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Google signs its biggest rice-methane carbon credit deal with Indian startup Mitti Labs

5 d ago

Google has agreed to purchase 1 million carbon credits from Indian climate-tech startup Mitti Labs through 2030, marking the largest publicly announced deal for credits generated from cutting methane emissions in rice farming, as the tech giant races to offset rising emissions from its AI infrastructure expansion. The four-year agreement covers rice farms across Karnataka, Andhra Pradesh, and Telangana, reaching about 100,000 hectares at peak delivery. Financial terms were not disclosed. The project pays farmers to reduce flooding duration, cutting methane by roughly 50% and irrigation water use by about 40% without lowering crop yields. Google’s greenhouse gas emissions grew 18% year-over-year to about 14.5 million metric tons of CO₂ equivalent in 2025, per its June environmental report, challenging its net-zero-by-2030 goal. Mitti Labs’ GeoAI platform combines satellite radar imagery with field measurements to remotely monitor crop growth, soil moisture, and flooding across smallholder farms. Credits will be issued under Gold Standard or Isometric certification with independent third-party verification. Founded in 2023, the New York- and Bengaluru-based startup has saved over 500 billion liters of water in two years. The deal allows Mitti Labs to scale significantly, working with more than 100,000 farmers and aiming for millions by 2030. Majority of project revenue goes to farming communities. Google also previously partnered with Varaha for 100,000 tons of carbon credits in India and signed a 150-MW solar project in Rajasthan. Mitti Labs plans to expand to the Philippines in 2025 and Southeast Asia in 2027.