A forest collective of 50,000 Ugandan smallholders will supply Microsoft with 2 million carbon credits over the next decade, marking a major step forward in the tech giant’s carbon removal strategy. Wood Central understands the credits will be generated through Kijani Forestry’s Smallholder Farmer Forestry Project — one of the first initiatives approved under Uganda’s Climate Change Mechanisms Regulations passed last May.
The deal is being delivered through Rubicon Carbon, a US climate‑finance and carbon‑removal firm backed by TPG Rise Climate, with Rubicon working with Microsoft to unlock 18 million tonnes of carbon removals.
Uganda’s carbon market is amongst the most advanced in Africa, with the new regulations establishing the legal basis for approving carbon projects, issuing credits and participating in global markets under Article 6 of the Paris Agreement.
Kijani Forestry partners with more than 50,000 smallholder farmers across Northern Uganda, helping them regenerate degraded land through community‑based woodlot planting. The programme has already produced more than 30 million trees, with participating farmers projected to increase household incomes by more than 600% per acre.
According to Quinn Neely, Kijani’s co‑founder and CEO, the partnership highlights the impact of long‑term climate finance reaching communities most exposed to climate change. Working with Rubicon Carbon, he said, enables Kijani “to reach more farmers, restore more land, and accelerate climate impact,” and demonstrates “what is possible when multi‑year finance reaches communities on the frontlines of climate change.”
Meanwhile, Phillip Goodman, Microsoft’s Carbon Removal Director, said the company is committed to high‑quality nature‑based removals that deliver both climate and community benefits: “Microsoft is pleased to support Kijani’s work in strengthening farmer livelihoods while restoring ecosystems in Northern Uganda,” with Rubicon’s framework “streamlining the contracting process while ensuring project quality and unlocking financing for nature‑based removals.”
Wood Central understands that Ugandan farmers will begin earning income from future CDR revenue within a year of planting. As the trees mature, they will also gain access to additional revenue streams from sustainable timber and charcoal production — a long‑term economic uplift that Kijani and its partners say is central to the project’s climate and community impact.
- To learn more about Microsoft’s plans for carbon capture, which include taking carbon from pulp and paper mills, click here for Wood Central’s special feature from April 2025.
