Octopus Energy Generation has announced a major expansion into the United States’ carbon removal market, committing $500 million to afforestation and reforestation projects. The investment, managed by Octopus’s fund management team, will support initiatives developed by Living Carbon, a climate technology and public benefit company.
In addition to the project funding, Octopus has invested nearly $13 million directly into Living Carbon’s development business. The partnership is projected to remove up to 50 million tonnes of carbon dioxide over the next 40 years—an impact roughly equivalent to eliminating the annual greenhouse gas emissions of New York City.
The deal arrives as Living Carbon secures significant carbon offtake agreements with members of the Symbiosis Coalition, including Google, Meta, and McKinsey.
Living Carbon utilises next-generation satellite imagery and historical climate data to identify ecologically stagnant land, such as former mining sites and depleted farmland. Across the US, approximately 130 million acres of land—an area larger than California—are currently degraded and suitable for reforestation.
By transforming these spaces into carbon sinks, the projects aim to restore wildlife habitats, improve water quality, and strengthen soil health while providing economic support to rural communities.
“This is a landmark deal for us in the US and a huge step in our mission to invest in solutions that drive the planet toward a cleaner future,” said Zoisa North-Bond, CEO at Octopus Energy Generation. “Having industry leaders and the world’s largest tech giants backing these projects sends a powerful signal that the carbon removal market is ready to grow.”
The investment follows a global surge in corporate climate action, with the number of companies setting net-zero targets rising by 61% last year. To date, corporations have committed nearly $14 billion to future carbon removal projects.
Maddie Hall, Founder and CEO of Living Carbon, noted the significance of the institutional support: “Our partnership with Octopus takes us from early-stage implementation to delivering long-term carbon removal at scale with institutional capital. This is a sign that this market is maturing into real project finance.”
This agreement marks Octopus Energy Generation’s latest move in the US, following a recent $100 million investment in nature-based solutions provider Cultivo to restore degraded grasslands.
The deal moves Octopus closer to its strategic target of directing $2 billion into US clean energy by 2030, with a heavy focus on the clean technology sector in California and across the wider North American market.
