Orange Nature will provide funding for natural ecosystem restoration

Published on: 08 December 2021
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We are launching the first European single-investor carbon fund as part of our Net Zero Carbon 2040 goal. Orange Nature announced on December 8 that it will invest €50 million in projects to restore and conserve natural ecosystems.

Creating the Orange Nature fund is a new milestone in achieving Net Zero Carbon by 2040 . With an investment envelope of €50 million, the fund will finance global carbon capture projects, including reforestation and restoring natural ecosystems, to create carbon sinks that naturally and sustainably absorb the CO2 present in the atmosphere.

To be Net Zero Carbon by 2040 across the 3 scopes set out in the GHG Protocol, we’re implementing a proactive policy which aims to reduce the majority (between 80 and 90%) of our CO2 emissions compared to 2015. This notably involves improving the energy efficiency of our networks, data centers and buildings, as well as increasing the share of renewable energies in the Group’s energy mix (to 50% from 2025), and promoting a circular economy.

In addition to reducing our carbon footprint, we are also taking into account residual emissions we cannot eliminate. For companies that are committed to sustainably balancing their carbon impact, the challenge is to offset these residual emissions (by buying carbon credits for example) or implementing CO2 sequestration projects, such as those funded by Orange Nature.

Launched with the conviction-based Mirova management company of the Natixis group, Orange is a unique fund of its kind. Carbon sink projects will be financed with no expectation of a return for the Group. The only remuneration will come from high-quality carbon credits or VCUs (Voluntary Carbon Units) obtained for each CO2 sequestration project.

While contributing to social development and preserving biodiversity, the fund adds a new dimension to the carbon sink projects we have already deployed: the reforestation of 175 hectares of forests in metropolitan France, pine reforestation in Spain, and planting mangrove forests in Senegal.

Measured globally, carbon neutrality is achieved when the CO2 emitted by human activity balances the carbon removed from the atmosphere

At a corporate level, Net Zero Carbon is a benchmark used by the Net Zero Initiative group of companies. It encourages companies to proactively commit to global net zero emissions as soon as possible, to comply with the Paris Agreement and adhere to the IPCC recommendations aimed at limiting average global warming to 1.5°C by 2100 compared to pre-industrial levels. This benchmark counts induced emissions, avoided emissions and negative emissions. It encourages companies to reduce their induced emissions, contribute to reducing emissions outside their perimeter, and develop carbon sink projects.

Paying a given amount to finance projects that make it possible to theoretically deduct an amount of CO2 equivalent to the CO2 emitted into the atmosphere. The term offsetting generally applies to CO2 but can also relate to other greenhouse gases.

A permit that allows the company that holds it to emit a certain amount of CO2 or other greenhouse gases. One credit permits the emission of a mass equal to one ton of CO2 . It was set up by the Kyoto protocol in 1997

Capturing and storing carbon from the atmosphere in carbon sinks such as oceans, forests, soil, or technological processes, through physical and biological processes such as photosynthesis. Orange Nature will be funding such reforestation and ecosystem restoration projects. By acting as real “carbon sinks”, these initiatives reduce the amount of CO2 present in the atmosphere and help fight global warming.

Source: Orange news

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