A woodland restoration initiative backed by global energy trader Trafigura has selected its first four carbon removal projects in Africa and plans to invest at least $1 billion over their 40-year lifespan, the company’s head of carbon trading said.
The projects form part of the Miombo Restoration Alliance, a public-private partnership working with 11 governments across central and southern Africa. Together, the projects span around 675,000 hectares and are expected to restore degraded Miombo woodlands capable of removing more than 50 million tonnes of greenhouse gas emissions.
Launched during New York Climate Week in 2024, the alliance focuses on rehabilitating the Miombo ecosystem, which supports more than 300 million people but is under growing pressure from deforestation, climate change and unsustainable land use.
The initiative comes as countries across the Global South seek to scale up domestic carbon markets to fund environmental protection and support the transition to low-carbon economies, amid declining levels of official development aid from wealthier nations.
Non-profit organisations International Conservation Caucus Foundation and Conservation International will convene participants and support project development. Trafigura will act as the primary financial backer, while aiming to attract additional partners.
“We really see the carbon markets as critical to channelling private sector capital in a way that makes these projects long-term and sustainable,” said Hannah Hauman, Trafigura’s Head of Carbon Trading.
Community participation and revenue-sharing are central to the projects. Around 100,000 community members and farmers, alongside the governments of Mozambique, Zambia, Tanzania and Malawi, will receive between 10% and 60% of revenues, depending on project design.
The portfolio includes a large-scale restoration effort in Malawi covering more than 550,000 hectares, featuring one of Africa’s largest native species nurseries, as well as an agroforestry project in Zambia expected to benefit 45,000 farmers.
Trafigura said the resulting carbon credits are likely to be classified as high quality and could be purchased by governments or companies seeking to meet climate targets. Comparable credits have traded at above $50 per tonne, implying potential revenues of at least $2.5 billion across the four projects.
Hauman added that Trafigura would support the sale of credits and expects future supply to come from additional alliance countries, including Angola, Botswana, Namibia, Zimbabwe, the Republic of Congo, the Democratic Republic of Congo and South Africa.
