Low-carbon transition | July 18, 2023

Isometric secures $25 million to register and verify carbon-removal offsets

Roodgally Senatus
ImpactAlpha Editor

Roodgally Senatus

ImpactAlpha, July 18 — Capturing carbon directly from the atmosphere will be necessary to reverse greenhouse gas emissions, the International Panel on Climate Change concluded earlier this year. With $25 million from lowercarbon capital and Plural, UK-based Isometric plans to launch a carbon registry and accompanying data platform for verified and long-duration carbon offsets.

Carbon removal suppliers include San Francisco-based Charm Industrial, which last month inked offtake agreements for 140,000 tons of CO2 with JPMorgan Chase and the Frontier consortium of Stripe, Shopify, Alphabet, McKinsey and others.

Isometric doesn’t sell or broker the sale of carbon credits but charges buyers a flat fee per offtake or purchase to cover the verification of carbon removals and the issuance of credits.

Third-party reporting

Before launching Isometric in 2022, Eamon Jubbawy built Onfido, a $100 million revenue-generating AI software company. Isometric aims to help solve the “two non-negotiable challenges” in coming decades, Jubbaway told ImpactAlpha: decarbonizing the economy and scaling carbon removal.

The industry needs “an independent third party who can allow buyers to purchase carbon credits with confidence, allowing them to scale the size of their purchases without worrying about bad science, fraud or double-counting.”

Carbon registries

Critics have questioned the integrity of carbon registries, companies that issue carbon credits. Leading carbon registries, including Gold Standard, Climate Action Reserve and the American Carbon Registry, have fought charges that they contributed to corporate greenwashing.

An investigation in The Guardian found flaws in the accounting methodologies used by Verra, the world’s leading certifier of carbon credits, and argued that most of its credits were “largely worthless.” Verra denied the charges. The company’s founder and CEO, David Antonioli, resigned earlier this year.