San Antonio startup leads U.S. in carbon removal
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Photo illustration: Axios Visuals. Photo: Grassroots Carbon
A San Antonio startup that aims to make cattle ranching more profitable and environmentally friendly is now the largest carbon removal company in the U.S.
Why it matters: Ranchers have struggled amid drought and rising costs. Grazing fields, which make up the largest portion of agricultural lands in the state, are on the decline — Texas has lost about 6.7 million acres to other uses over the last quarter-century, per a recent Texas A&M report.
- Meanwhile, major companies — especially in tech — want ways to reduce carbon emissions at a time of increasing energy use from data centers.
How it works: Grassroots Carbon launched in 2021, and its process is twofold, CEO Brad Tipper tells Axios.
- First, it works with ranchers to ensure cattle don't overgraze an area. Rotating cattle's grazing sessions more frequently helps strengthen soil health and maintain root systems, allowing more carbon to be stored in the ground.
- The startup measures carbon before and after implementing new grazing practices. Grassroots can then sell the verified additional carbon to corporations as a carbon removal credit that offsets the company's emissions.
- Grassroots sells the credits to companies like Microsoft, Nestle, H-E-B and Chevron. The majority of the money earned goes back to the cattle ranchers.
By the numbers: The startup has delivered 1.9 million tons of verified carbon removals, more than any other company in the nation, Tipper says.
- It's paid more than $40 million to ranchers in Texas and the U.S.
We sat down with Tipper to talk about how Grassroots Carbon reached this point and what's coming next.
How did you get here? Is there anything that differentiates your company from others that are doing similar work?
"Our rancher-first ideology has really been our core point of difference. Most of the solutions you're seeing are being built on the coasts … This is a uniquely San Antonio opportunity, we say it every day. We're just a few short hours, miles from the birthplace of the American cattle ranching industry."
There's some criticism that (carbon removal credits) incentivize businesses to not directly reduce emissions. How do you respond to that?
"Ultimately, our job is to be rancher-first."
- "As companies look to meet their near- and medium-term emissions goals, I cannot think of a more scalable, durable, cost-effective way to do it than support our grazing systems."
What makes San Antonio the right place for this company?
"We've got some of the leading voices in ranching and conservation and wildlife as our neighbors and our friends, and they're deeply entrenched in the community."
What's next for Grassroots Carbon?
"We're about to embark on a really big campaign to store 100 million tons of carbon in U.S. soils by 2030. We've been able to see a lot of corporate support that really believes in that vision as well."
