Google has made a significant commitment to reducing its carbon footprint by agreeing to purchase 100,000 tons of carbon dioxide removal credits from Indian startup Varaha. This landmark deal marks Google's first foray into carbon projects in India and the largest transaction involving biomass-produced biochar, also known as "black gold" for its benefits to soil health.

The offtake agreement will see Varaha deliver the credits to Google by 2030 from its industrial biochar project in the western Indian state of Gujarat. Although the financial terms of the deal remain undisclosed, this partnership represents a major milestone in the tech giant's efforts to offset its emissions.

Varaha's project will generate industrial biochar from an invasive plant species, Prosopis Juliflora, using its pyrolysis facility in Gujarat. The startup will harvest the plant and work to restore native grasslands in the region, which have been impacted by the invasive species. Once the biochar is produced, a third-party auditor will verify the credits, which will be listed on the carbon removal standard and registry Puro.Earth.

Biochar is seen as a long-term carbon removal solution, with its permanence varying between 1,000 and 2,500 years depending on production and environmental factors. Carbon credits are linked to the duration of carbon removal from the atmosphere, making permanence a critical factor in any effective carbon credit program.

Varaha's co-founder and CEO, Madhur Jain, explained that the startup has experimented with different feedstocks and reactor parameters to achieve permanence close to 1,600 years. The company has also developed a digital monitoring, reporting, and verification system, integrating remote sensing to track biomass availability and a mobile app to document activities, including biomass excavation and biochar application.

With its first project, Varaha processed at least 40,000 tons of biomass and produced 10,000 tons of biochar last year. Jain expressed confidence in the startup's ability to reach its target of 100,000 tons of biochar by 2030, given its current capacity to process 40,000 tons of biomass annually.

Each ton of biochar generates 2.5 carbon credits, and Varaha aims to reach 1 million credits annually by 2030. Carbon credits have become increasingly important as companies seek to offset their greenhouse gas emissions, with each credit equivalent to a one-ton reduction in carbon dioxide.

Google's deal with Varaha sets a new record, surpassing the previous significant biochar carbon removal transaction between Senken and Exomad Green, which involved 81,600 tons of biochar carbon credits between 2025-2028. However, Google's carbon emissions remain substantial, with the company reporting 14.3 million tons of CO₂ equivalent in 2023, a 13% increase from the previous year.

Despite this, Google has committed to reaching net-zero emissions across all its operations and value chains by 2030. "Biochar is a promising approach to carbon removal because it has the ability to scale worldwide, using existing technology, with positive side effects for soil health," said Randy Spock, Google's carbon removal lead.

Varaha currently operates 14 tech-driven carbon projects in India, Nepal, Bangladesh, and Kenya, and has helped over 100,000 small farmers adopt sustainable practices, resulting in the removal of over 2 million tons of greenhouse gas emissions. The startup has raised $12.7 million in funding, including $8.7 million in a Series A round last year, and is backed by prominent investors such as RTP Global, Omnivore, Orios Venture Partners, IMC Pan Asia Alliance Group's Octave Wellbeing Economy Fund, and Japan's Norinchukin Bank.

This landmark deal between Google and Varaha highlights the growing importance of carbon credits and sustainable practices in the tech industry, as companies strive to reduce their environmental impact and achieve net-zero emissions.