Google Signs Carbon Credit Deal With Mitti Labs for 1M Credits

Google Signs Carbon Credit Deal With Mitti Labs for 1M Credits

Quick Reads

• Google will buy 1 million carbon credits from Indian startup Mitti Labs through 2030.
• The deal is billed as the largest ever for rice-methane reduction credits.
• Rice farms across Karnataka, Andhra Pradesh, and Telangana will take part.
• The technique cuts methane by 50% and irrigation water use by 40%.
• Google’s emissions grew 18% in 2025 even as it invests heavily in AI.

Google signs a landmark deal with Mitti Labs, agreeing to buy 1 million carbon credits through 2030. The companies call it the largest publicly announced deal for credits tied to rice-methane reduction. Google signs this agreement as it faces mounting pressure over its climate goals. The four-year deal will cover rice farms across Karnataka, Andhra Pradesh, and Telangana. At peak delivery, the project will reach about 100,000 hectares of farmland. Mitti Labs co-founder Xavier Laguarta confirmed the details but did not disclose financial terms.

Under the project, farmers adopt practices that reduce how long floodwater covers rice fields. This approach cuts the methane that cultivation releases while also reducing water consumption. According to Mitti Labs, the technique can lower methane emissions by roughly 50%. It also cuts irrigation water use by about 40%, without hurting crop yields.

Notably, the deal arrives as Google pursues its goal of reaching net-zero emissions by 2030. However, the company’s emissions actually grew 18% year-over-year in 2025, reaching 14.5 million metric tons. Heavy investment in artificial-intelligence infrastructure has driven much of that increase.

Mitti Labs began talks with Google roughly a year ago, according to Laguarta’s account to TechCrunch. The project’s water savings and Mitti Labs’ ability to scale drew Google’s interest. The startup has saved more than 500 billion liters of water over two years. Laguarta said the Google partnership signals strong validation from a rigorous, sophisticated buyer.

Mitti Labs launched in 2023 and operates out of New York and Bengaluru. The startup built a GeoAI platform that tracks crop growth and soil moisture remotely. It combines satellite radar imagery with on-the-ground field measurements across smallholder farms. Before signing, Google evaluated Mitti Labs’ monitoring technology and visited farms directly. The credits will carry certification from either Gold Standard or Isometric, two recognized bodies. Each project also undergoes independent verification, and third-party auditors issue credits only afterward.

Beyond Google, Mitti Labs already works with Cool Effect, Ebro Foods, and Syngenta. The startup currently partners with more than 100,000 farmers across its rice programs. It aims to reach millions of farmers globally by 2030, Laguarta said. Most of the revenue from these projects flows directly back to farming communities.

Looking ahead, Mitti Labs plans to expand into the Philippines later this year. It also intends to enter Indonesia and other Southeast Asian markets by 2027. This is not Google’s first carbon-removal bet in India, following an earlier biochar deal. In January 2025, Google partnered with Varaha to purchase 100,000 tons of carbon credits.