Microsoft has signed a landmark 30-year agreement to acquire 1.5 million tonnes of carbon removal credits from India’s Panna Afforestation Project, representing half of the project’s total carbon output. Spread across 20,000 hectares in Madhya Pradesh, the initiative aims to plant up to 11.6 million native trees on community and farmer-owned lands—an area larger than Washington, D.C. More than 1.2 million trees have already been planted across 100 rural communities, making this Microsoft’s largest carbon removal project in the Asia-Pacific and its first major carbon credit purchase in India.
The project not only tackles climate change but also delivers broad social and ecological co-benefits. Revenue from carbon credits and sustainable harvests provides economic opportunities for local farmers, while the creation of ponds, drip irrigation, and training programs supports resilient farming practices. The afforestation effort also aids biodiversity restoration, drawing back species such as butterflies and birds to once degraded land. Verified under Verra’s latest standards and rated A by BeZero, the project complies with the Core Carbon Principles of the Integrity Council for the Voluntary Carbon Market, ensuring transparency and accountability. This initiative strengthens Microsoft’s mission to become carbon negative by 2030 while positioning India as a leader in nature-based climate solutions. More