As governments move to integrate carbon removal into regulated climate policies, Swiss direct air capture company Climeworks has expanded its carbon procurement business to help organisations navigate emerging compliance markets, signalling a broader shift in how carbon removal is financed and traded globally. The new offering, announced by Climeworks, is designed to support companies seeking carbon removal portfolios that comply with international frameworks including the aviation sector’s Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), Article 6.2 of the Paris Agreement and the European Union’s Carbon Removal Certification Framework (CRCF). The expansion reflects growing demand from businesses preparing for increasingly complex climate regulations while highlighting opportunities and challenges for African countries seeking to position themselves within the evolving global carbon economy.
The launch marks a significant transition in carbon markets, where demand is gradually shifting from voluntary corporate climate commitments towards compliance-driven procurement. Until recently, most carbon removal purchases were motivated by companies pursuing net-zero ambitions or voluntary environmental, social and governance (ESG) objectives. Today, governments are developing regulatory mechanisms that recognise verified carbon removals as part of national climate strategies, creating a more structured market with stricter eligibility, accounting and verification requirements.
According to Climeworks, the new Climeworks Solutions platform combines carbon removal sourcing with project due diligence, regulatory analysis, policy expertise and continuous monitoring of evolving climate rules. Rather than focusing solely on direct air capture projects, the platform will source removals from multiple technologies and suppliers, allowing corporate buyers to build diversified portfolios that align with specific compliance obligations across different jurisdictions.
The timing reflects accelerating policy developments in several major markets. Within the European Union, policymakers are exploring pathways for permanent carbon removals to become eligible within the EU Emissions Trading System, potentially creating a regulated source of long-term demand for verified removal projects. The bloc has already introduced the Carbon Removal and Carbon Farming Certification Framework, establishing common standards intended to improve transparency, credibility and comparability across carbon removal activities.
Meanwhile, the International Civil Aviation Organization continues implementing CORSIA, which requires participating airlines to offset emissions growth through approved carbon credits and sustainable aviation fuels. At the same time, Article 6.2 of the Paris Agreement is creating new opportunities for countries to trade internationally transferred mitigation outcomes through bilateral agreements, provided robust accounting systems prevent double counting of emissions reductions or removals.
These evolving mechanisms are reshaping carbon markets from relatively fragmented voluntary systems into more tightly regulated financial instruments. Compliance markets require far higher standards for permanence, additionality, monitoring, reporting and verification than many voluntary carbon markets, placing greater emphasis on project quality and institutional governance.
For Africa, these developments carry important economic implications beyond climate policy. The continent possesses some of the world’s largest natural carbon sinks through forests, peatlands, mangroves and regenerative agricultural landscapes. Several countries are also exploring engineered carbon removal technologies alongside nature-based solutions as part of broader climate and industrial development strategies.
However, participation in compliance carbon markets requires substantial institutional capacity. Governments must establish national carbon accounting systems, authorisation procedures under Article 6, transparent registries and monitoring frameworks capable of meeting international standards. Countries that develop these governance structures early could attract greater climate finance while positioning themselves as credible suppliers within regulated carbon markets.
The distinction between voluntary and compliance markets is particularly significant for African economies. Voluntary markets have often been criticised for inconsistent quality standards and price volatility, limiting investor confidence and reducing long-term financing opportunities. Compliance markets, by contrast, may provide more predictable demand, longer-term purchasing agreements and stronger investment signals, improving project bankability and reducing financing risks for developers.
At the same time, compliance requirements may increase barriers to market entry. Many African carbon projects currently depend on relatively simple certification approaches that may require significant upgrades to satisfy emerging international rules. Enhanced monitoring technologies, digital verification systems and long-term liability arrangements could increase development costs while requiring new technical expertise across governments, project developers and financial institutions.
Climeworks argues that specialist procurement platforms will become increasingly valuable as carbon markets become more complex. According to the company, buyers can no longer base procurement decisions solely on carbon credit prices or broad sustainability claims. Instead, companies must understand where carbon removals originate, how they were verified, which regulatory frameworks recognise them and whether environmental claims can withstand growing regulatory scrutiny.
According to Adrian Siegrist, Chief Commercial Officer at Climeworks, organisations are increasingly seeking guidance on navigating rapidly evolving climate regulations while identifying carbon removals that satisfy specific compliance obligations. The company’s expanded offering seeks to combine procurement expertise with regulatory knowledge, helping customers build portfolios aligned with emerging legal requirements rather than voluntary market preferences.
For African policymakers, the emergence of regulated carbon removal markets reinforces the need to integrate carbon market governance into broader economic planning. Carbon removal is becoming less of an environmental niche and increasingly part of international trade, investment and industrial policy. Countries that strengthen institutional frameworks, develop credible verification systems and establish clear regulatory environments could improve access to climate finance while creating new revenue opportunities linked to global decarbonisation efforts.
The evolution of compliance carbon markets also underscores the growing convergence between climate governance and financial regulation. As governments define how permanent carbon removals contribute to national climate targets, investment decisions will increasingly depend on regulatory certainty, transparent accounting systems and internationally recognised certification standards. For Africa, where demand for climate finance continues to exceed available resources, the ability to participate effectively in these emerging markets may influence future investment flows, support economic diversification and strengthen the continent’s position within the global low-carbon transition.
