Readit Newscdr_fyi commented on Carbon Removal purchases grew 78% last year, deliveries up 120% cdr.fyi/blog/2024-year-in... · Posted by u/cdr_fyi
These are from our 2024 CDR.fyi Year in Review, which pulls data from hundreds of public and private data sources to develop as comprehensive view of the market as possible. A lot of progress but a lot to do to scale the market:
Growth: The CDR market grew 78% in 2024 with the total purchased volume reaching almost 8 million tonnes. However, it is still highly concentrated, with 80% of purchases coming from Microsoft, Google, Stripe, and Frontier buyers .
Delivery: 318.6K tonnes of Durable CDR were delivered, a 120% increase from 2023 . The delivery-to-booking ratio remains low at 4.4%, but this is expected at this stage .
Investment: $836M of equity capital was invested into Durable CDR companies in 2024, a 30% decline from 2023 . However, the number of investments and average size of the investments both increased when we exclude outlier transactions in 2022 and 2023.
Warning Signs: The number of unique purchasers grew only 7% and first-time buyers declined 18%. Repeat buyer volume grew 95% and accounted for 91% of purchased volume; new buy volume remained essentially flat compared to 2023, and represented only 9% of purchased volume.
Challenges: The number of suppliers increased 16%, but consolidation is likely without an influx of new buyers. The sector is at risk of premature price-driven competition, potentially harming high-cost but innovative methods . More voluntary buyers and favorable policy are required for the market to continue growing.
Carbon removal is a key tool in the climate toolbelt and we’re excited to bring more transparency and trust to the market through open data.
Let us know what you think!