For many, the answer has traditionally been the ‘offset,’ or as MIT’s Climate Portal describes as “tradable certificates” that lower the amount of CO2 in the atmosphere. The idea is that we can use some online platform, such as the one available through the United Nations, to just ‘fix’ our emission inconveniences with the swipe of a debit card for some random project in a foreign country, but the reality of our situation is much more dire.
To begin, why don’t we take this back a step and ask ourselves why we are so keen to jump for these options that often exists far outside the capacities and extensions of our own value chains? This is by no means to discredit the intent of the currently available programs because, of course, we are tackling this global situation together and need all the opportunities we can afford. Rather, this is just a means to directly call-out our own tendencies to take the ‘easy-way-out’ and leave some other people to handle our own problems.
But, the hard truth is that there is ‘no-one’ else. We all know that real internal systemic change is ubiquitously required to provide the climate mitigation results we are so ready to proclaim through the Paris Accords and at the upcoming COP 26 in Glasgow.
At ClimatePoint, we pose a shift in the question of offsets – Is it possible to aggregate our capital to implement and directly own projects that affect us on an everyday basis? Can we manufacture solutions that our employees and our customers can interact with? This would, after all, be something noteworthy to proclaim. If we are so concerned about our younger generations inheriting the pollution sins of generations, then shouldn’t we be doing everything we can to implement the best examples of solutions in our own back yards?
This is perhaps due to the lack of ownership that current platforms provide. Think about it – you swipe your card for offsets, you are ‘compensated’, and then you are done. Just as you would buy a snack out of a vending machine, there is generally no connection beyond your instant gratification.
Now, imagine, if you entered your payment, and then you become an owner of the solution? Beyond this, imagine if it means that you could experience this solution within your own community. No longer would that payment be a ‘one-and-done' option, rather it would be an investment that keeps on generating “tradable certificates” as dividends directly visible by you and your neighbours.
The same way a portfolio grows with shareholder distributions, your investment produces a return on carbon (ROC) that is shared with the world. The difference is subtle, but obvious. Just as we are more conscious of taking care of the items we own, than the ones we rent, we are likely to feel the same way about these mitigation projects that can benefit our own regions and living environments.
At ClimatePoint, we recognize our investment solution for climate action as just this. We offer a mitigation tactic to harness the collective capital of companies who do not have the resources of Microsoft, Google, or Amazon. We are building bridges to finance the sustainable technology solutions that are required to repair our 200+ years of bad habits. This form of ownership is essential to meet our climate targets of 2030, 40, 50, and beyond, and we must engage with financing to be able to integrate and scale these technologies accordingly.
Today, many corporations are leaning towards the emission pathways promoted by the Exponential Roadmap Initiative and the UN Race To Zero. They offer inspiring models that have already been adapted by many prominent corporations throughout the world. We consider ourselves among this group of ‘innovators, transformers, and disruptors’ permitting direct responsibility of sustainable initiatives.
However, with the fruition and growth of our portfolio companies, we also recognize the need to streamline the implementation of the ‘fruits of our labor.’ Here we return to the opening predicament of the ‘offset.’ The difference now is clearly that we need to ‘own’ our offsets, and ’compensate’ with the solutions provided by our ‘own’ investments. Hence, promoting and contributing to the ideally endless cycle of a circular economy and growing the habit of product regeneration and upcycling. ‘Ownership’ is responsibility and attention to this detail could very well be the key catalyst to achieving our ambitious climate goals.
The ‘offset’ space is undoubtedly an important one. There are so many ‘flavors’ to choose from and maybe there is a particular project in a specific location that you feel emotionally inspired to support. - This type of personal evaluation is obviously at your own discretion and is emotionally valuable. The important thing is to realize that now a seemingly haphazard approach can be re-imagined to accommodate your own value chain. The next time you check an account for your emissions, know that ClimatePoint is here to help you navigate the climate mitigation space and offer you a unique investment opportunity that is otherwise unavailable anywhere else. So you think you can offset? The answer is undoubtedly ‘yes,’ but it’s your strategy that counts. There is a place for offsetting, but only after your active investment options have been exhausted.
Where do you want your hard-earned cash allocated to climate change mitigation? The answer to this should be ‘where your capital can have the most impact.’ There are many uncertainties on the road ahead, but we’re confident that we are bringing together the smartest minds to lower the risk for everyone and maximize our opportunities for the greatest future of sustainability. We are in this together and have built a mechanism for everyone to succeed. Transparency, clarity, and trust are key values embedded within our methodology and client care. When you succeed, we all succeed. This is what is unavoidable. There is an opportunity to take action today, so what do you want to do that’s worthwhile?
We at ClimatePoint are pleased to announce our recent investment in PI Energy through our Article 9 fund 'Buildings and Constructions'. We recognize the great potential in PI Energy's innovative technology and their dedication to reducing the environmental impact of energy production.
Negative macroeconomic trends can't stop Kale on their mission to feed the world sustainably.
Evyon is a Norwegian-based startup on a mission to enable the reused battery revolution for a fully renewable future for everyone.
Solar Foods, a Finnish startup, is developing protein out of thin air. Grown without farming and only in need of a fraction of the land, water and energy that animals or plants would need. The protein, Solein, can be produced anywhere, as long as there's access to air and electricity.
Carbon Crusher is working to solve a big part of the global infrastructure problem while reducing carbon emissions and connecting people safely.
Parkdressen is challenging the traditional clothing industry, moving the consumer from the buy and toss mentality, to leasing and a more circular way of buying and using clothes.
Spoor is a fast-growing software company on a mission to enable industry and nature to coexist. Their software uses cutting-edge computer vision and AI to detect, track and classify birds in wind farms to help developers and operators gain insight and guide mitigation measures.
Life under and above the ocean is a central part of the Sustainable Development Goals, and an integral part of our climate, the economy and human lives in general. In no other realm is the importance of biodiversity for sustainable development more essential than in the ocean.
For the month of June we’d like to present Humble Bee Bio as technology of the month. They want to tackle plastic pollution by synthesizing the biology of bees to make novel bioplastics.
For the month of May, we'd like to highlight the Norwegian industrial company Miljø Norge, established in 2021. Their goal is to increase the circularity of products, and they're starting with fire extinguishers. Their vision: Save lives and the environment.
Heirloom Carbon Technology is developing novel, direct air capture technology to extract CO2 directly from the ambient air using common minerals.
Antora Energy delivers zero-carbon industrial heat and power. The thermal energy is delivered to costumer as electricity or industrial process heat up to 1500°C. Making a significant change towards eliminating their client's scope 1 and scope 2 emissions.
In February, Kale United, a part of our Green River Fund and a holding company making impact investments in game-changing vegan businesses, expanded their portfolio with a second investment round. They selected 12 companies working to increase the availability of plant-based consumer goods.
For the month of February, we would like to present Hyperion Robotics as the technology of the month. They are on a mission to bring efficiency and sustainability to the way concrete structures are being made.
Sirken is a company that makes reuse practical. Sirken stands for circular engagement and that’s what they do. Engage!
From time to time, we would like to present startup companies fighting climate change and evolving the new solutions of tomorrow. This month, we have selected Hayk, a green mobility company, challenging the way we own and use our cars today.
Veganz got listed as an IPO just this week. The company is now traded on the Frankfurt Stock Exchange and the IPO represents the first of its kind for a Kale United portfolio company.
This week ClimatePoint passed a massive milestone; We made our very first investment into new sustainable climate solutions. Though initially small, ClimatePoint is now owner in many companies which, among others, include Beyond Meat Inc., e.l.f Beauty Inc., and Mighty Pea