Risk Assessment

Bespoke assessment of the technical and/or political risks and potential impacts on a specific project

Kita's Risk Assessments help clients identify and understand insurable risks, enabling proactive risk mitigation with the ambition to help drive financing to scale high-quality carbon projects.

Covering six key sections, we provide a comprehensive quantitative and qualitative analysis of project risks for our clients.

Risk Assessments are used by investors and buyers for due diligence, and by Project Developers to demonstrate risk management during investment processes.

A Risk Assessment covers both technical risk and political risk. There is also the option to purchase each separately.

Our risk assessments are of benefit to:

  • Buyers of carbon credits and investors/lenders to carbon projects who wish to understand project risks and insurability.​

  • Project developers seeking third party risk assessment on their own projects who wish to demonstrate high levels of risk management to potential investors/buyers.

  • Any company with an interest in a carbon project's success and who wants more information on that project's risk exposures.

Why use a Kita Risk Assessment?

Why use a Risk Assessment from an insurance company?​

  • Our assessment utilises a wide range of private and public data sources, including remote sensing, transaction data, business risk, registries, project documents and legal contracts, resulting in an extremely comprehensive analysis.

  • We assess the risk exposures to your carbon project, including overall levels of insurability across different risk categories. ​

  • This objective assessment of risk helps provide a stamp of confidence on carbon transactions and enables proactivity in ongoing risk management.​

  • Our aim is providing a cost-effective lens on project risk, with the potential for an ensuing insurance policy. If the project assessment results in Kita being unable to insure the project due to risk levels, we hope this might still be a useful outcome in terms of your due diligence.  ​

  • A Risk Assessment does not guarantee an insurance policy being offered.

What is covered in a Risk Assessment?

A full Risk Assessment covers both technical risks and political risks. We also offer the option to purchase one or the other.

Kita’s Political Risk Assessment covers:

  • War and terror​

  • Article 6.2 and 6.4​

  • Letter of Authorisation/Approval strength​

  • Expropriation and government action​

  • Impact of host country's Nationally Determined Contribution

  • Commentary on CORSIA eligibility

Kita’s Technical Risk Assessment covers:

  • Carbon Standard & Methodology

  • Business & Counterparties

  • Project Developer Experience

  • Project Design & Production Forecast

  • Natural Catastrophe & Climate Change

Want to learn more about Kita’s Risk Assessments?