Scaling CDR in the Global Hub for Finance, Policy, and Innovation
Carbon dioxide removal (CDR) in the West Coast is moving from early-stage experimentation to disciplined industrial deployment. What began as a wave of pilot ventures is consolidating into a sector defined by bankability, delivery timelines and integration with existing industrial systems. The region remains technically advantaged, with extensive geological storage, established permitting in provinces such as Alberta and Saskatchewan, access to low-carbon energy, and strong industrial foundations across forestry, mining and energy.
However, a structural advantage without acceleration is fragile. Competing jurisdictions now combine similar geological capacity with faster capital deployment and stronger incentives, notably the US 45Q tax credit. While Canada’s Investment Tax Credit improves project economics, large-scale facilities still require long-term, creditworthy offtake agreements to secure financing. Capital is mobile, and projects will gravitate to markets where funding certainty is greatest.
Carbon removal is increasingly being reframed from discretionary climate expenditure to strategic asset creation. Biogenic and engineered removals, particularly under mechanisms such as Article 6 of the Paris Agreement, are emerging as bankable and tradable instruments. Capturing emissions from forestry residues, pulp mills and wildfire-prone landscapes converts unmanaged carbon flows into certified assets with material balance sheet and trade implications.
Demand remains the binding constraint. Technical readiness has outpaced durable market formation, and voluntary buyers alone cannot underwrite infrastructure-scale deployment. Significant capital requirements, long revenue horizons, fragmented standards and inconsistent policy signals continue to slow progress and heighten credibility risks.
The sector is now defined by delivery. Carbon removal is positioning itself as enabling infrastructure for hard-to-abate sectors, including aviation, maritime transport, defence and heavy industry. Maturity will be measured in operating facilities, verified tonnes delivered and coherent policy alignment, rather than announcements or ambition alone.
Overall, it has been thoroughly exciting to return to Canada at this juncture in carbon removals, carving out a space for the conversations and collaborations that will accelerate ecosystem-wide growth in the region. From these discussions across the two days, we have identified the key themes that emerged, alongside a collection of panel recordings and interviews to document this moment in CDR. Until next year!
Key Themes from Carbon Unbound West Coast 2026
1. De-Risking Finance: Building the Bridge to CDR 2.0
While billions have been invested, layered risks still inhibit institutional capital. Bridging to CDR 2.0 means structuring projects that are genuinely financeable, with predictable cash flows and disciplined risk management.
2. Scaling Demand: The “Cowboy Days” are Over
Demand is maturing, but is often misread as collapsing. Buyers are applying greater diligence, scrutinizing risk, and seeking defensible pricing and operational capability.
3. The Investor Playbook: "Show Me You Can Execute"
Equity has fueled early growth, but infrastructure-scale CDR requires debt. Banks and institutional lenders need bankable contracts, strong counterparties, and demonstrated execution.
De-Risking Finance: Building the Bridge to CDR 2.0
The carbon dioxide removal industry is in a transitional phase; this theme dominated discussions at Carbon Unbound West Coast this year. As Joanna Klitzke from Frontier succinctly framed while moderating her panel, De-Risking Finance for Carbon Removal Solutions,
"We need to go from CDR 1.0 to 2.0. We need to go from start-ups and pilots and early stage to big infrastructure in the ground with frictionless purchasing for the field."
