Microsoft is investing in nature-based solutions, Brazil to protect the Amazon forest and climate migrants.
Your weekly Invert Insights are here:
Microsoft has entered into a 15-year offtake agreement with Chestnut Carbon, a nature-based carbon removal startup, aiming to procure over 3 million tons of nature-based credits from Chestnut’s U.S.-based afforestation project. The deal includes the removal of 362,000 tons of carbon in the initial phase and up to 2.7 million tons in subsequent phases, constituting one of the largest-ever nature-based carbon removal agreements globally. Microsoft’s collaboration with Chestnut aligns with its goal to become carbon negative by 2030, part of its broader initiative to offset historical emissions by 2050.
Companies continue to work on having an impact beyond their value chain through investing in nature-based solutions. This partnership reflects a broader industry shift towards sustainable practices, with companies actively seeking high quality nature-based carbon credits and engaging in long term-agreements to support initiatives that contribute to carbon removal, environmental conservation and community development.
The Brazilian state of Para will launch a public concession for 10,000 hectares of threatened Amazonian forest to private initiatives for reforestation. The state expects the carbon credits generated from this afforestation, reforestation, and revegetation (ARR) project to yield approximately $81 million over the 40-year concession period, based on a $30/tonne calculation. The initiative aims to sequester 2.7 million tonnes of CO2 and symbolically restore a critical environmental protection area facing threats from agriculture, land grabbing, and deforestation. The concession winner may also explore activities like ecological tourism and biodiversity-related ventures.
The Amazonian forest, commonly known as the “lungs of the Earth,” is famous for its environmental value due to its significant role in absorbing carbon dioxide and releasing oxygen. However, it does more than that; the Amazon influences weather patterns and rainfall on a regional and global scale, and deforestation disrupts these patterns. Protecting the Amazon helps maintain stable weather conditions and rain, which is crucial for agricultural productivity and water resources worldwide.
Over the past 20 years, as San Antonio and Bexar County, Texas, grew by 600,000 people, 17% of city blocks experienced population decline, attributed to flood risk exacerbated by climate change, according to a report by the First Street Foundation. The study, based on detailed Census Bureau data, reveals a national trend of local migration to avoid flooding, resulting in 3.2 million Americans relocating from high-flood-risk areas between 2000 and 2020. The analysis predicts continued population loss in vulnerable areas over the next 30 years, impacting property values and community dynamics. The findings challenge conventional views on climate migration, emphasizing the significant influence of flood risk at the neighborhood level.
The link between climate change and migration has been discussed over the past years. Adapting infrastructure to mitigate flooding is a priority, creating the need to redirect resources to enhance resilience in vulnerable areas, impacting federal, state and local budgets.