🤝 Co-financing for CDR? Smart or wrong? 🤝

🏗️ Imagine you are trying to build a big, billion dollar CDR facility. How on earth do you fund this in 2025, when conventional project finance is not yet ready for carbon removal?

🏆 Very few companies have cracked this seemingly impossible nut. The most prominent one: Stockholm Exergi, who are on track to remove 800,000t of CO2 per year by the end of this decade, making it one of the biggest and most ambitious durable CDR projects in the world.

💰How did they do it? In 2021, they secured €180m from the EU Innovation Fund. In 2024, Frontier purchased $50m of credits. Between 2024 and 2025, Microsoft purchased 5.08Mt of credits, a deal likely worth around $1b-1.5b. And, finally, in early 2025 they secured almost $2b from the Swedish government over 15 years.

🤯 Woah, right? Stockholm Exergi really pulled it off and proved that it is possible to mobilise billions from public and private sources to build huge CDR facilities.

🤔 And this is where the controversy starts. What about additionality? Is this double counting? Many criticisms have been levied against this model.

🤩 No better person to discuss this with then Erik Rylander, the Head of CDR at Stockholm Exergi. He will be joining our upcoming CDR Policy Scoop with Eve Tamme and I.

🗓️ Tune in on Thursday May 22nd at 9am PST | 12PM EDT | 6pm CEST: https://lnkd.in/dz-qXVA6

👇 What do you think? Make sure to weigh into this debate in the comments. We will cover the most relevant arguments from here in our Live.

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