Bank of Montreal has made a significant advancement in its sustainability efforts by committing to the pre-purchase of 1,000 tonnes of carbon dioxide removal through Direct Air Capture (DAC) technology.
This initiative, facilitated by London-based BeZero Carbon, will see the carbon removal executed at a large-scale facility employing DAC technology from the Canadian firm, Carbon Engineering. DAC works by physically extracting CO2 from the atmosphere and securely storing it in deep geological formations, effectively reversing the emissions process.
Supporters argue that this method decouples the carbon capture from the source of emissions, enabling it to offset CO2 emissions from anywhere in the world and from any point in time.
By becoming the first bank to pre-purchase carbon removal through this innovative technology, BMO furthers its commitment as a member of the Net-Zero Banking Alliance.
Michael Torrance, Chief Sustainability Officer at BMO, stated, “We are excited to collaborate with BeZero and Carbon Engineering on high-integrity, large-scale climate solutions like Direct Air Capture. This marks a pivotal moment for us.”
Torrance further emphasized the importance of this initiative in establishing a new market for DAC and associated offsets, which will play a crucial role in achieving ambitious climate goals aligned with the Paris Agreement and moving beyond net zero to attain negative greenhouse gas emissions.
Tommy Ricketts, CEO of BeZero Carbon, remarked, “BMO’s purchase signifies a transformative moment for Direct Air Capture and sends a powerful message to the market regarding the necessity of this technology in our net-zero infrastructure.”