Carbon removal solutions provider Climeworks has announced a strategic partnership with enterprise software company SAP, aiming to supply companies with comprehensive carbon management solutions and incorporate carbon removals into SAP’s net zero strategy.
Carbon dioxide removal (CDR) technologies, such as Direct Air Capture (DAC), are increasingly recognised as crucial for companies, especially those with emissions that are difficult to reduce, to meet their net zero objectives. Consequently, investment in these technologies is accelerating among businesses pursuing credible, sustainable climate strategies.
Through this partnership, Climeworks and SAP have initiated a process to create solutions for managing a company’s carbon removal portfolio. This includes offering fully ERP-centric carbon management via the SAP Sustainability Control Tower and SAP Store, which provide tools enabling businesses to measure, manage, and mitigate their carbon footprints.
The agreement represents a significant milestone in Climeworks’ development as a carbon removal service provider, following the 2024 launch of its carbon removal portfolio service, which offers companies high-quality carbon removal portfolios across a range of technologies and solutions.
Christoph Gebald, co-founder and co-CEO of Climeworks, stated:
“Climeworks and SAP share the belief that sustainability is a core element of business strategy. Through this partnership, we are not only advancing carbon removal as a key solution to mitigate climate change-induced business risks, but are also embedding it into enterprise technology [so that] companies can build resilience into their operations – turning the shift toward sustainability into an economic opportunity, not a trade-off.”
The partnership also involves a multi-million euro agreement, with SAP procuring 37,000 tonnes of carbon removal credits from Climeworks until 2034. This encompasses technologies such as Direct Air Capture, Biochar, and Enhanced Rock Weathering, specifically tailored to SAP’s business needs.
Furthermore, Climeworks has adopted SAP’s enterprise solutions to scale its operations and plans to expand its use of SAP’s sustainability solutions, including the SAP Sustainability Control Tower.
Sophia Mendelsohn, SAP’s Chief Sustainability and Commercial Officer, commented:
“Investing in quality carbon removals addresses emissions we can’t eliminate directly. Our Climeworks partnership secures high-integrity capacity at preferred rates while protecting against price volatility. This investment also strengthens SAP economically – we can now develop new products that meet evolving customer, partner, and regulatory expectations.”
