Milkywire has created a donation fund supporting pioneering projects needed to reach global net zero. Our ambition is to achieve the greatest long-term impact possible. Your company can help make this a reality.
An impact-first approach opens possibilities to support pioneering solutions. For example, supporting early, high-cost carbon removal projects, research initiatives, advocacy and policy projects, and grassroots organizations. All of which can be very effective in helping to solve the climate crisis and reach global climate targets.
Permanent carbon removal
Help remove CO₂ from the atmosphere forever. It's not cheap, but we need to start developing these methods now.
Restoring and protecting nature
Stop deforestation and help restore ecosystems to capture more carbon while helping people.
Decarbonization
Support high-impact renewable energy and emissions reduction projects and nonprofit organizations that fight for climate policy change.
Klarna has contributed over 1 million US dollars to projects selected for the fund in collaboration with Milkywire. The funds were generated by an internal carbon tax for 2020.
Heirloom is working on a new method to sustainably capture CO2 with common minerals, with a future target cost of just $50/ton.
Human Rights Watch works to stop coal power by focusing on damage to health. They pressure decision-makers and mobilize public support to accelerate the transition away from coal.
Justdiggit helps farmers in Tanzania use simple and natural methods to grow their tree stumps into mature trees.
MASH uses biomass that would otherwise have been burnt in fields, contributing to air pollution, producing biochar instead to restore soils.
HUSK creates biochar from rice husks which helps increase yields.
Clean Air Taskforce works on an Africa Energy and Climate Innovation Program to lay the foundations for a clean-energy future on the continent.
Warsi is a grassroots organization helping indigenous groups in Indonesia get legal rights to their land to protect their forests and stop deforestation.
Climeworks captures CO₂ from the air and stores it underground as stone.
WithOneSeed is paying small-scale farmers in Timor Leste to grow, and importantly, take care of trees on their land.
Atmosfair and Kisiwa Farming Limited work to replace diesel-generated electricity on Mafia Island, Tanzania, with renewable energy from sustainable biomass.
How we select projects / Selection criteria We have established a framework for evaluating and reviewing projects. Input is taken from an external expert advisory group to support Milkywire's mission to select the most impactful and sustainable climate projects for the fund. Selection criteria include the catalytic effect of donation/purchase (for example, helping bring down cost and scale up new solutions), permanence, additionality, effectiveness, verifiability, co-benefits for people and nature, and the level of risk of adverse effects to people and nature. The fund may include high-quality carbon credits but is not restricted to it. More information on the Milkywire Climate Transformation Fund framework can be found here.
Beyond offsetting This fund is an alternative to traditional carbon offsetting solutions, which do not necessarily focus on finding the best solutions. In many cases, it’s a race to buy a set amount of carbon credits as cheaply as possible to fulfill a carbon neutrality claim. Focusing on impact instead of fulfilling an offset claim opens up the possibility to support solutions with the greatest long-term effects, wherever they are.
This approach of making contributions over claiming offsets has been recommended by numerous institutions such as Carbon market watch, WWF, New climate institute, Carbone4, Climate action network, and Gold standard.
Keep up with the progress Milkywire’s first progress report from The Climate Transformation Fund for 2021/2022 is now published. The report follows the progress of the 11 projects supported last year: Heirloom, Justdiggit, Mash/Carbonfuture, Husk, Climeworks, atmosfair, CDRaccelerator, CATF, HRW, WithOneSeed, and Warsi. Exciting new projects will be supported this year, and their progress will be covered in coming reports. Read the 2021/2022 progress report here.
Can’t wait to get started, or just curious to know more? Our partnership team based in Stockholm would love to answer your questions or explain our offering in more detail.
Why did you create this initiative?
We believe companies should contribute to climate action but that there should be a greater focus on the expected effect of those contributions rather than on how many credits you bought. This fund supports the different types of solutions needed to reach global net zero presents impactful projects in several areas, both within carbon markets and other areas.
How can companies contribute to the fund?
Get in touch! We are actively seeking contributions from more companies. Some of the funds brought in will support projects already in the Climate Transformation Fund, some may be distributed to newly identified projects. Projects are supported via donations or purchase of carbon removal certificates, not through making equity investments.
How should companies determine how much to contribute if they are not offsetting?
We recommend setting an internal carbon tax (we can advise how) and using those funds to support climate projects. This ensures a connection between the pollution a company creates and the financial responsibility it takes for it.
This in no way removes the obligation for companies to reduce their emissions. A good framework to follow is the WWF and BCG Blueprint for corporate climate action. Companies set emissions targets, disclose their total carbon output emissions, and implement an internal carbon tax invested into climate solutions.
A carbon tax can also incentivize companies to make reductions faster since it makes the environmental cost of their emissions clearer.
Do you claim to create the greatest possible climate impact with the fund?
No. That is the aim of the fund and what we evaluate projects on, but it is very difficult to know beforehand which projects will prove to be most impactful. We cannot evaluate more than a small share of the numerous climate projects available globally and are sure to miss out on good opportunities. But we strive to evolve the initiative, get tips and feedback and find new projects to evaluate and support. By mid 2022 a batch of new projects will be supported in addition to those already listed.
Are you saying carbon credits are bad?
No. Carbon credits offer a structured way to support climate projects. Some credits offer very high quality, although significant shares of credits sold are cheap, low-quality ones. Even with high-quality credits, the problem lies in only focusing on buying a set amount of credits and making shaky neutrality claims rather than impact. Notably, carbon credits are not the same as offsets. Offsetting is a claim you make on the back of a credit, but there is no need to do so.
(Some of the problems with low-quality carbon credits are laid out here, here, here, and here.)
How much CO2 do you avoid/remove per dollar?
We try to find projects that get the most bang for the buck. It can mean buying carbon removals at a higher price today to help them become cheaper in the future or supporting grassroots organizations to protect forests and plant trees. We try to quantify the effect of the contributions in our reporting, but the actual implication of a tonne of carbon avoided or removed differs significantly between solutions. Some solutions avoid releasing carbon in the short term, some capture carbon and store it permanently, and some lobby decision-makers to create regulation that stops emissions in the future. Read more about the framework for evaluating projects here.
What is Milkywire?
Milkywire is a ground-breaking platform enabling consumers and corporations to discover, support, and engage with local impact projects worldwide to combat climate change and save the environment.
Corporations can partner with Milkywire by donating to projects working in line with the UN Sustainable Development Goals, engaging their customers and employees in the process. Learn more.