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Nature-based and tech-based carbon removals are on the rise: A new era for climate action
22 May 2025 5 minute read

Nature-based and tech-based carbon removals are on the rise: A new era for climate action

Carbon markets & climate policy Carbon market trends
Gaëlle Bonnieux
Gaëlle Bonnieux Global Lead, Structuring
Michael Weber
Michael Weber Global Senior Director - Carbon Removal (CDR)

To limit global warming to 1.5 degrees, governments and companies must reduce carbon emissions to net zero.

The first step to reducing emissions is through decarbonisation by changing and adapting operations and supply chains to reduce the amount of carbon dioxide (CO2) emitted. However, we now know that decarbonisation alone is not enough. To truly stabilise the climate, we also need to start pulling carbon dioxide out of the atmosphere. That's where carbon dioxide removal, or CDR, comes in.

What exactly is carbon removal?

Carbon removal refers to the process of taking CO2 out of the atmosphere and storing ideally for hundreds or even thousands of years. These solutions fall into two broad categories:

  • Nature-based removals (NBR) like forests, wetlands, and healthy soil.
  • Technology-based removals (TBR): These range from engineered machines that suck CO2 out of the air to mineral reactions that lock it away in rocks.

With that understanding in place, let's dive into the diverse solutions driving carbon removal forward.

Nature-based solutions: Tapping into the earth's own systems

NBS Tapping

1. Commercial plantation afforestation

This approach involves planting trees or other vegetation on degraded or deforested land with a primary focus on commercial outputs. In addition to generating products such as timber or biomass, these plantations also contribute to carbon sequestration at scale, especially when managed sustainably.

2. Reforestation for conservation

By re-establishing forest cover in areas affected by deforestation or natural disturbances, this method prioritises environmental restoration. The primary aim is to enhance biodiversity, restore ecosystems, and sequester carbon in a way that supports long-term ecological balance.

3. Agroforestry

Agroforestry integrates trees and shrubs into agricultural landscapes, offering both ecological and economic benefits. This method supports carbon storage in both soil and biomass while improving land productivity, water retention, and resilience to climate impacts.

Woodland

4. Woodland and improved forest management

These practices involve low-intervention conservation strategies that enable the natural regeneration of forests. By allowing ecosystems to recover and mature with minimal disturbance, they enhance carbon absorption while preserving biodiversity and ecosystem functions.

5. Wetland restoration

Restoring wetlands involves structured efforts to return degraded wetland ecosystems to a more natural state. These ecosystems act as significant carbon sinks while also improving water filtration, biodiversity, and flood protection.

6. Improved agricultural land management

This strategy focuses on optimising farming practices to enhance sustainability and carbon retention. Techniques may include improved soil and water management, sustainable crop planning, precision agriculture, and the use of technology to increase climate resilience and reduce emissions.

Technology-based solutions: Engineering the future

high-temperature-biochar.jpg

1. Biochar

Biochar is a stable, carbon-rich substance produced by heating biomass in a low-oxygen environment. When incorporated into soil, it serves as a long-term carbon sink while also enhancing soil health and agricultural productivity through improved nutrient retention and plant growth.

2. Enhanced rock weathering (ERW)

This process involves applying finely crushed silicate rocks to land surfaces, where they naturally react with CO₂ dissolved in rainwater. The resulting chemical reactions lock carbon away in mineral form, providing a durable and scalable removal pathway via both soils and the ocean.

3. Bioenergy with carbon capture and storage (BECCS)

BECCS combines the generation of energy—such as electricity, heat, or fuels—from biomass with the capture and permanent storage of CO₂ emissions. This CO₂ can be sequestered in underground geological reservoirs or embedded in long-lasting products, making BECCS a valuable component of negative emissions strategies.

co2-energie-ag-airfix-south-pole-pr-hero.jpeg

4. Direct air carbon capture and storage (DACCS)

DACCS systems extract CO₂ directly from ambient air using chemical or physical processes. The captured carbon is then permanently stored, typically in deep geological formations. DACCS offers high durability and scalability, though current costs and energy requirements remain significant.

5. CO₂ mineralisation

In this method, CO₂—either from the atmosphere or from processed plant material—reacts with naturally occurring or industrial materials to form stable, solid carbonates. These reactions effectively convert carbon into mineral form, offering a highly permanent and secure storage solution.

CDR's role in reaching net zero

Now that we've seen how CDR works, let's talk about why it's absolutely critical.

Reducing emissions remains the primary, most effective response to climate change. But let's be honest—decarbonisation alone won't cut it. Some emissions, known as "hard-to-abate," will persist due to technological or economic barriers. That's why most Paris Agreement-aligned scenarios count on substantial CDR capacities.

The IPCC acknowledges that residual emissions from hard-to-abate sectors—such as aviation and heavy industry—will necessitate scaling up carbon dioxide removal (CDR) to between 5 and 16 gigatons of CO2 per year (GtCO2/yr) by mid-century, depending on the pace of emission reductions (IPCC). And we can't wait until the last minute—by 2030, we'll already need 0.8 to 2.9 gigatons per year, which is three to ten times today's projected capacity. Plus, with climate feedback loops potentially speeding things up, the pressure to scale CDR is only growing.

For companies aiming to meet net zero targets—like those following the Science Based Targets initiative (SBTi), CDR will be essential once all decarbonisation options are exhausted. This is especially true for sectors like aviation, cement, and steel, where eliminating every last emission is nearly impossible.

Closing this "removals gap" will require a balanced mix of nature-based solutions (NBR) and technology-based removals (TBR). The challenge? Scaling both quickly and efficiently.

Carbon credits and the Oxford Principles: How CDR fits into the net zero journey

As more organisations set net zero targets, carbon credits are a vital tool to support that transition, especially in the early stages. Right now, many of the credits available focus on avoiding or reducing emissions, like protecting forests or improving energy efficiency. These are valuable and cost-effective ways to speed up progress in the short term.

But as we look toward the medium and long term, these types of credits won’t be enough on their own. To reach true net zero, the credits used to balance out any remaining emissions need to come from activities that actually remove carbon from the atmosphere and keep it locked away. That means:

  • Cutting emissions and using high-integrity credits that evolve with best practice
  • Shifting to carbon removal offsetting for residual emissions by net zero target date
  • Transitioning to removals with durable storage with low risk of reversal
  • Supporting innovative and integrated approaches to achieving net zero

This is where the Oxford Principles for Net Zero Aligned Offsetting come in. They offer a science-informed framework to help organisations shift from conventional offsetting approaches—often based on avoided emissions—toward a time-bound strategy that prioritises high-integrity carbon removals aligned with long-term climate goals.

By applying these principles, companies can ensure their use of carbon credits evolves in line with their decarbonisation journey—starting with available solutions today, such as emission reductions and avoidance, and over time increasing the share of carbon removal, especially those solutions that deliver longer storage duration.

Investments are trickling in

The money is starting to flow towards removal projects. According to MSCI, from 2021 to 2024, nearly $30 billion has been raised and committed to carbon removal:

  • Nature-based removals: About $19.6 billion
  • Technology-based removals: Around $10.1 billion, with 2024 doubling the amount seen in 2023

This influx shows growing interest in an early-stage sector, but will need to ramp up at speed to reach $0-5-2 trillion required by 2030 to meet 2050 targets (McKinsey). Major players, such as Microsoft, Amazon, and Rio Tinto, are supporting the market through long-term offtakes.

Advanced Market Commitments (AMCs), like the Symbiosis Coalition for NBR and NextGen CDR for tech-based solutions, are helping scale project development by guaranteeing future purchases. This creates bankability and de-risks investment.

Building credibility: Methodologies matter

New methodologies are being rolled out to ensure these projects actually deliver the climate benefits they promise:

  • Soil Organic Framework by Gold Standard includes zero-tillage and biostimulants modules
  • VM0049 by Verra supports improved accounting in CCS projects, applicable to DACCS and BECCS
  • Isometric methodology for enhanced rock weathering is now being used by NextGen-backed Alt-Carbon
  • EU CRCF BECCS and DACCS methodologies, currently usable for voluntary credits, with long-term applicability for the EU ETS

Certification of standards under the ICVCM Core Carbon Principles is driving increased transparency and oversight, improving trust for buyers and investors.

The path forward

So, where do we go from here? If we want carbon removal to make a real dent in climate change, we need to think bigger—and smarter. It’s not just about planting more trees or building a few machines. It’s about creating the right environment for these solutions to grow, thrive, and deliver at scale.

Here’s what needs to happen:

  • Invest in innovation: Tech-based solutions like direct air capture are promising but pricey. More research and development can help bring those costs down, making these futuristic ideas more practical and widespread.
  • Set clear rules: Governments need to step up with policies that encourage carbon removal—think tax breaks, carbon pricing, or guaranteed purchase agreements. When the rules are clear, businesses feel more confident to invest.
  • Make sure it’s credible: No one wants to buy into carbon removal if they’re not sure it actually works. We need solid systems to measure and verify that CO2 is being removed—and staying removed.
  • Collaboration is key: This isn’t a job for just one group. Governments, businesses, scientists, and communities all need to pull together. We’re already seeing great examples, like the Symbiosis Coalition and NextGen, where collaboration is driving real progress.

One thing’s for sure: carbon removal isn’t just a buzzword anymore. It’s becoming a core part of how we’ll tackle climate change.

In the short term, nature-based solutions will help us hit the ground running—they’re affordable, effective, and ready to deploy. But for the long haul, we’ll need tech-based options to lock carbon away for good.

With the right mix of investment, innovation, and collaboration, we can turn today’s progress into tomorrow’s climate solutions.

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Michael Weber, Global Senior Director - Carbon Removal (CDR)

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