Swiss Re Indicators $ 10 Million Carbon Elimination Settlement – Company Insurance
Swiss Re Ltd. has signed a 10-year purchase agreement for the removal of carbon dioxide worth USD 10 million with Zurich-based Climeworks AG, a specialist in carbon dioxide air separation technology.
The deal will give Swiss Re early access to risk pools and asset classes for carbon elimination, the Zurich-based reinsurer said in a statement on Wednesday.
The companies have also agreed to work together to develop risk management knowledge and transfer programs and to explore future investment and project finance opportunities.
"To mitigate the risks of climate change, the world must increase carbon removal in addition to emissions reductions, not instead," said Christian Mumenthaler, Group CEO of Swiss Re and co-chair of the Alliance of CEO of the World Economic Forum Climate Leader.
Swiss Re aims to achieve net zero emissions by 2030 in its own business and in its insurance and investment businesses by 2050.
The carbon removal technology offered by Climeworks in Iceland filters carbon dioxide from the surrounding air using geothermal energy and the captured CO2 is then sent for permanent storage in nearby rock layers, the statement said.
It is dissolved in water and pumped underground, where it naturally reacts with the surrounding basalt rock to form stable carbonate minerals. It is considered to be one of the safest forms of carbon removal commercially available, Swiss Re said in the statement.