Removal vs avoidance
Removal credits averaged $19.50 versus $4.05 for reduction credits in 2024.
2024 average transaction price
Bars are drawn to scale. A biochar tonne costs about 40 reduction tonnes.
Reduction / avoidanceREDD+, renewable energy
$4.05Baseline
Removal (all)ARR, mangrove restoration, agroforestry
$19.504.8× reduction
Engineered removalBiochar
$160+39.5×+ reduction
Why the gap exists
Scarce supply
Removals were only 5% of traded volume in 2024.
5 of every 100 credits traded were removals.
Focused buyer demand
Average removal prices rose 13% as supply lagged demand in 2024.
+13%
20232024
Average removal price, $19.50 in 2024.
Durability premium
Nature-based removals are the largest removal category. Engineered removals such as biochar trade in small volumes at $160+ per tonne, 8.2x the removal average.
Nature-basedARR and othersLargest supply
$19.50
EngineeredBiocharSmall volume
$160+
ARR: afforestation, reforestation and revegetation.