Carbon sequestration developers and carbon offset buyers and sellers are represented by Schwabe.
Overview
Schwabe’s Carbon Transactions team works with participants in the development of carbon projects; purchase or sale of offset credits and allowances; verification, reversal, invalidation, and other registry compliance matters; and general administration of carbon transactions registered with the California regulatory carbon market or various voluntary carbon and cap-and-trade markets. In the U.S., Schwabe’s carbon team has substantial, long-term experience handling carbon transactions.
We represent clients with regard to various aspects of improved forest management, reforestation, afforestation, and grasslands carbon projects on lands located in the U.S. (including private and municipal lands, tribal and Alaska Native Corporation lands, land trust holdings, farms, ranches, and community forests). We additionally advise various commercial clients on carbon markets and offset issues that arise from time to time, including manufacturing, sales, transportation, supply chain, and other facets of their respective businesses.
At the forefront of the carbon offset market
As a timber industry innovator, we’ve been at the forefront of the forest carbon transaction markets almost since their inception in the United States. Back in 2015, we represented the developer of an improved forest management project that resulted in one of the largest single-project generations of carbon offset credits issued by the Climate Action Reserve that year. We also have worked in the past decade on various timberland acquisitions involving existing carbon projects where credits were issued by both the Climate Action Reserve voluntary carbon market and the economy-wide carbon cap-and-trade market in California administered by the California Environmental Protection Agency Air Resources Board. The Schwabe team continues to exponentially grow its carbon practice and maintains its position as a skilled legal team with significant carbon transaction experience.
Experience
- Represented a conservation entity that owns a 50,000-acre tract in California’s redwood region in its sale of a complex working-forest conservation easement and its subsequent verification and disposition of a significant volume of forest carbon credits under both the voluntary Climate Action Reserve carbon market and the California Air Resources Board market.
- Advised a carbon project developer on the deal structure and created documents for an approximately 75,000-acre improved forest management carbon project in Alaska and a companion project involving the permanent retirement of approximately one billion tons of coal reserves by way of equitable servitude.
- Advised a carbon project developer in connection with a large-scale grasslands carbon project in Montana.
- Reviewed and revamped carbon project transaction documents for several different carbon developers and landowners, including carbon development agreements for improved forest management, reforestation and grasslands projects, and Emission Reduction Payment Agreements (ERPAs).
- Advised project developer regarding a proposed large-scale, innovative reforestation carbon project in Oklahoma.
- Advised various landowners and project developers on negotiations and documentation regarding multiple ERPA transactions for the sale of over 10 million offsets and/or allowances to regulated and unregulated third-party purchasers.
- Advised a carbon project developer regarding an improved forest management carbon project on lands located in the Arch Cape region of the Oregon Coast.
- Advised a carbon project developer on a proposed forest conservation carbon project in Oceania that would generate offset credits to be traded in the European carbon market.
- Counseled on the sale of offsets by a Northern California tribal entity to a natural gas company.
- Advised timberland owners on forest carbon transactions and alternative revenue stream transactions (e.g., highest and best use sales, wind, solar, and other energy projects).
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