Delivery Risk Looms Large in Carbon Removal Market as CDR Projects Face Execution Hurdles
The carbon dioxide removal (CDR) market is facing a growing issue: delivery risk. As CDR projects move from development to commercialization, buyers and investors are looking beyond the quality of carbon removal credits to whether projects can deliver the contracted volume on time.
A new framework developed by Relae and Microsoft addresses this issue through the sixth edition of their Criteria for High-Quality Carbon Dioxide Removal. The 2026 framework adds a dedicated approach for assessing delivery risk alongside carbon removal quality, reflecting a shift in the CDR market where meeting quality requirements does not guarantee on-time delivery.
The new framework assesses five areas within a framework called TECOP: Technical, Economic, Commercial, Organizational, and Political risks. It distinguishes between open-system and closed-system projects, recognizing that different CDR approaches face different execution risks.