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Why Weak Lithium Prices to Persist in Early Q3 2024

Asian lithium prices are expected to stay weak in the first half of Q3 2024 due to oversupply and new import tariffs on Chinese electric vehicles (EVs) by the US and the EU. Lithium prices in China are projected to range between Yuan 80,000-90,000/mt ($11,022-$12,799), while prices in North Asia are likely to remain soft due to a seasonal summer lull and ample supply. 

A potential turnaround may occur in the latter half of Q3, a peak season for lithium demand.

Oversupply and Seasonal Lull Pressure Lithium Prices

According to S&P Global data, Chinese lithium prices began Q2 at Yuan 100,000-114,000/mt but fell to a 3-year low of Yuan 80,000-90,000/mt in June due to weak downstream demand and increased production. 

Chinese lithium prices in Q2

Moreover, China’s EV sales in Q2 increased following government subsidies for replacing polluting vehicles. However, new US and EU tariffs on Chinese EVs may dampen future sales in these regions.

Despite better-than-expected EV sales in China in June, US tariffs on Chinese EVs will rise from 25% to 100% in August. Meanwhile, the EU has imposed provisional countervailing duties of up to 47.6% on Chinese EV imports.

The EU has raised concerns about the state support China provides for electric vehicles that are exported to the bloc. The region argues that this constitutes unfair subsidization, giving Chinese EV manufacturers an unfair competitive advantage. And thus, the imposition of higher import tariffs on Chinese EVs as the EU seeks to protect its domestic automotive industry.

EU tariffs on Chinese EVs

Supply pressure intensified as more lithium projects became operational and salt lake production levels rose in China, resulting in a 30% increase in lithium salt output and significant increases in lithium carbonate and hydroxide imports. 

Platts assessed lithium carbonate at Yuan 85,500/mt and hydroxide at Yuan 79,000/mt on July 19, down over 20% from the start of Q2.

Upstream, spodumene prices began Q2 at $1,100/mt, peaking at $1,200/mt before falling below $1,000/mt by quarter’s end. The cost of producing spodumene exceeded the lithium carbonate price, resulting in negative margins and limited interest among lithium converters.

Spodumene prices need to fall below $800/mt for favorable margins in Q3. Platts last assessed spodumene at $920/mt FOB Australia on July 19, down 20% since the start of Q2.

How Do Lithium Miners Respond?

With lithium prices at three-year lows and no signs of recovery, the focus is shifting to whether miners will cut back on the battery metal’s supply. 

Benchmark Mineral Intelligence predicts a 32% supply growth in 2025, surpassing the expected 23% demand increase, with the surplus peaking in 2027 before a deficit returns later in the decade.

lithium demand and supply market balance

While some smaller producers have already reduced output, the larger firms may soon consider shutting mines and delaying projects in regions like Australia and Chile.

Some smaller players have already responded to the price slump. Australia’s Core Lithium halted operations at its Finniss project. 

Core Lithium, which opened its mine near Darwin in October 2022, experienced rapid growth but was hit hard by the subsequent market downturn. CEO Paul Brown noted the severe commodity cycle’s impact, with the company halting production six months later and laying off over 300 employees. 

Core Lithium is now in “care and maintenance” mode, awaiting a market recovery with a $15 million stockpile of processed lithium products yet to be sold and a cash balance of $87 million.

Similarly, Zhicun Lithium Group in China is putting two carbonate units into maintenance.

According to S&P Global Commodity Insights report, sustained low prices could trigger further mine supply cuts and project delays. Recent data from Platts shows spodumene prices nearing levels that previously led to production cuts.

Chinese lithium giants Ganfeng and Tianqi reported preliminary net losses in the first half. On the other hand, Pilbara Minerals plans to expand output after reporting it has “achieved or exceeded” its full-year guidance across production volume, unit operating cost, and capital expenditure. The Australian miner recorded record production in the June quarter.

The Perth-based group produced 725,000 tonnes, surpassing Pilbara’s FY24 guidance range of 660,000 to 690,000 tonnes. This production level reflects a 17% increase compared to the previous year.

When is The Turning Point?

Despite minimal profit margins, some producers maintain output to keep skilled workforces, avoid restarting costs, and preserve buyer relationships. Other lithium miners face growing pressure to reduce production. 

Linda Zhang of CRU Group noted diminished profit margins in Brazil, Chile, Argentina, and Australia. Curtailments and project deferments are expected to peak next year, potentially tightening the market balance in the medium term, according to Zhang.

With hopes fading for a significant demand rebound this year, BloombergNEF recently lowered its EV sales estimates, indicating the auto industry is falling behind in decarbonization efforts.

With supply still exceeding demand and slow EV sales growth, analysts do not foresee a near-term price recovery. They predict that while EV adoption will eventually increase lithium demand, yet the record prices of 2022 are unlikely to return. The industry must now adapt to a more sustainable operating environment, favoring low-cost producers.

The post Why Weak Lithium Prices Will Persist in Early Q3 2024 appeared first on Carbon Credits.

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Amazon’s Zoox Ramps Up Robotaxi Race — Can It Catch Waymo and Challenge Tesla?

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Amazon just revealed its robotaxi plans! The retail giant is charging into the self-driving space through Zoox, its autonomous vehicle arm, aiming to produce up to 10,000 robotaxis annually at a massive new facility near Silicon Valley. This bold move is Amazon’s bid to challenge Waymo’s lead and join in reshaping future transportation.

The new production plant, located in Hayward, California, spans 220,000 square feet — about the size of three and a half football fields. Zoox says this factory is the first of its kind in the U.S., built solely for the serial production of purpose-designed robotaxis.

Before diving into Zoox’s big plans, let’s take a quick look at what robotaxis are all about.

What Exactly Is a Robotaxi?

Robotaxis are fully autonomous ride-hailing vehicles powered by advanced artificial intelligence. Using a mix of LiDAR, cameras, and radar sensors, they can navigate city streets without a human driver. Most are classified as Level 4 autonomous, meaning they can handle all driving tasks within set conditions.

Since Waymo first launched driverless rides in Phoenix in 2020, the concept has shifted from a futuristic experiment to a real-world mobility solution. Now, falling hardware costs and better AI performance are making robotaxis more affordable. In fact, Goldman Sachs estimates the cost per robotaxi could soon drop below $50,000.

autonomous vehicle robotaxi

Zoox Eyes Vegas Launch in 2025

Amazon acquired Zoox in 2020 for $1.2 billion, and now the company is preparing to launch its first commercial service in Las Vegas later this year. San Francisco is next, followed by additional cities like Austin and Miami in the coming years.

While Waymo has already logged more than 10 million paid robotaxi rides in cities like Phoenix, San Francisco, Los Angeles, and Austin, Amazon’s Zoox is still playing catch-up. Tesla, on the other hand, is betting on a future where its EVs can self-drive using its own Full Self-Driving (FSD) software, though it has yet to officially roll out a robotaxi fleet.

Here’s what it looks like.

amazon robotaxi zoox
Source: Zoox

Inside Zoox’s High-Tech Production Factory: Flexible and Modular

The Hayward facility will handle all aspects of Zoox’s robotaxi production, from engineering and software integration to final assembly and quality testing. It is just 17 miles from Tesla’s nearby plant and sits close to Zoox’s Foster City headquarters, which promotes better teamwork between teams.

The facility is flexible by design. As robotaxi technology evolves, the plant can easily adjust to build newer models or add new features. As said before, at full capacity, the factory will be able to churn out over 10,000 robotaxis each year, scaling up as demand grows.

Secondly, Zoox follows a modular production model. From design to deployment, the company manages every part of the process. That means faster development, more quality control, and the ability to quickly scale production if needed.

Human Touch Still Matters

Even in a factory building autonomous vehicles, people play a vital role. Zoox uses robots for precision tasks like adhesive application and moving vehicles along the line. But much of the work, including assembly, is still done manually by skilled workers.

The facility is expected to bring hundreds of new jobs to the Bay Area. Zoox’s current team will help train newcomers as the company expands its operations. The company plans to hire more operators, logistics teams, and assembly experts as its services roll out to more cities.

Zoox Puts Sustainability in the Driver’s Seat

The new plant was designed with sustainability in mind. Zoox skips energy-hungry processes like welding and painting, reducing its overall power use. The company also avoids heavy in-house manufacturing by working with suppliers to preassemble key components, cutting emissions and waste.

To reduce its environmental footprint, Zoox has equipped its facility with low-emission, quiet logistics systems that minimize both air and noise pollution. This effort reflects the company’s broader commitment to sustainable manufacturing and cleaner urban transportation.

Robotaxi Market: Forecast, Trends, and Sustainability

According to a report by Markets and Markets, the global robotaxi market could grow from $0.4 billion in 2023 to $45.7 billion by 2030, at a rate of almost 92%. This shows Amazon’s robotaxi endeavors are on the right track.

If trends keep going, robotaxis might soon be profitable on a large scale. This is key for drawing in long-term investors and speeding up global use.

robotaxi
Source: marketsandmarkets

Furthermore, most people today want safer, easier, and stress-free ways to get around, and that’s driving the rise of robotaxis. Instead of dealing with the hassle of driving, they’re turning to autonomous rides for convenience. Robotaxis also cost less than traditional taxis or owning a private car, making them a more affordable option.

At the same time, trends like ride-sharing and Mobility-as-a-Service (MaaS) are making robotaxis even more appealing. Furthermore, these vehicles also support sustainability goals, ease traffic in crowded cities, and improve road safety by removing human error from the equation.

Moreover, strong government backing, new partnerships, and growing public trust in autonomous tech are helping this market gain momentum. As a result, the robotaxi sector is quickly moving from concept to reality.

So, Amazon’s Zoox is now officially in the robotaxi game. With a world-first production facility, a clear launch roadmap, and a focus on smart, sustainable growth, it’s gearing up to rival both Waymo’s early lead and Tesla’s ambitious promises. Thus, the race to dominate the streets with driverless rides has started shifting gears.

The post Amazon’s Zoox Ramps Up Robotaxi Race — Can It Catch Waymo and Challenge Tesla? appeared first on Carbon Credits.

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European Central Bank (ECB) Tilts Green: 38% Cut in Portfolio Emissions, Adds Nature Risk to Climate Disclosures

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The European Central Bank (ECB) has released its third climate-related financial disclosure, marking steady progress toward its sustainability goals. This year’s report shows that carbon emissions from the ECB’s portfolios keep declining. It also adds a new feature: a metric that measures exposure to sectors linked to nature degradation.

The update shows how the ECB is incorporating climate and nature risks into its financial and monetary policy. This aligns with EU climate neutrality goals and the Paris Agreement.

Corporate Bond Portfolio Sees 38% Drop in Carbon Intensity

The ECB’s €331 billion corporate bond portfolio has significantly reduced its carbon intensity over the past three years. Between 2021 and 2024, the weighted average carbon intensity (WACI) fell by 38%, dropping from 266 to 165 tonnes of CO₂ equivalent per million euros invested. This substantial drop is a direct result of both external emission reductions by issuers and internal policy shifts by the ECB.

ECB carbon intensity
Source: ECB

What’s the Tilting Strategy?

One major driver of this shift was the ECB’s tilting strategy. By favoring corporate bond issuers with stronger climate credentials, the ECB was able to help decarbonize its portfolio.

  • According to the disclosure, the tilting framework alone contributed roughly 26% of the total WACI reduction from 2021 to 2024.

Although reinvestments slowed in mid-2023 and stopped altogether by the end of 2024, the benefits of tilting continued. Bonds purchased under this strategy in 2024 showed 76% lower Scope 1 and Scope 2 emissions compared to purchases made before tilting was introduced.

Nature Loss Now on the Radar

The ECB has added a nature-related financial risk indicator to its annual report for the first time. This new metric shows how much the ECB’s corporate investments rely on natural ecosystems or harm them.

Early findings show that around 30% of the Eurosystem’s corporate bond holdings are in three high-risk sectors: utilities, food, and real estate. These sectors face the highest nature-related risks due to their resource use and impact on ecosystems.

The ECB’s funds and staff pension portfolio have different exposure levels. The largest share is 40% in equity exchange-traded funds (ETFs) linked to nature-sensitive industries. This is an initial estimate. The bank views this nature metric as key for better risk assessments. It also aids in grasping the wider economic effects of biodiversity loss.

ECB’s 7% Annual Emission Cut: What Does It Target? 

The ECB wants to further lower its emissions, keeping its long-term goal intact. It targets a 7% annual cut in emissions intensity for corporate bonds in the Asset Purchase Programme (APP) and the Pandemic Emergency Purchase Programme (PEPP).

These targets align investments with the EU’s climate goals and the Paris Agreement. If the holdings deviate, the ECB’s Governing Council will consider corrective actions within the bank’s mandate.

Green Bond Holdings Surge to €6.4 Billion

The ECB is also increasing its exposure to green finance. The press release highlighted that in 2024, the share of green bonds in the ECB’s own funds portfolio rose to 28%, up from 20% in 2023.

  • This increase translates into over €6.4 billion directed toward green initiatives, and the central bank aims to boost this share to 32% in 2025.

Additionally, the ECB started investing in ETFs that follow EU Paris-aligned benchmarks. These investments reflect the bank’s growing commitment to financing the low-carbon transition and supporting climate-aligned assets.

Meanwhile, the staff pension fund continues to make climate progress. In 2024, the fund cut the carbon footprint of its corporate investments by 20%, keeping it on track to meet its interim climate targets.

ECB green bonds
Source: ECB

ECB’s Operational Emissions

While investment-related emissions dropped, the ECB’s own operational carbon footprint increased in 2023. According to the bank’s latest Environmental Statement, total Scope 1, 2, and 3 emissions rose by 50.8% compared to 2022.

Scope 1 emissions—those from direct sources like heating—declined by 15.5%, and Scope 2 emissions from purchased energy fell by 3.9%. However, Scope 3 emissions, which include indirect sources such as business travel and purchased goods, surged by 61.4%. This increase reflects a post-pandemic rebound in travel and in-person events.

ECB emissions
Source: ECB

The bank set a short-term target to manage the emissions. For instance, in 2024, travel-related emissions had to stay under 60% of 2019 levels. In 2023, this figure reached 69%, signaling the need for stronger controls in operational emissions.

Data Gaps Pose Ongoing Challenge

Despite these advances, data quality remains a hurdle. The ECB pointed out that many companies still report incomplete or inconsistent emissions data, especially when it comes to Scope 3 emissions across value chains. This inconsistency makes it difficult to compare emissions across issuers and time periods.

Additionally, asset classes like covered bonds also suffer from limited emissions data, further complicating the ECB’s assessments. These gaps highlight the urgent need for reliable, standardized reporting rules across all financial sectors and jurisdictions.

The ECB stressed that better data and unified standards are key. These elements are vital for managing risks accurately and taking effective climate action.

Expanding the Climate Agenda: Nature, Physical Risks, and Transition

Building on its 2022 climate agenda, the bank has decided to expand its focus through 2025. It will focus on three major areas:

  • The economic implications of the green transition
  • The physical impacts of climate change, such as floods and heat waves
  • The financial risks posed by nature loss and ecosystem degradation

The ECB and all Eurosystem national central banks have published climate-related financial disclosures every year since 2023. These disclosures follow a unified set of principles based on the Task Force on Climate-related Financial Disclosures (TCFD).

Over time, these annual reports show how the ECB reduces its environmental impact. They also highlight a change in how central banks view climate and nature risks. These are not just environmental issues anymore; they are now seen as key financial risks.

The ECB’s 2025 disclosure makes it clear: central banking is going green, and nature matters. Emissions are dropping, green bonds are increasing, and biodiversity is now a focus. However, data challenges persist, and operational emissions are on the rise. Still, with clear targets and transparent disclosures, the ECB is pushing toward a climate-safe financial future.

The post European Central Bank (ECB) Tilts Green: 38% Cut in Portfolio Emissions, Adds Nature Risk to Climate Disclosures appeared first on Carbon Credits.

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The Top 6 AI-Powered Companies and How They Transform Climate, Nature, and Carbon Solutions

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The Top 6 AI-Powered Companies and How They Transform Climate, Nature, and Carbon Solutions

Artificial Intelligence (AI) is becoming a central tool in the fight against climate change. From tracking deforestation to verifying carbon credits and forecasting climate risks, AI is being used to reshape how we understand and respond to environmental problems. This article showcases the top six companies using AI for climate, carbon, and nature-based solutions.

Ranging from nimble startups to publicly traded innovators, these companies are using machine learning, geospatial data, and advanced AI analytics to bring speed, transparency, and accountability to environmental and climate action. Before getting to know each one of them, let’s unravel the reasons why AI is crucial in tackling climate issues.

Why AI Matters in the Fight Against Climate Change

The global climate crisis is a problem of speed, scale, and complexity. Greenhouse gas emissions have to be reduced rapidly, and ecosystems need to be restored effectively. But traditional tools can’t keep up with the pace or size of the problem. This is where AI comes in to help. 

AI technology helps collect and process large amounts of data. It also automates repetitive tasks and provides real-time insights worldwide.

According to a 2023 report by BCG and BCG Gamma, AI has the potential to help reduce 5% to 10% of global greenhouse gas (GHG) emissions by 2030—equivalent to 2.6 to 5.3 gigatons of CO₂e per year.

AI for climate control reduce emissions 2030

This reduction could come from more efficient energy use, smarter agriculture, cleaner transportation systems, and better industrial processes. For example:

  • AI-driven building energy management systems can lower electricity usage by 10% to 20% by adjusting heating, cooling, and lighting based on occupancy and usage patterns.
  • In agriculture, precision farming powered by AI can cut emissions from fertilizer use by up to 20%, while boosting yields and reducing water waste.
  • AI can also improve the accuracy of carbon credit verification and forest monitoring, reducing fraud and ensuring nature-based solutions deliver real climate benefits.
  • Logistics and transportation optimization through AI can reduce fleet emissions by up to 15%, according to McKinsey.

Key Areas Where AI Is Making a Difference:

Carbon Accounting. Companies can use AI to track emissions and, thus, climate actions more accurately. It helps them monitor supply chains, facilities, and transport networks. According to PwC, AI-enhanced carbon accounting can significantly improve emissions tracking accuracy, helping firms meet ESG reporting standards and avoid greenwashing.

Project Verification. AI, satellite imagery, and drone data can verify carbon offset projects, like reforestation. This ensures they provide the promised environmental benefits. For example, AI-powered verification platforms can reduce carbon offset fraud, according to research from Microsoft’s AI for Earth program.

Climate Forecasting. AI models can simulate extreme weather events, droughts, and climate risks decades into the future. A study by the European Centre for Medium-Range Weather Forecasts found that AI-based models like Google’s GraphCast outperform traditional forecasts by up to 90% of tested metrics.

Deforestation Monitoring. Machine learning tools can spot early signs of illegal logging and land degradation across vast landscapes. Global Forest Watch reports that AI-aided systems can detect deforestation in near real-time, reducing response times from weeks to just hours.

AI also supports nature-based solutions by automating tasks like species recognition, soil monitoring, and forest growth modeling. These innovations are essential in building trust and scalability in carbon markets.

In short, AI isn’t just speeding up climate solutions—it’s making them smarter, more credible, and more scalable. And the companies at the forefront of this AI–climate fusion are shaping the next era of environmental action. Let’s take a closer look at six companies leading this AI revolution.

Veritree – Restoring Nature with Digital Precision

Veritree is a Canadian startup that combines AI, geospatial technology, and blockchain to verify ecosystem restoration projects. Their goal is to make reforestation more transparent, measurable, and accountable.

Veritree works in Kenya, Indonesia, and Madagascar. It partners with planting groups and tracks each tree planted on a digital dashboard. They verify project performance through ground data, satellite imagery, and automated analytics.

The company makes sure the forests planted are thriving. They focus on healthy biodiversity and long-term carbon absorption. Here’s how the company’s AI-driven technology works:

Veritree has helped plant over 100 million trees so far. They partner with more than 300 companies, including the outdoor brand tentree. Veritree uses AI to spot growth trends and threats, such as pests or drought. This helps secure long-term ecological success. Here is the company’s impact in numbers:

vertiree impact in numbers

In May 2025, Veritree closed a $6.5 million Series A round, led by Pender Ventures, with participation from Garage Capital, Northside Ventures, and Diagram Ventures. This round coincided with a major milestone (over 100 million trees pledged) and supports their goal of planting 1 billion trees by 2030.

Veritree’s Key Initiatives:

  • The 10 Million Tree Challenge. A corporate reforestation initiative where companies pledge to plant trees to offset emissions.
  • Verified Impact Platform. Uses satellite data, geospatial analytics, and AI to monitor planted forests over time, ensuring survival rates and ecological success.
  • Partnership with tentree. Every product purchased funds tree planting via Veritree, backed by real-time dashboards showing impact metrics.
  • Mangrove Restoration in Kenya & Indonesia. AI tracks coastal resilience benefits, biodiversity, and carbon sequestration metrics.

Treefera – AI Transparency in Supply Chains and Carbon Projects

UK-based Treefera is a fast-growing company that uses satellite imagery and AI to map the “first mile” of agricultural and forestry supply chains. This is the part of the supply chain where environmental and social risks are often highest but least visible.

Treefera’s platform monitors where raw materials come from, such as coffee, palm oil, and cocoa. It makes sure they aren’t tied to deforestation or land degradation. It also helps carbon project developers and buyers check the credibility of land-based offset projects.

With its advanced mapping and verification tools, Treefera supports sustainability compliance and supply chain de-risking. So far, here are the company’s achievements and results in figures:

trefeera results
Source: Treefera

Treefera has had a burst of capital growth. In April 2024, the firm raised $12 million in Series A funding from Albion VC. In June 2025, they secured a $30 million Series B round. Notion Capital led the funding, with help from Albion VC, Endeit Capital, Triple Point, and Twin Path Ventures. This funding is to scale up its services and expand into emerging markets in Africa and Latin America. 

More and more ESG-conscious companies use Treefera’s AI tools for climate or nature-based solutions. They want verified carbon claims and ethical sourcing data. Here are the company’s major initiatives:

  • Carbon Credit Verification for Forest Projects. Provides AI-powered evidence on forest cover changes, biomass, and carbon absorption for voluntary carbon market (VCM) buyers.
  • Partnership with Satelligence and Google Earth Engine. Integrates with Earth data sources to streamline project due diligence for investors.
  • Agrifood Traceability Solutions. Used by global food firms to verify sustainable sourcing from cocoa, palm oil, and coffee farms.
  • Geospatial ESG Monitoring. Detects deforestation and biodiversity loss risks in carbon projects before they happen, reducing greenwashing.

C3.ai – Enterprise-Grade AI for Emissions and Energy

C3.ai is a U.S.-based enterprise software company listed on the NYSE (ticker: AI). Founded in 2009 with a focus on carbon and energy analytics, C3.ai went public via IPO in December 2020. Its founder, Tom Siebel, originally envisioned the firm as a tool to “measure, mitigate, and monetize” corporate carbon footprints. 

Post-IPO, the company has continued growing through strategic AI solutions for sustainability. It offers AI-powered platforms to companies in energy, defense, manufacturing, and finance. These tools focus on sustainability and managing emissions.

For climate-focused users, C3.ai offers carbon accounting and optimization tools that automate the tracking of Scope 1, 2, and 3 emissions. These solutions connect with enterprise systems and supply chain platforms. They give a complete view of emission sources. 

Moreover, the company helps firms see how different decarbonization plans might play out, with predictive modeling. Below are the company’s customers.

C3.ai customers
Source: C3.ai

C3.ai has worked with major organizations such as Shell, Engie, and the U.S. Department of Energy. While it serves a wide range of industries, its software is gaining popularity among large enterprises facing pressure to meet net-zero targets and report ESG data transparently. Know more about the company’s AI technology here.

C3.ai’s Major Projects and Efforts:

  • C3 AI ESG Application. Automates ESG reporting, emissions tracking (Scopes 1–3), and decarbonization recommendations using AI.
  • Partnership with Shell and Baker Hughes. Used to optimize energy infrastructure and reduce methane leaks through predictive AI.
  • C3.ai Energy Management Suite. Helps utilities and oil majors lower carbon intensity while boosting operational efficiency.
  • AI Model Library for Carbon Emissions. Offers prebuilt models that track emissions across supply chains and suggest reduction pathways.

Planet Labs – Satellite Data for Nature and Carbon Intelligence

Planet Labs operates the largest fleet of Earth-imaging satellites and captures daily images of the entire planet. Founded in 2010 and publicly listed on the NYSE (ticker: PL), Planet is transforming how we monitor environmental changes.

Planet Labs has steadily built a robust financial foundation to support its growing fleet of Earth observation satellites. In 2018, Planet secured a $168 million Series D round to scale its hardware and integrate the Terra Bella satellite business, previously acquired from Google. 

By 2021, Planet had closed another $95 million Series C round, pushing its total venture capital raised to over $160 million. These investments boosted progress in AI-powered geospatial intelligence. Their AI tech helps in climate, carbon, and environmental monitoring of various companies.

Planet uses machine learning and geospatial analytics to turn raw images into insights. These insights can spot changes in forest cover, illegal deforestation, and land-use patterns.

In the context of carbon credits and nature-based solutions, this is crucial. The image below shows an example of the company’s output using LiDAR, and they can provide a lot more services for forest carbon and other areas

Planet Labs result

Recently, Planet has focused on Monitoring, Reporting, and Verification (MRV) tools for the carbon market. It can estimate forest height, biomass density, and carbon absorption over time, offering transparency for offset buyers and project developers.

Governments, NGOs, and environmental asset managers already use their platform. As MRV rules for carbon projects get stricter, Planet’s AI-powered satellite tools will be vital.

Notable Initiatives:

  • Planetary Variables Product Suite. Tracks vegetation biomass, soil moisture, and canopy height for MRV in carbon markets.
  • Partnership with NASA, UN FAO & Microsoft. Provides critical deforestation and land-use data for nature-based climate projects.
  • Forest Carbon MRV Pilot with Verra. Helping carbon registries improve the accuracy of credit issuance using remote sensing.
  • Global Forest Watch Contributor. Powers near-real-time forest loss alerts used by NGOs and investors to flag risks to carbon projects.

Sylvera – Carbon Credit Ratings with AI Insight

Sylvera is a London-based climate tech company aiming to bring clarity and accountability to the voluntary carbon market. The company uses AI, satellite data, and its own methods to rate carbon offset projects around the globe.

Buyers of carbon credits often struggle to evaluate the effectiveness of a given project. Sylvera solves this problem by scoring projects on additionality, permanence, co-benefits, and data quality. Its analytics help corporations, investors, and even governments make informed carbon purchasing decisions, as explained in the video. 

By 2025, Sylvera tracks and rates thousands of carbon offset projects. These projects vary in type, including forest protection, soil carbon, and blue carbon initiatives. The company teamed up with big asset managers and financial platforms. They are adding their ratings to climate investment portfolios.

Sylvera has strong support from top investors like Index Ventures and Insight Partners. It also leads the push to standardize how carbon credits are assessed. 

In January 2022, the company secured $32.6 million in Series A funding, co-led by Index Ventures and Insight Partners. The round raised its total funding to about $39.5 million. This money will help grow its AI-driven carbon credit ratings and tools that boost credibility.

Sylvera’s Key Projects and Initiatives:

  • Carbon Credit Ratings Platform. Used by major buyers like Salesforce, Bain, and Delta Airlines to assess credit integrity before purchase.
  • Data Partnership with MSCI. Integrates Sylvera’s ratings into ESG investing platforms to align with sustainable finance standards.
  • AI-Driven “Quality Score” for Offsets. Evaluates permanence, leakage, additionality, and co-benefits of forest and tech-based projects.
  • Improving VCM Integrity Initiative. Actively involved in global standards discussions (ICVCM, VCMI) to build trust in offsets.

SEE MORE: Sylvera and BlueLayer Launch World’s First Live Carbon Data to Unlock $2B Investment

Pachama – Machine Learning for Forest Carbon Verification

Founded in California, Pachama uses satellite imagery, LiDAR, and machine learning to verify carbon capture in forest-based projects. They aim to improve the quality of nature-based carbon credits. This is especially true for reforestation and forest conservation.

Pachama closed its Series B in May 2022, raising $55 million to bring total funding to around $79 million. In December 2023, the company added $9 million to its Series B funding. This raised the total growth-stage funding to around $88 million. Key investors included Lowercarbon Capital, Breakthrough Energy Ventures, Amazon’s Climate Pledge Fund, and T.Capital. 

Pachama monitors forest projects continuously. This helps companies see their carbon credit impact over time. Their AI models can spot forest degradation, tree death, and land-use changes quicker than old field audits.

The company works with top reforestation developers. They provide a marketplace for companies to buy verified, high-quality carbon credits. They aim to make all forest projects auditable, transparent, and trustworthy. These traits are essential for companies that want to invest in offsets to meet their net-zero goals.

With a strong reputation for data transparency and environmental integrity, Pachama is a key player in the next generation of digital carbon platforms. The company’s major initiatives include:

  • Verified Forest Carbon Marketplace. Features vetted carbon credits from high-integrity forest projects with transparent scoring.
  • Pachama Monitoring Platform. Uses AI to track canopy cover, deforestation, and biomass over time to validate carbon sequestration claims.
  • Partnership with Shopify, Microsoft, and Flexport. Trusted provider of forest carbon offsets for top-tier climate-conscious companies.
  • Pachama Originals. Launching its own AI-verified reforestation projects with rigorous environmental and community co-benefits. 

Smart Technology for a Smarter Climate Response

AI is emerging as a crucial ally in climate action. These tools are closing the gap between climate goals and real results. They help monitor forests, track emissions, verify carbon credits, and forecast climate risks.

The six companies featured here—Veritree, Treefera, C3.ai, Planet Labs, Sylvera, and Pachama—are proving that technology can accelerate and enhance nature-based and carbon-driven solutions. They show that with the right data and intelligent tools, we can restore ecosystems, build trust in carbon markets, and support a sustainable future.

As climate challenges grow more complex, expect AI companies to play an even bigger role in creating a planet that’s not only livable but thriving.

The post The Top 6 AI-Powered Companies and How They Transform Climate, Nature, and Carbon Solutions appeared first on Carbon Credits.

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