Rising global temperatures are a danger to economic growth, as well as social and political stability.
Consequently, United Nations member states aim to cut greenhouse gas emissions in half by 2030 and reduce them to zero by 2050. As a result, the market for carbon credits is expected to grow to $10 trillion, according to DevvStream Holdings Inc (NEO: DESG) CEO Sunny Trinh.
“The carbon credits market was over $900 billion in 2022, nearly double the size of the smartphone market,” Trinh says. “It’s growing at a CAGR of 44.3%, and demand is projected to increase as reporting organizations, insurance companies, and countries seek to meet their net-zero goals.”
Accelerated growth potential will manifest soon after nations realize they are not on pace to meet their commitments.
“The first major milestone is set for 2030, creating a potential surge in the purchase of carbon credits,” Trinh adds. “As a leader, DevvStream anticipates capturing a significant share of this trillion-dollar industry.”
Turnkey Offering: “We provide a turnkey service, doing everything from quantifying to registering, certifying, validating, and monetizing the credit on behalf of governments and corporations through direct contracts with entities interested in buying high-quality credits or sales on exchanges like Xpansiv CBL.”
Trinh put forth DevvStream’s work with global suppliers of factory automation, building, and electronic systems, as an example. Typically, these technology-focused firms can’t navigate the carbon credit generation and monetization process alone. So, “they sign an agreement for DevvStream to become their carbon credit manager.”
“Only a limited number of entities possess this expertise,” Trinh added, noting DevvStream brings to the voluntary and compliance markets more exact and predictable credits. “With technology, if I have a solar or wind farm, I can tell you exactly how many megawatt hours of electricity are being generated and how much carbon that will offset versus estimating how much carbon a forest will sequester.”
Further, all the while boosting the value of credits, DevvStream addresses significant issues like greenwashing at scale, working with registries, the United Nations, and even sizable nature-based developers to integrate technology such as satellite imaging, ground-level sensors, and blockchain-based platforms.
“Typically, voluntary credits are lower priced, while in the compliance space, the price is significantly higher and set by the government. Technology-based credits are much more exact and predictable than nature-based credits.”
Meeting Demand: DevvStream is listed on the Cboe Global Markets-owned (BATS:CBOE) NEO, Frankfurt Stock Exchange, and OTC markets in the U.S. With this capital, plus that obtained through private deals, DevvStream is procuring the talent to handle more projects.
“We have way more projects than we can handle right now,” Trinh said. His team includes Head Of Carbon David Oliver, who leads Canada’s National Carbon Association, as well as Destenie Nock, our chief sustainability officer, who collaborates with governments on energy policy.
DevvStream is also hiring. “We intend to add 25 to 30 people like this,” Trinh says.
The company’s focus on talent from high-up places is their shortcut. Working with former government officials increases the firm’s access to decision-makers across North America and boosts climate compliance programs.
“We can better identify activities within cities that generate carbon credits,” Trinh said, providing examples, including DevvStream’s work to reduce energy consumption in wastewater treatment by up to 85% and low carbon road construction. “We also work with cities converting municipal buses from gas to electric by generating credits for them.”
Massive Impact: DevvStream aims to benefit developing economies, where communities and developers are in danger of being exploited.
“Some nations were banning the export of carbon credits because brokers were giving local communities and developers much less,” Trinh elaborated. “We come in and do the reverse, letting more money flow to project developers, so they can continue to expand what they’re doing. Our blockchain platform helps in bolstering transparency.”
Going Forward: Once DevvStream can add the talents it needs to address incoming deals, it wishes to accelerate philanthropic efforts, including a non-profit with Global Green.
“There’s a knowledge gap that we’re excited to fill. We’re excited to inch the needle and help the world achieve its climate commitments,” Trinh concluded.
Learn more about DevvStream by clicking here.
