This startup sells dirty air, sells it expensively to Microsoft Cs Tech – 15 hours ago

Jakarta, CNBC Indonesia – The United States opens the world’s first commercial carbon extraction facility. Carbon sucked from the air is stored underground.

Heirloom Carbon Technologies opens facility named after direct air capture (DAC) near San Francisco.

Heirloom’s facilities are different from the “carbon capture” (CCS) facilities that already exist at dozens of mining sites across the Earth. CCS is designed to suck up carbon produced by polluting processes such as coal mining.

However, carbon capture technology is widely doubted by experts and activists, especially if it is associated with the term clean coal.

DAC technology sucks carbon from the atmosphere without any industrial processes that create pollution. Heirloom’s facilities store carbon in underground concrete chambers.

The first facility in Tracy, California, was so small it could only suck 1,000 tons of carbon dioxide out of the air each year. This capacity grew rapidly in two years, from 1 kilogram of CO2 to 1 million kilograms in just 2 years.

“Our target is millions of tons per year. The way to do this is by copying and applying this basic design continuously,” said Heirloom CEO, Shashank Samala as quoted from The New York Times, Thursday (16/11/2023).

Heirloom’s business model is to sell the carbon they suck from the atmosphere in the form of carbon credits to giant companies like Microsoft or Shopify. Corporations buy carbon credits to “break even” on the emissions they produce so that carbon reduction targets are met.

Previously, corporations relied on reforestation such as planting forests to offset the emissions they produced.

This business pattern is also not free from criticism. Some parties accuse a pattern like this of actually giving corporations the freedom not to reduce emissions, because they can print carbon freely.

[Gambas:Video CNBC]