North America Carbon Management System Market Size - By Component, By Deployment, By Industry, Analysis, Share & Growth Forecast, 2025 - 2034

North America Carbon Management System Market Size

The North America carbon management system market was valued at USD 4.3 billion in 2024. The market is expected to grow from USD 4.8 billion in 2025 to USD 10.6 billion by 2034, at a CAGR of 9.1%, according to Global Market Insights Inc.

• Rising strategic roadmaps & policy alignment coupled with increasing initiatives towards commercial readiness & industry momentum towards curbing down the emission is augmenting the market growth. Government-led strategies are increasingly aligning carbon management with broader climate and economic goals.
   
• For instance, The U.S. Department of Energy’s 2024 Carbon Management Strategy outlines a comprehensive plan to scale carbon capture, transport, and storage technologies. It emphasizes near-term deployment, infrastructure buildout, and community engagement to meet net-zero goals by 2050. These roadmaps provide clarity on timelines, funding priorities, and infrastructure development, encouraging both public and private sector participation.
   
• Carbon management systems are transitioning from pilot phases to commercial deployment across multiple sectors. Industries such as ethanol, ammonia, and natural gas processing are demonstrating viable economics for carbon capture. For instance, The DOE’s 2023 “Pathways to Commercial Liftoff” report highlights that over 100 carbon management projects are in development, with several dozen already operational.
   
• The report identifies ethanol, ammonia, and natural gas processing as sectors with favorable economics for carbon capture, signaling strong commercial momentum and a maturing ecosystem ready for scale. In addition, this growing operational footprint signals a maturing market, where technology costs are declining and business models are becoming more predictable, which in turn will complement the business scenarios.
   
• Rigorous regulatory push on methane & carbon emission along with innovation commercialization through national labs will further proliferate the industry landscape. New rules targeting methane and CO2 emissions are being enforced across oil, gas, and manufacturing sectors. These mandates are not only driving technology adoption but also creating a competitive advantage for early movers in emissions reduction.
   
• For instance, in March 2024, the U.S. EPA finalized a rule targeting methane emissions from both new and existing oil and gas operations. This regulation mandates performance standards and emissions guidelines, compelling operators to adopt carbon management technologies to remain compliant. The rule is a significant regulatory lever driving adoption across the energy sector.
   
• Public investment in research and development is accelerating the commercialization of carbon management technologies. For instance, in 2025, the DOE committed over USD 35 million to 42 projects under its CLIMR initiative, aimed at commercializing lab-developed energy technologies. These include carbon capture innovations supported by 10 national labs, in turn bridging the gap between R&D and market deployment.
   
• National laboratories and innovation hubs play a pivotal role in bringing together scientific breakthroughs and market-ready solutions. This ecosystem fosters collaboration, speeds up deployment, and ensures that innovations are aligned with real-world needs, thereby accelerating the availability of scalable carbon management solutions.
   

North America Carbon Management System Market Trends

• Continuous & exponential technological breakthrough in power generation along with rising large scale carbon capture and storage infrastructure projects is complementing the business outlook. Next-generation power plants are integrating carbon management directly into their design. Technologies such as oxy-fuel combustion and supercritical CO2 cycles are enabling near-zero emissions from fossil fuel-based generation.
   
• For instance, NET Power is constructing the world’s first utility-scale natural gas power plant with integrated CO2 sequestration near Odessa, Texas. The plant, expected online in 2026, uses oxy-fuel combustion and a supercritical CO2 cycle to achieve near-zero emissions. These innovations are redefining the role of carbon management in energy systems and offering scalable pathways to decarbonize electricity.
   
• The development of large-scale carbon capture and storage (CCS) hubs is laying the groundwork for regional carbon networks. These projects are unlocking economies of scale and enabling shared infrastructure for transport and storage. For instance, Chevron’s Bayou Bend CCS project, a joint venture with Equinor and TotalEnergies, is developing a 140,000-acre CO2 storage hub along the U.S. Gulf Coast.
   
• Provincial leadership in circular economy and waste management initiatives, especially across Canada is bolstering the market growth. For instance, Ontario’s Made-in-Ontario Environment Plan emphasizes producer responsibility, landfill diversion, and advanced recycling. These initiatives are creating new pathways for carbon reduction through waste valorization and resource recovery. 
   
• In addition, Canada’s 2024 GHG Emissions Projections provide detailed modeling across provinces and sectors, supporting policy decisions and market readiness. These projections include scenarios for additional measures and reference cases, helping stakeholders anticipate regulatory shifts and align carbon management strategies with national climate goals.
   
• Canada is witnessing the development of large-scale CCS hubs designed to serve multiple industrial emitters. These projects involve extensive pipeline networks and dedicate geological storage sites, enabling shared infrastructure and cost efficiency. By clustering emitters and coordinating storage efforts, these hubs are creating regional carbon management ecosystems that can scale rapidly. 
   

North America Carbon Management System Market Analysis

• Based on component, the market is categorized into solutions & services. The solutions segment holds a market share of 57% in 2024 and is projected to grow at a CAGR of 8.7% through 2034. Increasing integration for digital platforms for emission tracking & optimization along with rising scalable capture technologies for industrial use is complementing the business outlook.
   
• For instance, the U.S. EPA’s ENERGY STAR Portfolio Manager enables organizations to benchmark energy and emissions performance across buildings. With over 96,000 buildings using the tool, it has become a cornerstone for emissions tracking and operational efficiency. This digital infrastructure is driving demand for integrated carbon management solutions that combine software, analytics, and automation.
   
• In addition, in June 2023, Chevron’s pilot with Svante Inc. showcases compact, scalable carbon capture technology using solid sorbent filters. Tested at the Kern River site, the solution replaces bulky chemical towers with modular units, making it viable for cement, refining, and steel industries. The project highlights how next-gen solutions are reducing costs and expanding applicability across hard-to-abate sectors.
   
• The services industry will grow at a CAGR of 9.7% till 2034. Rising integrated sustainability consulting & engineering services along with assurance & verification services for GHG reporting is augmenting the business landscape. For instance, North America based, TC Energy’s, efforts to achieve reasonable assurance on Scope 1 and 2 emissions. By engaging third-party auditors and enhancing data infrastructure, the company is setting a precedent for emissions verification services.
   
• In addition, as regulatory scrutiny increases, demand for assurance services is rising across industries seeking credibility and compliance. For instance, Canada based energy company Enbridge’s, emphasizes its “all-of-the-above” energy strategy, integrating consulting, engineering, and operations to reduce emissions.
   
• The company’s expansion into renewable power and methane mitigation services reflects growing demand for end-to-end carbon management expertise. This holistic approach is enabling clients to meet regulatory and ESG goals more effectively. Furthermore, increasing adoption of life cycle emissions analysis & strategy development across multinational agencies is further benefitting the industry growth.
   
• For instance, Air Products, in their 2025 sustainability report highlighted its use of lifecycle analysis to guide emissions reduction strategies. The company’s consulting services help clients assess carbon intensity across supply chains and develop tailored decarbonization plans. This strategic support is becoming essential for businesses navigating complex regulatory environments and stakeholder expectations.
   

• Based in industry, the market is segmented into energy & utilities, manufacturing, residential & commercial building, transportation & logistics, IT & telecom, and others. The transportation & logistics industry cater for a market share of 26.1% and stood at USD 1.1 billion in 2024. Increasing emission standards for vehicles & fleets along with smart freight & logistics optimization are key growth inducing factors for the market.
   
• For instance, the U.S. EPA’s 2025 regulations for light- and heavy-duty vehicles aim to cut billions of metric tons of GHG emissions. These standards are pushing automakers and fleet operators to adopt carbon management technologies and low-carbon fuels. Furthermore, EPA’s SmartWay program helps freight companies reduce emissions through route optimization and fuel efficiency.
   
• The energy & utilities industry will grow at a CAGR of 9.4% till 2034. The expansion of grid-integrated carbon technologies combined with policy-driven decarbonization of power generation are fueling the industry growth. The U.S. DOE modeling in 2024 highlights increased integration of carbon management technologies into grid infrastructure. These include carbon capture retrofits & clean hydrogen blending, that are reshaping utility-scale energy systems to meet decarbonization goals.
   
• In addition, the U.S. EPA’s 2024 Biennial Transparency Report outlines sector-wide shifts in energy-related CO2 emissions due to finalized regulations on fossil fuel-fired power plants. These include emission guidelines for coal, oil, and gas units, driving utilities to adopt carbon capture and low-carbon technologies to meet compliance targets.
   
• The manufacturing industry will reach USD 2 billion by 2034. Sector wise emissions reduction mandates coupled with rising deployment of advanced industrial facilities across manufacturing will complement the industry evolution. In addition, Regulatory pressure and voluntary commitments are prompting manufacturers to adopt carbon management systems to meet emissions targets and maintain competitiveness.
   
• Furthermore, the U.S. Inflation Reduction Act provisions modeled in 2024 included funding for advanced industrial facilities. These facilities are integrating carbon management systems to reduce emissions from high-impact sectors, supporting the shift toward low-carbon manufacturing.
   
• Residential & commercial building industry will grow at a CAGR of 8.6% till 2034. Rising green building strategy integration and indigenous led building decarbonization initiatives is complementing the industry dynamics. For instance, Canada’s Green Buildings Strategy emphasizes carbon reduction through building codes, retrofits, and clean energy integration.
   
• In addition, Canada’s 2025 TNZ Homes and Communities Program funds Indigenous organizations to reduce building emissions. This initiative is expanding carbon management adoption in underserved regions, aligning climate action with social equity.
   
• The IT & telecom industry will grow at a CAGR of 9.9% through 2034, driven by growing transition to low-GWP cooling technologies along with increasing clean technology investments credit. For instance, the EPA’s Technology Transitions Program restricts high-GWP HFCs in cooling systems used in data centers and telecom infrastructure. This regulation is prompting the sector to adopt carbon management systems for HVAC and refrigeration.
   
• In addition, Canada’s ITC framework initiated in March 2023 to December 2034, will supports investments in clean technology manufacturing and operations, including data centers. These credits are incentivizing telecom and IT firms to integrate carbon management into their infrastructure strategies.
   

• The U.S. dominated the carbon management system market in North America with 82% share in 2024 and generated USD 3.6 billion in revenue. The North America carbon management system market is driven by stringent environmental regulations and increasing corporate commitments toward net-zero emissions.
   
• The U.S. and Canada have introduced robust policies including the Inflation Reduction Act (IRA) that incentivize carbon capture and storage (CCS) projects, carbon accounting, and emissions trading systems. Major industries including energy, manufacturing, and transportation across the North America region are rapidly adopting advanced carbon management technologies to comply with these regulations and improve sustainability credentials.
   
• The U.S. Carbon Management System (CMS) market is witnessing significant momentum, driven by a convergence of regulatory mandates, climate finance, private sector decarbonization goals, and innovations in emissions tracking and reporting technologies. CMS tools ranging from carbon accounting platforms to AI-enabled emissions forecasting and MRV (Measurement, Reporting, and Verification) systems are being rapidly adopted across sectors.
   
• Furthermore, in November 2024, GE Vernova Inc. strengthened its strategic alliance with Amazon Web Services (AWS) through a multi-year agreement aimed at scaling the deployment of its Asset Performance Management (APM) and CERius carbon management solutions via the cloud. The collaboration was intended to support energy companies in optimizing asset operations and tracking emissions more efficiently using advanced digital technologies.
   
• The Canada carbon management system market is evolving rapidly and will grow at a CAGR of 10.5% till 2034. This growth is driven by the country’s commitment to its net-zero by 2050 target, tightening climate regulations, growth of the carbon pricing framework, and increasing corporate accountability.
   
• Canada’s carbon pricing system, under the Greenhouse Gas Pollution Pricing Act (GGPPA), continues to be a major catalyst for CMS adoption. Canada is also aligning with ISSB (International Sustainability Standards Board) climate disclosure standards and has proposed mandatory Scope 1 and 2 emissions reporting for large public companies by end of 2025.
   
• In addition, in September 2025, the Government of Canada invested USD 28.7 million to train over 10,000 workers in clean energy and carbon management skills. Through the Sustainable Jobs Training Fund, initiatives like AI Pathways are equipping Canadians with the expertise needed to operate and innovate within carbon-intensive industries transitioning to low-carbon models.
   

North America Carbon Management System Market Share

• The top 5 companies in the North America carbon management system industry are IBM, Microsoft, SAP, Salesforce, and Schneider Electric, are among the dominant players catering to over 45% of the market share in the year 2024, leveraging their existing enterprise software ecosystems and cloud infrastructure to offer integrated carbon accounting and ESG platforms.
   
• Microsoft’s Cloud for Sustainability and Salesforce’s Net Zero Cloud have positioned them as leaders, especially in the corporate sustainability and data-driven ESG reporting space. SAP's Sustainability Control Tower benefits from its deep integration with ERP systems, giving it a strong foothold among manufacturing and logistics-heavy enterprises.
   
• IBM, through its Envizi suite, offers AI-powered carbon tracking tailored for large, data-intensive operations. The market is expected to remain dynamic, with partnerships, acquisitions, and regulatory developments continuously reshaping the competitive landscape.
   

North America Carbon Management System Market Companies

Major players operating in the North America carbon management system industry are:

• IBM
• Accuvio
• Carbon Footprint Ltd.
• Dakota Software
• Enablon
• EnergyCap
• Engie
• Enviance
• Envirosoft
• ESP
• Intelex
• Isometrix
• Locus Technologies
• Microsoft
• NativeEnergy
• Salesforce
• SAP
• Schneider Electric
• Sphera
• Trinity Consultants
   
• IBM, headquartered in the U.S., reported a revenue of USD 17 billion in Q2, 2025. The company offers integrating carbon management into its operations and client solutions through platforms including IBM Envizi and TRIRIGA. The company’s commitment to net-zero by 2030 is backed by its commitment to sustainability leadership, including its role in launching ENERGY STAR and supporting carbon pricing mechanisms.
   
• Microsoft is one of the major players in carbon management, aiming to be carbon negative by 2030 and reported revenue of USD 281 billion in its year end June 2025. Its Sustainability Manager and Cloud for Sustainability platforms help organizations monitor, report, and reduce emissions across operations and supply chains. In 2025, Microsoft expanded its carbon removal contracts and renewable energy procurement, while innovating in low-carbon datacenter design.
   
• SAP positions itself as both an enabler and provider in carbon management, offering ERP-integrated solutions including SAP Sustainability Control Tower and SAP Green Ledger. These tools allow businesses to embed carbon accounting into core financial and operational processes. SAP reported USD 18 billion in revenue by Q2, 2025.
   

North America Carbon Management System Industry News

• In September 2025, the Government of Canada, through its Ministry of Energy and Natural Resources, has announced an investment of USD 5.8 million to support made-in-Canada carbon management technologies. These investments reflect a strategic push to position Canada as a global leader in CCUS, while also supporting job creation and cleantech exports.
   
• In May 2025, Schneider Electric launched its Environmental Data Program toward enhancing transparency on the environmental impact of its products. Building on the foundation of its Green Premium label, the initiative aims to provide detailed, product level sustainability data to support customers in meeting regulatory requirements and advancing their own climate goals.
   
• In May 2025, Microsoft unveiled new sustainability-focused features for its Azure cloud platform, aimed at helping users incorporate environmental considerations into their cloud migration strategies. The enhancements include carbon emissions analysis within Azure Migrate, enabling IT teams and cloud architects to assess and compare the carbon footprint of on-premises infrastructure versus Azure.
   
• In March 2025, IBM and Qualcomm expanded their collaboration to develop advanced generative AI solutions that enhance carbon management across edge and cloud platforms. These innovations will empower enterprises to optimize sustainability efforts, improve carbon tracking accuracy, and reduce operational costs, marking a significant step forward in leveraging AI for effective climate action.
   

This North America carbon management system market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue (USD Million) from 2021 to 2034, for the following segments:

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Market, By Component

• Solutions
• Services

Market, By Deployment

• Cloud
• On-premises

Market, By Industry

• Energy & utilities
• Manufacturing
• Residential & commercial building
• Transportation & logistics
• IT & telecom
• Others

The above information has been provided for the following countries:

• U.S.
• Canada