The type of work being done in each project differs a lot; so
does the required investment to keep things running, and
therefore the final pricing varies too.
For example,
the team from the Tambopata project is working on the
conservation of a large area of Amazon rainforest; the size and
the nature of the work make the most cost-effective out of all
the projects currently in our portfolio. The folks in charge of
the Sumatra Merang Peatland Project are working on restoring and
regenerating 22,000 ha of degraded peatland, which much more
costly than conservation. On the other hand, the work of
TIST's Community Tree-Planting project is by far the most
labor and time-intensive; tree-planting projects are often the
most expensive when it comes to nature-based solutions.
Other
factors that influence pricing are the country where the project
is located as well as the quality of its resulting carbon
credits. We prioritize quality above everything else; you can
find out more by taking a look at
our offset strategy.
Of
course, the biggest pricing variations come from engineered
carbon removal solutions such as Charm Industrial's Bio-Oil
Carbon Sequestration project. These are cutting-edge
technologies that will be needed to stay on track towards the
1.5-degree pathway, but currently need high levels of investment
in order to reach cost-effectiveness. That's why we're
keeping the minimum contributions to these kinds of projects at
just a 0.5% for now, and will gradually increase them as they
become cheaper.