a16z Podcast

The Economics of Carbon Removal with Nan Ransohoff

11.30.2022 - By Andreessen HorowitzPlay

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What happens when there’s demand for a solution that doesn’t quite exist yet?

Today, we bring on Nan Ransohoff to talk about this exact problem as it relates to carbon removal, and how Frontier — the initiative out of Stripe that she is leading – is using a nearly $1B advance market commitment to try to jumpstart this market.

If you don’t know what that means, don’t worry – we’ve got you covered.

Throughout the episode, we discuss the multivariate carbon equation and why emission reductions are not enough, the difference between offsets and permanent removal, who’s paying for tons today, what solutions already exist and how Frontier is vetting them, moving down the cost curve, where policy fits in, and ultimately what success might look like in this nascent industry.

This is part 1 of our 3-part series on carbon removal. Look out next week for part 2 and part 3, where we dive into a growing marketplace for carbon and showcase several carbon removal solutions.

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