UK's Drax closes carbon removals deal with C-Zero

UK utility Drax has signed a deal for carbon removal (CDR) credits with environmental consultancy C-Zero, following an initial agreement between the two parties in May 2023.

C-Zero will purchase CDR credits from Drax representing 2,000t of permanently stored carbon under the terms of the deal, Drax said on 18 April. The deal is indicative of the "maturing carbon market's growing appetite for high-quality carbon removals" and another "concrete step" towards Drax's delivering of bioenergy with carbon capture and storage (Beccs) in the US, the firm said.

The deal with C-Zero comes a few weeks after Drax signed a five-year agreement with Karbon-X for CDR credits representing 25,000t of permanently stored carbon.

Drax intends to remove at least 6mn t/y of CO2 from the atmosphere through its US Beccs projects.

Drax aims to remove and store 8mn t/yr of CO2 from its UK Beccs projects, which are currently awaiting a consultation by the UK government to be finalised.

By Marta Imarisio