ClimeFi is pleased to announce it has structured a groundbreaking pilot ITMO transfer between Norway and Switzerland, operationalising Article 6.2 of the Paris Agreement. The initiative marks a significant advancement in the deployment and implementation of regulatory infrastructure for cross-border carbon dioxide removal (CDR) and carbon capture and storage (CCS) transfers.
The pilot involves the transfer of ITMOs achieved from CDR in Norway under permanent geological storage to a Swiss entity, per Article 6 of the Paris Agreement. This represents the first international Article 6.2 transfers in the durable CDR market.
Participants of the pilot project initiated and led by the Swiss Federal Office for the Environment (FOEN) include Swiss International Air Lines, Swiss Post, SwissRe, UBS, and Zürcher Kantonalbank (ZKB). ClimeFi has established a buyers' coalition to coordinate and streamline the commercial dimensions of this innovative public-private initiative.
Having established the buyer coalition, ClimeFi identified Inherit Carbon Solutions (Inherit) – a biomass-focused CDR company – through Sumitomo Corporation as the most suitable Norwegian supplier. Once Inherit had been selected, ClimeFi then conducted comprehensive due diligence for the project and structured bespoke commercial contracts. The official signing ceremony for this landmark collaboration takes place Tuesday 17th June in Norway.
The pilot also marks one of the first international Article 6.2 transfers between Switzerland and a host country in Europe, driving forward sovereign-to-sovereign carbon cooperation in the region. The transaction marks a key milestone in building transparent, rules-based international carbon markets. Norway and Switzerland are also cooperating on further pilots for cross-border CDR and CCS.
As CDR markets further converge with compliance markets, governments and private sector companies will increasingly rely on ITMO interexchanges to counterbalance their residual emissions. This pilot initiative is expected to provide invaluable insights into the practical implementation of Article 6 mechanisms for CDR and CCS, setting a precedent for future climate cooperation.
ClimeFi aims to remain at the forefront of these interexchanges going forward, playing a central role as the market develops.
