THE ROLE OF CARBON

CAPTURE,UTILIZATION AND STORAGE

IN ACHIEVING NET ZERO EMITIONS

BY
HALEEF GRIFFITH - ID 92724
JORDAN CHARLES - ID 100601
 Introduction To CCUS
 Carbon capture utilization and storage (CCUS) represents a promising
and crosscutting solution to this formidable problem. This review takes
a systematic and sociotechnical perspective to examine how CCUS can
support industrial decarbonisation and relevant associated technical,
economic, and social factors(McLaughlin et al., 2023).
 Importance of CCUS
 Phasing out fossil fuels is key to cutting emissions and fighting climate
change. But a suite of technologies collectively known as carbon
capture, utilization and storage, or CCUS, are among the tools available
to help meet global targets to cut CO2 emissions in half by 2030 and to
reach net-zero emissions by 2050. These technologies capture, use or
store away CO2 emitted by power generation or industrial processes, or
suck it directly out of the air(Gilbert, 2024).
Current State  Over $6 billion of public funding was

of CCUS committed globally to CCUS projects

between 2020 and 2022, with new

The international regulatory facilities being planned across the U.S.,
framework for CCUS has improved
Europe, and the Middle East.More than
significantly in recent years. Key
130 CCUS projects were under
developments, like the recognition
development worldwide by 2023,
of CCUS in hard-to-abate sectors
during the first global stocktake of showing a growing

the Paris Agreement at COP28, momentum(McKinsey & Company, n.d.).

highlight its increasing

significance.(Budinis et al., 2023)
Technical Challenges and Potential of
CCUS
Technical Challenges

Carbon Capture Technologies encounter several significant technical hurdles that impact
their effectiveness and scalability. These challenges span the entire CCUS process, from
capturing carbon to transporting and storing it safely.

- Carbon Capture Technologies - Carbon Capture, Utilization, and Storage (CCUS) faces
several significant technical challenges. One of the primary obstacles lies in the various
carbon capture technologies. Post-combustion capture, while widely used, often struggles
with efficiency and high energy requirements. Pre-combustion capture is complex and may
require extensive retrofitting of existing power plants, which can be costly and time-
consuming. Direct air capture presents its own challenges, notably the high costs and
substantial energy consumption associated with the technology.
Carbon Capture Technologies
Carbon Capture Technologies - Carbon Capture,
Utilization, and Storage (CCUS) faces several
significant technical challenges. One of the primary
obstacles lies in the various carbon capture
technologies. Post-combustion capture, while widely
used, often struggles with efficiency and high
energy requirements. Pre-combustion capture is
complex and may require extensive retrofitting of
existing power plants, which can be costly and
time-consuming. Direct air capture presents its own
challenges, notably the high costs and substantial
energy consumption associated with the
technology(Solartron ISA, n.d.).
Transportation of captured CO2Transportation of captured CO2- Suitable storage
sites can be remote, so captured CO2 may need to
be transported across large distances, requiring a
network of pipelines. The cost of building and
maintaining these pipelines can be high, and there
may be public resistance to their construction.
These cost issues may also apply to the storage
infrastructure itself, as even existing geological
sites are likely to need to be adapted for the safe
storage of CO2 and monitored to ensure there is
no leakage. Additionally, CCS infrastructure must
be integrated with existing infrastructure, such as
power plants or industrial facilities, which can be a
complex and expensive undertaking.(Solartron ISA,
n.d.).
 Storage
 Storage is a vital aspect of Carbon Capture, Utilization, and Storage (CCUS), primarily
using geological methods such as depleted oil and gas reservoirs, saline aquifers, and
unmineable coal seams. While depleted reservoirs provide secure storage, their
limited availability and concerns about well integrity present challenges. Saline
aquifers offer potential for large-scale storage, but issues with site identification and
CO2 behaviour create containment risks. Unmineable coal seams can help recover
methane but require further research on CO2 interactions and leakage. Additionally,
emerging technologies like mineralization and BECCS face high energy demands.
Effective CO2 storage relies on careful site selection, ongoing monitoring, and
community engagement to ensure safety and address environmental concerns.
(Shirmohammadi et al., 2020).
 Potential of CCUS
 CCUS is expected to play a role in decarbonisation across all energy transition scenarios and will likely be
especially important for hard-to-abate industries with limited other decarbonisation levers.(McKinsey &
Company, n.d.)Carbon capture utilization and storage (CCUS) refers to a suite of technologies that enable
the mitigation of carbon dioxide (CO2) emissions from large point sources such as power plants, refineries
and other industrial facilities, or the removal of existing CO2 from the atmosphere.(The London School of
Economics and Political Science, 2023).

 37.8 billion metric tons of CO₂ were emitted globally in 2022 from fossil fuel combustion and industrial
activities. Even if renewable energy adoption accelerates, hard-to-abate sectors like cement, steel, and
chemicals account for around 20% of global CO₂ emissions, making CCUS essential for
decarbonisation(Farhad Taghizadeh-Hesary et al., 2024).

 According to the International Energy Agency (IEA), achieving net-zero emissions by 2050 will require
capturing 7.6 gigatons of CO₂ annually by mid-century. Without CCUS, it will be 2–3 times more expensive
to meet the Paris Agreement’s goal of limiting global temperature rise to 1.5°C (Lebling et al., 2023) .
Integration into Industrial Processes
The integration of Carbon Capture, Utilization, and Storage (CCUS) technology into various industrial processes
presents both opportunities and challenges. This slide explores case studies and examples of how CCUS can be
effectively implemented in key sectors, highlighting the specific benefits and hurdles faced by each industry.

1. Power Generation
CCUS technology can significantly reduce emissions from gas
and coal-fired power plants. For instance, the Boundary Dam
facility in Canada has successfully retrofitted its operations
with CCUS, allowing it to continue utilizing fossil fuels while
minimizing environmental impact. However, high capital costs
for retrofitting and the complexities of safely transporting and
storing captured CO₂ remain significant challenges. This
technology is especially crucial for power systems that are still
heavily reliant on fossil fuels during the transition to renewable
energy. (Budinis et al., 2023)
2.Cement and Steel Production
Cement and steel manufacturing are among the
most carbon-intensive industries, accounting for
12% of global emissions. CCUS plays a critical
role in cement production by addressing
unavoidable process emissions from the
chemical conversion of limestone. In steel
production, carbon capture mitigates emissions
from blast furnace operations. The Norwegian
Long ship project exemplifies successful CCUS
integration, offering a pathway for these
industries to achieve decarbonisation targets.
Key challenges include high implementation
costs and maintaining competitiveness in a
global market where production costs affect
profitability(Zoco et al., 2022).
3. Other Industrial Processes
CCUS is also vital for sectors like chemical
manufacturing and hydrogen production. In
the chemical industry, it helps reduce
emissions from processes such as
ammonia and ethylene production.
Additionally, CCUS facilitates low-carbon
hydrogen production by capturing
emissions during hydrogen extraction from
natural gas, thereby enabling the creation
of "blue hydrogen" as a cleaner energy
alternative. (Budinis et al., 2023)
Economic Viability
 The economic viability of Carbon Capture, Utilization, and Storage (CCUS) projects is influenced by

several key factors, including capital costs, operational expenses, revenue generation, and policy

support. Initial capital investments can be substantial, often ranging from millions to billions of dollars,

while operational costs involve the energy needed for capture, transportation, and storage. However,

advancements in technology may reduce these costs over time. Revenue can be generated through

enhanced oil recovery (EOR) and carbon credits, making projects more attractive. Government

incentives, such as tax credits and grants, are crucial for lowering financial barriers and stimulating

investment. Additionally, growing market demand for low-carbon products further enhances the

economic viability of CCUS. In summary, while challenges exist, supportive policies and technological

advancements can improve the feasibility of CCUS projects, necessitating ongoing investment and

research for broader adoption(Farhad Taghizadeh-Hesary et al., 2024).

 Policy Support for CCUS
• Public-Private Partnerships and Financing Models: Governments can offer CfD
mechanisms, direct subsidies, and tax incentives to attract private investment.
Expanding public funding for research and innovation is also critical to make CCUS
technologies more cost-effective

• Infrastructure Development: Building CO₂ pipelines and transport networks will

reduce logistical barriers. Policies promoting shared infrastructure access—similar to
Europe's emerging cross-border frameworks—can foster cooperation between nations
and industries.

• Regulatory Harmonization: Ensuring consistency in CO₂ transport regulations across

regions will streamline cross-border projects. Establishing frameworks like those in
the EU and Norway can mitigate risks and unlock storage capacity faster.
Source - (International Energy Agency, 2023)
 Policy support for CCUS
Governments worldwide have increasingly recognized the importance of Carbon Capture,
Utilization, and Storage (CCUS) in achieving climate targets. Key policies include:
• United States:
• The Inflation Reduction Act (IRA) and 45Q tax credit offer significant incentives, providing up
to $85 per tonne of CO₂ stored and $180 per tonne for direct air capture (DAC) projects.
These policies have spurred new projects, doubling announcements between 2020-2023
• The Infrastructure Investment and Jobs Act allocates $12 billion for CCUS infrastructure
development(Clean Energy Ministerial, n.d.)
• European Union:
• The EU Industrial Carbon Management Strategy (2024) aims to establish 50 million tonnes of
CO₂ storage capacity annually by 2030. The EU is focusing on CO₂ transport infrastructure,
cross-border cooperation, and harmonized regulations to facilitate deployment(Global CCS
Institute, 2024).
• The Net Zero Industry Act identifies CCUS as critical for achieving EU decarbonization goals
by 2050.
• Norway and the Netherlands:
• Norway has signed cross-border agreements to unlock CO₂ storage infrastructure, supporting
projects across Western Europe. The Netherlands has adopted a Contract for Difference (CfD)
scheme, which creates market incentives for CCUS while providing a stable regulatory
framework. (Fajardy & Greenfield, 2024)
Examples of Successful Policy Frameworks

• Norway’s Leadership in Cross-Border Collaboration: Norway’s agreements with

neighboring countries enable the transport of CO₂ across borders, providing a model for
other regions looking to develop similar infrastructure partnerships

• The Netherlands' Porthos Project: This project, initiated to decarbonize Rotterdam's

industrial cluster, benefited from targeted subsidies and a coherent legal framework. It
demonstrates the value of integrating public and private actors along the value chain..

• United States Incentive Models: The IRA and 45Q tax credits have significantly
increased project activity, showcasing how financial incentives can accelerate CCUS
adoption..
 Future Prospects
The future of Carbon Capture, Utilization, and Storage (CCUS) technology looks promising, with
projections indicating it will play a pivotal role in achieving global net-zero emissions goals by 2050.
Several key trends and advancements highlight how CCUS will evolve in the coming decades:

 Capacity Growth and Cost Reductions:

Current CCUS projects are expected to increase capacity almost tenfold by 2035, reaching around 300 million tons of
CO₂ captured annually. However, the International Energy Agency (IEA) estimates that to align with the 1.5°C climate
goal, around 4,000 million tons annually will need to be captured by then. Investment in CCUS will need to scale
rapidly, with projected annual investments peaking at $175 billion by 2035, driven by both public funding and
private initiatives
Cost reductions will occur through "experience curve" effects, as more infrastructure and projects come online. This
will help lower capital expenditure (capex) and operational costs, particularly benefiting developing countries
adopting the technology later.
 Technological Advances:
New applications are emerging, including integration into Direct Air Capture (DAC) technologies, which pull CO₂
directly from the atmosphere. CCUS will also remain critical in hard-to-abate sectors like cement, steel, and
hydrogen production, where emissions are otherwise difficult to eliminate. Source - (McKinsey & Company, n.d.-b)
(Sudmeijer et al., 2023)
 Role in Net-Zero Pathways:

 CCUS is projected to mitigate emissions across industries and could

potentially account for capturing 1-2 gigatons of CO₂ annually by 2050.
Although the technology will not replace renewables, it will act as a
complementary tool for industries that cannot fully decarbonize with
renewables alone.

Source - (McKinsey & Company, n.d.-b)

(Sudmeijer et al., 2023)
CONCLUSION
 In conclusion, carbon capture, utilization, and storage (CCUS) is
essential in the global effort to achieve net zero emissions. As we
face the urgent challenge of climate change, CCUS technologies
offer a vital pathway to reduce greenhouse gas emissions from
hard-to-abate sectors while also enabling the recycling of carbon
into valuable products. By investing in and supporting the
development of CCUS, alongside robust policies and frameworks,
we can significantly advance our climate goals, create
sustainable economic opportunities, and contribute to a cleaner,
healthier planet for future generations.
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