Leading global law firm, Baker McKenzie has advised Terra Natural Capital on its deal with Climate Impact Partners to deliver long-term finance to the Panna afforestation project in India, from which Microsoft will purchase 1.5 million tonnes of verified carbon removal credits over 30 years, representing 50% of the project's output.
Following three years of due diligence and pilot activities, conducted by Climate Impact Partners’ project development team, and third-party buyer and investor assessments, the project has demonstrated a strong commitment to quality.
Working with local implementation partners, up to 11.6 million mixed native trees will be planted across 20,000 hectares of farmer and community lands – an area bigger than Washington DC. To date, over 1.2 million trees have been planted across 100 communities.
Led by Global Chair of the Firm’s Climate Change Group, Andrew Hedges, the Baker McKenzie team included Partners, Philip Thomson (Energy & Infrastructure) and Luke Lightfoot (Banking), Senior Associates, Andrew Paget (Energy & Infrastructure) and Aimee Saunders (Banking), Associate Alex Tam (Energy & Infrastructure), and Trainees Ione Searle (Energy & Infrastructure) and Osama Aslam (Banking).
Commenting on the transaction, Andrew Hedges, said: “We’re pleased to have supported the Terra Natural Capital team on this deal with Climate Impact Partners, which exemplifies the growing importance of large-scale, nature-based carbon removal projects in achieving global climate targets. Our involvement in this deal underscores our expertise in advising on complex, high-impact transactions that drive innovation and sustainability in the carbon finance market.”