Whalesbook
Microsoft and Varaha Forge Carbon Removal Alliance
Varaha, a company focused on carbon dioxide removal (CDR) projects involving smallholder farmers across Asia, has announced a significant partnership with tech giant Microsoft to implement biochar carbon removal in India.
The collaboration will support the development of 18 industrial gasification reactors. These facilities are slated to operate for 15 years and are projected to remove over 2 million tonnes of CO2 from the atmosphere throughout the project's lifetime. This initiative aims to significantly contribute to India's climate goals.
Biochar Project to Tackle Agricultural Waste in India
The project sources cotton stalks, a common agricultural byproduct, from smallholder farms in Maharashtra. Traditionally, these stalks are considered waste biomass, and open-field burning is a widespread practice in the region's cotton belt, contributing to air pollution and greenhouse gas emissions. Varaha's project offers a sustainable alternative, converting these stalks into biochar through biomass gasification. This process not only provides an alternative use for the waste but also sequesters biogenic carbon for centuries.
Varaha CEO Madhur Jain stated, "This agreement demonstrates that high-integrity carbon removal can drive transformative co-benefits for communities and ecosystems. We're not just removing carbon—we're creating economic incentives for farmers to mitigate open burning of crop residues."
Farmer Benefits and Sustainable Practices at Core
The first reactor will operate alongside Varaha's 52-acre cotton research farm in Maharashtra. Here, Varaha works directly with farmers to test sustainable practices, including the soil application of biochar, under real-world conditions. Microsoft's commitment will fund up to 18 reactors across India's cotton belt, with a clear focus on rapid scaling and prioritizing farmer welfare.
Phil Goodman, Program Director for CDR at Microsoft, noted, "This offtake agreement broadens the diversity of Microsoft's carbon removal portfolio with Varaha's biochar project design that is both scalable and durable. It represents a step forward in scaling biochar CDR growth in Asia and advancing co-benefits for farmers—improved soils, cleaner air, and shared economic opportunity."
Scaling Carbon Capture in Asia
This agreement signals a growing recognition of India's potential for high-quality carbon removal projects. Biochar is emerging as a promising pathway for durable carbon dioxide removal, offering permanent carbon storage on geological timescales while simultaneously supporting agricultural systems. The partnership is expected to accelerate the adoption of such eco-friendly technologies in the region.