Investment by Apple of another $200 million in the ‘Restore Fund’, to remove carbon emissions and support sustainable forestry
Apple has confirmed it has invested another $200 million into a fund it established two years ago, that invests in projects to remove carbon from the atmosphere.
The Apple announcement revealed the additional investment was a “major expansion of its Restore Fund, doubling the company’s total commitment to advancing high-quality, nature-based carbon removal projects.”
It was back in April 2021 when Apple had first revealed what it is called a “first-of-its-kind carbon removal initiative”, as part of its efforts to tackle climate change and support sustainable forestry.
The aim of the ‘Restore Fund’ is to make investments in forestry projects to remove carbon from the atmosphere, while generating a financial return for investors.
Apple said it had created the Restore Fund to encourage global investment to protect and restore critical ecosystems and scale natural carbon removal solutions. It said this approach also helps address residual emissions businesses cannot yet avoid or reduce with existing technology.
Now with the additional $200 million investment, there is a new portfolio of carbon removal projects.
“As part of the expansion, Apple will invest up to an additional $200 million in the new fund, which Climate Asset Management – a joint venture of HSBC Asset Management and Pollination – will manage,” said Apple.
“The new portfolio also aims to remove 1 million metric tons of carbon dioxide per year at its peak while generating a financial return for investors,” it added.
This is equivalent to the amount of fuel used by over 200,000 passenger vehicles.
Apple said that its suppliers that become partners in the fund, it will also offer a new way for them to incorporate high-impact carbon removal projects as they decarbonise.
“The Restore Fund is an innovative investment approach that generates real, measurable benefits for the planet, while aiming to generate a financial return,” said Lisa Jackson, Apple’s vice president of Environment, Policy, and Social Initiatives.
“The path to a carbon neutral economy requires deep decarbonization paired with responsible carbon removal, and innovation like this can help accelerate the pace of progress,” Jackson added.
Apple and Climate Asset Management are said to be broadening their approach with prospective projects, pooling two distinct types of investments:
- nature-forward agricultural projects that generate income from sustainably managed farming practices;
- and projects that conserve and restore critical ecosystems that remove and store carbon from the atmosphere.
Located in Brazil and Paraguay, Apple’s three initial investments with Conservation International and Goldman Sachs aim to restore 150,000 acres of sustainably certified working forests and protect an additional 100,000 acres of native forests, grasslands, and wetlands.
Together, these projects are forecast to remove 1 million metric tons of carbon dioxide from the atmosphere per year by 2025, the iPhone maker said.
This effort is part of Apple’s broader goal announced in July 2020 to become carbon neutral across its entire supply chain by 2030.
Apple was already carbon neutral for corporate emissions worldwide, but that 2020 announcement detailed its plans to bring its entire carbon footprint to net zero 20 years sooner than IPCC targets.
Carbon neutral is adding no carbon emissions to the atmosphere.
Companies can do this by offsetting their emissions (planting trees or other projects that reduce emissions elsewhere in the world), or by balancing emissions (removing a unit of emissions for every unit of emission produced).
Or firms can not release greenhouse gases in the first place by switching to renewable energy sources, such as solar, hydro or wind power for example.
Apple’s plan to become carbon neutral across its entire business, manufacturing supply chain, and product life cycle by 2030 is noteworthy, as this new commitment means that by 2030, every Apple device sold will have net zero climate impact.
Apple will apparently reduce 75 percent of all emissions by 2030 and balance the remaining emissions with high-quality carbon removal.
Earlier this month, Apple said that over 250 manufacturing partners have committed to power their Apple production with 100 percent renewable energy by 2030.
Apple in 2021 also announced that it was investing directly in a major energy storage project in California to pilot new solutions for renewable infrastructure.
That was not the first solar project from Apple.
In 2012 it revealed that it was building a 20 MW solar array to power its massive data centre in North Carolina. That farm was built on 100 acres and supplies 42 million kWh of solar power per year.
In 2013 Apple announced a solar farm to power its data centre in Reno, Nevada. That 18 MegaWatt solar array powers its data centre there.
Other solar projects have followed over the years.