Canada just made one of the boldest institutional moves in CDR to date. BMO, RBC, Shopify, Vancity, ClimeFi, NorthX, and the federal government have joined forces under the new Advance Carbon Removal Coalition, with a target of attracting $100 million in project investments by 2030.
The coalition was announced at an Ottawa conference hosted by Carbon Removal Canada. Together, the partners have already contributed $75 million in financing to the CDR industry.
Why Canada?
“When it comes to carbon removal, Canada’s hot,” says founding director Ed Whittingham. And the pitch is compelling: suitable geology for underground CO₂ storage, extensive coastlines for ocean-based approaches, abundant biomass, sophisticated capital markets, and a federal government that’s designed regulatory frameworks — including industrial carbon pricing and investment tax credits — specifically for CDR.
The coalition aims to build networks connecting domestic and international investors with CDR projects across the country, spanning direct air capture, biomass carbon removal, and direct ocean capture.
The Market Opportunity
McKinsey estimates the global CDR market could reach US$1.2 trillion by 2050. Canada’s bet is that by moving early on institutional infrastructure — finance, regulation, demand signals — it can capture an outsized share of that market.
This coalition model is worth watching. Rather than relying on a single massive government program (see: the US DAC Hubs saga), Canada is building a multi-stakeholder ecosystem. Banks bring capital markets expertise. Shopify brings corporate demand credibility. The federal government provides the policy guardrails.
CDI has long argued that CDR needs to shift from “speed and scale” rhetoric to “prove and learn” — and a coalition that blends public policy with private capital and corporate buyers is precisely the kind of infrastructure that makes that shift possible.
Source: The Globe and Mail