BMW Group has taken its first step into biochar-based carbon removal, retiring 25,000 tonnes of CO2 (tCO2e) credits in 2024. This move aligns with its broader sustainability strategy, which includes offsetting up to 10% of its emissions through carbon dioxide removal (CDR) credits by 2050.

The credits were sourced from Atmosfair and Firstclimate, two German organizations working in biocharBiochar is a carbon-rich material created from biomass decomposition in low-oxygen conditions. It has important applications in environmental remediation, soil improvement, agriculture, carbon sequestration, energy storage, and sustainable materials, promoting efficiency and reducing waste in various contexts while addressing climate change challenges. More projects. They were certified under the Global Biochar C-Sink standard, an update to the European Biochar Certificate C-Sink framework introduced in 2024. Biochar, a stable carbon form produced through pyrolysisPyrolysis is a thermochemical process that converts waste biomass into bio-char, bio-oil, and pyro-gas. It offers significant advantages in waste valorization, turning low-value materials into economically valuable resources. Its versatility allows for tailored products based on operational conditions, presenting itself as a cost-effective and efficient More, offers a long-term sequestration method while also improving soil health.

BMW’s retirement of 25,000 tCO2e in biochar credits is estimated to have cost $3.25 million, with market prices averaging $130 per tonne. This represents a small but strategic investment, considering BMW’s pre-tax profits of $11.9 billion (€10.9 billion) last year.

Looking ahead, BMW plans to retire between 46,000 and 57,500 tCO2e of biochar credits over 2025 and 2026. The company has set a net zero target for 2050, aiming to reduce its Scope 1, 2, and 3 emissions by at least 90% from its 2019 baseline of 150.1 million tCO2e. Offsets will only be used for emissions that cannot be further reduced.

By investing in biochar now, BMW seeks to support the scaling of carbon removal technologies and secure high-quality offsets for its long-term climate commitments.