Role of Forests Towards a Net Zero Economy
Forests sequestrate carbon dioxide through the photosynthesis process and are one of the most direct negative emission assets. Afforestation and reforestation activities – thanks to their low cost, scalability and direct impacts – are therefore the most viable solutions as compared to the other carbon-negative technologies.
It is estimated that US forests store c.a. 14% of all annual CO2 emissions from its national economy, and the forest biomass in the EU27 countries contains 9.8 billion tons of carbon. While for Latin America, where approximately 22% of the existing forest in the world are growing, the total carbon stored is estimated at around 104 gigatons.
In a new study commissioned by the UN-supported investor body, it is estimated that corporate demand for forest-related carbon removal could generate US$800bn in annual revenues by 2050, amounting to a market capitalisation of US$1.2 trillion today and surpassing that of oil & gas majors.
Please find the full whitepaper as an attachment below.