Grosvenor, a UK-headquartered property company, will pay nearly $50 per tonne of carbon dioxide equivalent (tCO2e) for carbon removal credits from a mangrove restoration project in Ghana’s largest wetland. This marks the first offset sale from a biodiversity-focused, carbon-funded forest accelerator program.
Grosvenor Group’s UK property business plans to purchase 15,000 Verified Carbon Units (VCUs) by 2030 from a project aimed at restoring 1,536 hectares of mangroves in the Volta region of Ghana. This initiative is part of Terraformation's Seed to Carbon Forest Accelerator, launched in November 2022 to advance nature-based projects.
Terraformation, a global forestry development company founded by Yishan Wong, former Reddit CEO, is the seller of the credits. The ReDAW (Regenerative Development of Anlo Wetlands) project is the first VCU sale from Terraformation’s accelerator, which has guided 14 native reforestation projects and plans 12 more by the end of 2024. These efforts aim to restore nearly 25,000 hectares of biodiverse forests, providing economic benefits to local communities.
Mangroves play a crucial role in Ghana’s coastal communities, offering sustainable livelihoods and boosting local economies. The deforestation of mangroves for agricultural purposes has contributed to a 30% forest loss in Ghana over the past 20 years. Replanting and restoring these degraded mangrove forests not only reverses this damage but also helps Ghana meet its pledge to restore 2 million hectares of deforested and degraded land by 2030.
The ReDAW project, developed with the help of the ReDAW Foundation, brings significant community benefits, including the training of 350 local people and the creation of full-time jobs. More than half of these jobs are held by women who engage in planting and caring for the mangroves and the broader ecosystem through regenerative aquaculture, agriculture, and apiculture (beekeeping).
Grosvenor Property UK, the first European real estate company to have a validated long-term science-based target, has committed to sourcing high-quality carbon credits with strong co-benefits for their entire carbon footprint by 2025. This is part of their strategy to take a climate-positive approach on their pathway to net zero.
Grosvenor’s investment in the Ghana mangrove project highlights the crucial role of carbon removal credits in supporting biodiversity and sustainable development. By committing to this initiative, Grosvenor not only mitigates its emissions but also contributes to the restoration of vital ecosystems and the enhancement of local communities’ livelihoods.