Carbon insurance specialist Kita has announced the expansion of its coverage to include Marex’s investment in the Global Mangrove Trust’s (GMT) mangrove restoration and conservation project in North Sumatra, Indonesia. This initiative aims to enhance early-stage investment in crucial carbon solutions by providing an added layer of security and confidence for mangrove projects, as stated by Kita on Thursday.
Marex, a UK-based provider of environmental commodities and financial services, is actively supporting the GMT project, which focuses on restoring coastal mangrove ecosystems. Launched under the OxCarbon Standard by YAGASU and GMT, the project also incorporates programs for livelihood generation and social development.
Kumi Analytics offers verification for the project, employing satellite data, artificial intelligence (AI), and on-the-ground monitoring to ensure its effectiveness. Kita’s Carbon Purchase Protection Cover further boosts the project’s credibility by conducting rigorous risk assessments to guarantee quality and performance.
With underwriting support from Chaucer, Kita’s insurance product mitigates risks for investors, thereby enhancing confidence in carbon credit markets. Marex has been involved with this initiative, designated as 001-OxC, since 2021 and has utilized its carbon credits to offset Scope 1 and 2 greenhouse gas emissions in 2022 and 2023.
This project aligns with Marex’s broader commitment to providing clients with a reliable inventory of high-quality, risk-assessed carbon offsets. In response to the announcement, Kita CEO Natalia Dorfman emphasized the significance of integrating risk management with rigorous carbon modeling to strengthen the voluntary carbon market (VCM).
Bastien Declercq, Head of Environmental at Marex, expressed enthusiasm over meeting Kita’s insurance standards as a Lloyd’s of London Coverholder, following a comprehensive risk assessment.
