Orange, a France-based telecommunications firm, has launched a carbon fund to support reforestation and ecological restoration projects.
The Orange Nature fund will invest in various carbon sequestration projects around the world including afforestation, reforestation and restoration of natural ecosystems such as mangroves or agroforestry projects. The returns from the fund will be in the form of high-quality carbon credits.
The fund, which has been launched with asset management firm, Mirova, will consider the economic and social development of the regions and populations affected by the projects as well as the positive impacts they have on biodiversity.
Orange Nature will also have a joint investment agreement with the Nature+ Accelerator Fund, launched by the IUCN and the GEF, allowing greater choices of carbon sequestration projects to invest in.
The project is part of Orange Group’s commitment to become net zero carbon by 2040 for the three scopes described by the GHG Protocol.
To achieve this target, Orange Group has implemented a policy to reduce the majority of its carbon dioxide through an energy efficiency policy, increased use of renewable energy and the deployment of circular economy programs.
Orange said the residual CO₂ emissions will be absorbed by 2040 through carbon sink systems that naturally capture the CO₂ in the atmosphere.
Currently, Orange has deployed several carbon sink projects including pine tree reforestation in Spain, mangrove plantation in Senegal and participation in the Livelihoods Carbon Fund 3.
Elizabeth Tchoungui, executive director of CSR, diversity and philanthropy at Orange, said: “Orange Nature is a key element of the group’s environmental policy. By 2040, most of our CO2 emissions will have been reduced thanks to the actions undertaken over the previous years.
“Orange Nature will enable us to complete the task of becoming Net Zero Carbon in 2040, through the use of nature-based solutions that will capture the residual incompressible emissions. Nature is our shared resource. It is up to each and every one of us to preserve it.”
Marc Rennard, chairman and CEO of Orange Digital Investment, added: “Orange Nature is the first fund created and entirely funded by a large European company that provides a return exclusively in the form of carbon credits, thus supporting our commitment to the climate.
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