Normative receives new funding to power the next generation of carbon accounting

Company news

21. Jul 2022

Kristian headshot

Kristian Rönn

CEO & Co-founder of Normative

We’ve teamed up with leading climate VCs to invest in comprehensive, intelligent, and automated carbon accounting.

Kristian headshot

Kristian Rönn

CEO & Co-founder of Normative

A business needs to measure its climate impact before it can effectively reduce it.

At Normative, we already provide the world’s most accurate carbon footprint measurements.

Now, bolstered by new funding, we’re ready to rapidly expand our carbon accounting engine and empower even more businesses to measure and reduce their carbon emissions.

Closing the accuracy gap

Companies that measure their emissions manually estimate an average error rate of up to 40%.

Good intentions and bad math lead to greenwashing

This accuracy gap means that businesses may find themselves unintentionally greenwashing, even if they’re acting with good intentions. Because their carbon measurements are incomplete, their carbon reporting and reduction will also be incomplete. 

Despite their good intentions, businesses that unintentionally greenwash can face the same consequences as businesses that greenwash intentionally – such as legal action, fines, and the loss of brand equity.

Normative makes businesses greenwashing-resistant by setting a new standard in scientific accuracy for emissions accounting.

Preparing for upcoming legislation

A slate of new and expanding legislation across the globe makes accurate carbon accounting more important now than ever before.

In the EU, the European Commission has already adopted the Corporate Sustainability Reporting Directive (CSRD) to instill transparent, auditable emissions reports and combat the current shortfall in quality of ESG reporting. Similarly, the UK’s Streamlined Energy and Carbon Reporting (SECR) legislation also mandates that large companies report their emissions

In the US, the Securities and Exchange Commission (SEC) recently proposed a new rule that will require corporations to provide detailed reporting of their emissions and net-zero transition plans.

Put simply: climate impact reporting regulations are coming, and businesses – especially large businesses – will need to use carbon accounting to meet these regulations’ demands.

Normative’s carbon accounting engine enables compliance-grade carbon measurements, and allows businesses to export their carbon measurements in compliance-ready formats.

The funding

We raised €31 million in a Series B round led by climate tech growth equity firm Blume Equity.

New investor Horizons Ventures also participated alongside returning investors Future Five, ETF Partners, and 2150, who led Normative’s €10m series A funding round in October 2021.

This funding will enable Normative to expand our service – which is already compliance-grade and audit-ready – and provide even more customers with highly accurate data on their value chains, empowering them to measure and reduce their emissions.

Empower your business with comprehensive & accurate carbon accounting

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