Introduction

The European Commission has adopted the first set of carbon removal certification methodologies under the Carbon Removals and Carbon Farming (CRCF) Regulation. This represents a major milestone, as it is the first time the EU has institutionally defined and enabled the certification of activities that permanently remove carbon dioxide from the atmosphere.

Although the methodologies are voluntary, the EU has made clear that their purpose is to establish robust and transparent rules for carbon removals, promote climate innovation and investment, and address the risk of greenwashing. With this adoption, the EU has effectively elevated carbon removals into a domain that can be addressed through both public policy and market mechanisms.

On this point, Wopke Hoekstra, European Commissioner for Climate, Net-Zero and Clean Growth, stated:

“The European Union is taking decisive action to lead the global effort in carbon removals. By establishing clear, robust voluntary standards, we are not only fostering responsible climate action within Europe but also setting a global benchmark for others to follow.”

Carbon Removal Activities Covered by the European Commission

Under the CRCF, the methodologies adopted in this first phase cover three activities classified as permanent carbon removals. Permanent carbon removal refers to the capture of CO2 from the atmosphere and its isolation or storage in a way that prevents re-release over the long term.

The three carbon removal approaches covered by the EU are as follows:

Approach	What is captured or fixed	Main storage or fixation pathway	Key advantages	Key challenges
DACCS	CO2 from ambient air	Geological storage	Can be deployed independently of emission sources; relatively straightforward verification of removals	High energy demand and costs
BioCCS	Biogenic CO2	Geological storage	Potential for net CO2 removal; avoids fossil fuel use	Requires sustainable biomass supply
BCR	Biogenic carbon	Soils and other long-lived applications	Relatively low cost; additional agricultural benefits	Measurement and long-term stability verification

Direct Air Capture with Carbon Storage (DACCS)

DACCS refers to technologies that directly extract CO2 from ambient air and store it deep underground. Unlike conventional capture systems that rely on industrial emission sources, DACCS removes CO2 directly from the atmosphere itself.

Specialized equipment draws in air and separates CO2 from other gases. The captured CO2 is then injected into stable geological formations, where it can be stored in a way that prevents its return to the atmosphere over the long term. Because DACCS does not depend on specific emission points, it is seen as a complementary option for sectors where emissions are difficult to eliminate, and its removal outcomes are relatively straightforward to verify.

At the same time, capturing CO2 from the low concentrations found in ambient air requires significant amounts of energy. Reducing costs and energy intensity remains a key challenge for the large-scale deployment of DACCS.

Biogenic Carbon Capture and Storage (BioCCS)

BioCCS involves capturing CO2 generated during the use or processing of biomass and storing it permanently underground. Unlike fossil-based CCS, which at best reduces the amount of CO2 entering the atmosphere, BioCCS has the potential to deliver net CO2 removal.

Biomass absorbs CO2 from the atmosphere as it grows. When that biomass is converted into energy or products, the resulting CO2 can be captured and stored in geological formations. This process removes carbon from the natural carbon cycle while simultaneously avoiding the use of fossil fuels and their associated emissions.

For BioCCS to result in net carbon removal, sustainability across the entire biomass supply chain is essential. When sustainably managed, BioCCS can help address historic CO2 emissions and offset emissions from sectors that are particularly difficult to decarbonize.

Biochar Carbon Removal (BCR)

Biochar carbon removal involves converting plant-based biomass into biochar through high-temperature, low-oxygen processing. Biochar is rich in stable carbon that decomposes very slowly, allowing carbon to remain stored for long periods.

Under natural conditions, carbon stored in plants would return to the atmosphere as CO2 when biomass decomposes or is burned. By transforming biomass into biochar and applying it to soils or other long-lived uses, carbon is locked into a much more stable form that is far less likely to re-enter the atmosphere.

Biochar is often used as a soil amendment, where it can also improve water retention and nutrient availability. However, accurately quantifying removal volumes and demonstrating the long-term stability of stored carbon remain key issues from a certification and regulatory perspective.

Why These Three Carbon Removal Approaches Were Prioritized

The European Commission has stated that the methodologies focus on carbon removal activities with a high level of technological maturity and strong potential to contribute to the EU’s climate objectives. This is the official rationale for limiting the initial scope to DACCS, BioCCS, and BCR.

Beyond this explicit reasoning, the broader context suggests additional institutional considerations. These approaches generally allow for clearer quantification and monitoring of removals, and risks such as leakage or reversal can be more readily addressed within a regulatory framework. Their alignment with existing EU climate legislation also makes them suitable candidates for an initial phase of implementation.

Taken together, this indicates that the EU has adopted a phased approach, starting with permanent carbon removals that can be more readily governed, while leaving room to expand the scope over time.

What Happens Next

The delegated regulation will now be transmitted to the European Parliament and the Council for a two-month scrutiny period. If no objections are raised, it will be published in the Official Journal and enter into force shortly thereafter. Once effective, carbon removal projects using DACCS, BioCCS, or BCR will be able to apply for certification under the CRCF framework.

The European Commission is also preparing additional certification methodologies, including those for carbon farming and for carbon storage in bio-based construction products, with adoption expected in 2026. This will allow the CRCF framework to expand beyond permanent removals into land-use and construction-related applications.

Conclusion: Implications for the Carbon Removal Market

The entry into force of the delegated regulation has the potential to significantly improve trust and transparency in the carbon removal market. For the first time, the EU will clearly define how one tonne of carbon removal is identified, quantified, and verified, enabling companies and investors to assess carbon removal activities using a shared reference framework.

This clarity is likely to support increased investment and longer-term contracting for carbon removal projects, while also helping to curb unsupported environmental claims. While the framework is EU-based, it may also influence how carbon removal standards and markets evolve internationally.

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