Timber Carbon International launch of the world's first AI-poweredinfrastructure for carbon removals in the building sector

After three years of development and more than 90 buildings with over 72,000 tonnes of CO2 locked in for the long term, Zurich-based proptech and climate tech company Timber Carbon is launching the first AI-powered infrastructure for carbon removal in the buildingsector. For the first time, the carbon locked in a building becomes a tradable asset, and the emissions-intensive building sector is connected directly to the carbon markets. To finance its internationalexpansion, the Swiss start-up is planning its first funding round.

From climate performance to a tradable asset

Plenty of fee-based building certifications and labels already exist to help meet regulatory requirements. Yet none of them focuses on proving the long-term carbon storage of biobased building materials, and none isconnected to the carbon markets, their standards and their participants through AI-powered infrastructure. Thisis now available to the real estate industry for the first time. Decarbonising real estate thus gains a measurable economic value and turns from a pure cost factor into an asset that can be put to economic use.

Automated workflow

Timber Carbon's AI-powered infrastructure automates the entire certification process: from data collection for aconstruction project and the regionally specific carbon calculation, through independent certification andregistration, to the issuance, sale and ongoing monitoring of the credits. The detailed record of building components also enables their later reuse in the circular economy and urban mining. Developers can count thecredits generated towards their own carbon balance (insetting) or sell them on the voluntary carbon market,either immediately or at a later date (offsetting).

Timber Carbon Removal Credits

Removals from “timber in construction” are internationally recognised as negative emissions (IPCC, UNFCCC)¹.They meet the requirements of established standards for additionality, permanence and verification, and offerthree advantages over technological removal methods: they can be scaled quickly; they carry no delivery risk,because certification only takes place once the building is complete; and they also reduce Scope 3 emissions²,because timber replaces concrete and steel. The credits are certified and registered under the international Rainbow Standard , which the ICVCM³ has approved as CCP-Eligible and whose recognition under the EU CarbonRemovals and Carbon Farming (CRCF) Regulation⁴ is expected by the end of 2026.

Ludovic Chatoux, CEO Rainbow Standard

Construction is one of the hardest sectors to decarbonise, and Timber Carbon shows what it takes to getit right.

Decarbonising the building sector

The building sector accounts for around 36 per cent of global CO₂ emissions, a third of which come from buildingmaterials. It remains one of the last lightly regulated sectors. From 2028, the EU's new Emissions TradingSystem, ETS2⁵, will cover operational emissions from buildings for the first time. Also from 2028, larger newbuildings will have to disclose their life-cycle Global Warming Potential (GWP) under the EPBD⁶. France alreadycaps embodied carbon through RE2020⁷, and the UK Net Zero Carbon Buildings Standard follows the samepath, as does Switzerland's new Minergie-Netto-Null (net zero) building standard. International rating systemssuch as BREEAM and LEED also set benchmarks for the carbon intensity of buildings. This makes biobasedbuilding materials the obvious choice, above all timber from sustainably managed forests, with its high climateperformance. Putting a value on the climate performance of built-in timber is intended to double the share ofbiobased new builds among investment properties within ten years; depending on the country, that sharecurrently stands at 0.5 to 10 per cent.

Valentin Wiesner, Geschäftsführer WIEHAG Timber Construction

Until now, the climate performance of timber buildings has been economically invisible. Once it iscertified and tradable, it changes the conversations with developers, and that is where the decision tobuild more in timber is made.

Timber Carbon

In three years, Timber Carbon has built the world's largest portfolio of biobased carbon removals in thebuilding sector, with projects across German-speaking Europe. It comprises more than 90 buildings,which together lock in 72,000 tonnes of CO₂. By replacing concrete and steel, these projects have alsoavoided 65,000 tonnes of CO₂ emissions. Clients and business partners include Swiss Prime Site,PRIMUS and WIEHAG. The project received support from Built by Nature and the Migros Pioneer Fund .In 2023, Timber Carbon was also recognised by UpLink , the World Economic Forum's innovationplatform, and it is well connected as an expert across a range of carbon removal platforms. To financefurther growth and international expansion, the proptech and climate tech company is planning its firstfunding round for Q4 2026.

Photo : Jan Bitter