
~7 MtCO2 over 25 years US-based (2026-03-16); Liferaft 1M CRUs biochar 10yrs (2026-03-28); AI drives 20M+ ton buys, ClimeFi RFP; durable vs NBS, raises permanence/MRV/45Q.