Schneider Electric has entered a landmark agreement with Swiss-based carbon removal company Climeworks to permanently eliminate 31,000 tonnes of CO2 by 2039. The partnership marks Schneider Electric’s first foray into high-durability carbon removal technologies, expanding its existing portfolio of nature-based offset strategies. The long-term offtake agreement is designed to neutralize the company’s residual emissions as it targets net zero across its full value chain by 2050.

Accelerating the Journey to Net Zero

The deal supports Schneider Electric’s commitment to cut 90% of its Scope 1 and 2 emissions by 2030. By securing access to permanent CO2 storage through advanced solutions, the company strengthens its roadmap toward deep decarbonization. Esther Finidori, Schneider Electric’s Chief Sustainability Officer, called the agreement “an important step in diversifying our carbon removal portfolio,” underscoring the company’s recognition of high-durability removals as essential to climate neutrality.

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Climeworks: Scaling Direct Air Capture Technology

Climeworks, a pioneer in Direct Air Capture (DAC), operates the world’s first commercial DAC plants and continues to expand its portfolio through Climeworks Solutions a service offering tailored carbon removal portfolios using multiple technologies. These include afforestation, biochar, enhanced weathering, and DAC paired with geological storage. The agreement with Schneider Electric spans three high-durability methods: Direct Air Capture and Storage (DACS), Bioenergy with Carbon Capture and Storage (BECCS), and Enhanced Rock Weathering, each capable of locking carbon away for thousands of years.

Collaboration to Reduce the Cost of DAC

Beyond carbon credits, the two companies have announced a joint collaboration focused on technology innovation. Together, they will work on improving energy efficiency and accelerating cost reductions for Direct Air Capture systems widely regarded as one of the most promising, yet currently expensive, carbon removal pathways. By integrating Schneider Electric’s energy management expertise with Climeworks’ capture technology, the collaboration aims to bring scalable, economically viable DAC closer to reality.

Building the Carbon Removal Economy

Christoph Gebald, Co-CEO and Co-Founder of Climeworks, emphasized the strategic timing of the deal: “Demand for solutions that can store CO2 permanently will only grow, making early access essential for forward-looking companies.” He added that the partnership represents more than environmental stewardship, it’s a demonstration of economic foresight in an emerging climate industry.

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A Signal to the Market

As climate regulations tighten and demand for high-quality removals surges, early adopters like Schneider Electric are shaping the future of carbon markets. “Early engagement catalyzes the scale-up of a wide range of technologies,” Finidori noted, adding that the collaboration with Climeworks “shows what’s possible” when ambition meets innovation. Together, the companies are helping set the standard for how climate action can drive both impact and opportunity on the path to net zero.

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