Aspiration - Trees for the Future US$21m investment in Western Kenya agroforestry carbon project

Terms

Announced

15 Feb 2023

Instrument

Debt

Amount

US$21.0m

Source

trees.org

Parties

Project developer

Trees for the Future

Country

Kenya

Capital providers

Capital providers and the amount counted for each

Party	Role	Amount	Basis
Aspiration	Investor	US$21.0m	Sole provider: the whole transaction

Carbon

Pathway

ARR (afforestation, reforestation, revegetation)

Project type as recorded

Forest Garden agroforestry across about 15,000 hectares in the Lake Victoria watershed, western Kenya, for about 15,000 farmers

What happened

Aspiration, the B Corp climate financier, announced on 15 February 2023 a US$21 million investment in carbon projects through Trees for the Future (TREES), funding regenerative agroforestry in the Lake Victoria watershed of western Kenya: about 15,000 farmers, 87 million trees and about 15,000 hectares under the Forest Garden model, with 4.13 million Verified Carbon Units over 20 years. Aspiration will share a portion of the profits from carbon credit sales with TREES and the farmers. The instrument is not stated. Meta separately pre-purchased 6.75 million removal credits from Aspiration in June 2023 (OFF-115); no source ties those credits to this project.

Kumo note

- Capital advanced against future carbon credits to a nonprofit implementer: Aspiration invested US$21m in Trees for the Future's Kenyan agroforestry project, which expects 4.13m credits over 20 years, and shares a portion of credit sale profits with the organisation and the farmers. - The instrument is not stated and is understood to be a financing against future credits. Meta separately pre-purchased 6.75m credits from Aspiration, with no source linking them to this project.

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