Carbon accounting startup Avarni banks $2.5m from Main Sequence, AfterWork, Sprint
The funding comes amid increased global pressure on mandatory emissions disclosures, particularly in its target market of the US.
Avarni, an Australian decarbonisation platform offering what has been described as carbon accounting software has banked $2.5 million in fresh capital via an extension round from returning investor Main Sequence and new backers Sprint Ventures and AfterWork Ventures.
The funding comes amid increased global pressure on mandatory emissions disclosures, with California recently legislating that companies report on their carbon emissions and risks. In Australia, various proposals currently sit with the government regarding mandatory reporting laws for major emitters and companies with more than $1 billion in assets, $500m in consolidated revenue or 500 employees.
Main Sequence investment manager Alezeia Brown said that in the race towards net zero, accurately measuring emissions, especially Scope 3 emissions which take into account emissions from both a company's suppliers and customers, remains a major challenge.
“Companies rely on third-party data or unverified numbers from suppliers, leaving them with imprecise carbon accounting,” said Brown. “Avarni is pioneering new ways to tackle this problem head-on. In the urgent journey to net zero, Avarni’s technology will allow organisations to plan and reduce impacts across their entire supply chain like never before. We are thrilled to support their continued expansion and success in driving real climate action.”
