Rothesay takes action to agree high-quality carbon removal with Climeworks

Climeworks direct air capture plant close-up, Copyright Climeworks - Photo by Julia Dunlop

As part of its net zero strategy, UK insurer Rothesay chose Climeworks to remove its 2021-2030 expected unavoidable CO2 emissions by the end of the decade. With this agreement, the company consciously moves towards high-quality carbon removals, enabled by Climeworks’ direct air capture and storage solution, one of the highest-quality removal solutions currently available on the market.

Long-term agreements like this ten-year agreement are crucial to help scale the market for carbon removal as it gives both sides planning security. Climeworks can better leverage market demand impact, while Rothesay secures longer-term access to carbon removal capacity, which is crucial since the availability of high-quality removals is scarce.

Rothesay is the first UK insurance company choosing Climeworks’ carbon dioxide removal service – a decision taken after a rigorous selection process. The insurer selected Climeworks because its carbon removal can be accurately measured and is characterized by the strongest standards of additionality and permanence while avoiding social and environmental harms.

“Rothesay is delighted to partner with Climeworks to remove the CO2 produced by the day-to-day running of our business. As part of Our Pathway to Net Zero, we have conducted rigorous due diligence on our carbon removal options and have chosen Climeworks because its ground-breaking technology allows us to measurably neutralize the environmental impact of our operations. Like Rothesay, Climeworks is an innovative, purpose-built company that is delivering highly effective solutions for its clients, and we look forward to a long-term partnership.”, says David Land, Rothesay’s Head of Investment Strategy and chair of its Climate Change Working Group.

About Climeworks’ direct air capture and storage technology

Powered solely by renewable energy, Climeworks’ direct air capture plants capture CO2 from the air. In Iceland, Climeworks’ storage partner Carbfix mixes the CO2 with water and pumps it deep underground where it reacts with the basaltic rock formations and mineralizes: the CO2 literally turns into stone and is thus permanently removed. Climeworks’ technology is scalable and does not compete with arable land. In September 2021, Climeworks launched its new large-scale direct air capture and storage plant “Orca” in Iceland, bringing large-scale direct air capture technology to reality.

About Rothesay’s Pathway to Net Zero

With its Pathway to Net Zero strategy Rothesay commits to achieving net zero by 2050 for its business including the investment portfolio. Rothesay has also committed to regular and transparent reporting on its progress to ensure accountability and has fully embedded climate risk management within its business.

In addition to the collaboration with Climeworks, Rothesay has also worked with Natural Capital Partners to both verify its direct emissions and purchase sufficient carbon offset credits, verified by Gold Standard and VERRA, to more than compensate for its historic direct emissions from the year 2020. In recognition of this, the insurer has received CarbonNeutral® company certification in accordance with The CarbonNeutral Protocol, a service of Natural Capital Partners, for the year 2020.