Microsoft taps India’s Varaha for durable carbon removal offtake | TechCrunch

Microsoft taps India’s Varaha for durable carbon removal offtake | TechCrunch

By Jagmeet Singh
Publication Date: 2026-01-15 09:30:00

Microsoft has signed a deal with Indian startup Varaha to buy more than 100,000 tons of carbon dioxide removal credits over the next three years, through 2029, expanding its portfolio of carbon removal projects as the tech giant scales up AI and cloud operations.

The project will turn cotton crop waste, which is often burned after harvest, into biochar — a charcoal-like material that can be added to soil, storing carbon for long periods while also helping reduce air pollution from open-field burning. It will initially focus on the western Indian state of Maharashtra and involve around 40,000–45,000 smallholder farmers.

The agreement comes as large corporations, including Microsoft, ramp up spending on carbon removal — projects designed to physically remove carbon dioxide from the air. The Redmond-based software maker is working toward its goal of becoming carbon-negative by 2030. However, Microsoft’s total greenhouse gas emissions rose 23.4% in fiscal year 2024…