New vision to create competitive UK carbon capture market after £20bn investment
DEZNS says that its ‘CCUS Vision’ aims to unlock investment and drive economic growth by creating the market for CCUS and adding £5bn to the economy by 2050. The UK will transition from early projects backed by government support to becoming a competitive market by 2035, says energy secretary Claire Coutinho and the plans will allow UK companies to compete to build carbon capture facilities and sell their services internationally.
The series of measures to achieve this goal include: -
Moving to a competitive allocation process for carbon capture projects from 2027 to speed up the building of the UK’s CCUS sector.
Creating the conditions for projects that cannot transport carbon dioxide by pipeline to enter the market from 2025 onwards, using other forms of transport such as ship, road, and rail.
Establishing an industry-led working group to identify and adopt solutions to reduce the cost of capturing CO2.
CCUS works by capturing CO2 before it reaches the atmosphere and storing it underground, filling the spaces left by oil and gas extraction. Energy secretary Coutinho says that the UK is in a better position compared to other countries as a result of the country’s unique geology, skills, and infrastructure as an island nation.
The CCUS Vision plan is the latest step in delivering the governments recently announced £20bn investment to develop CCUS technologies – an investment which aims to store 20-30Mt of carbon dioxide per year by 2030.
Last year, a further two carbon capture clusters were announced, bringing the total to four UK carbon capture clusters to support the government’s ambitions on decarbonising industry and power. The four clusters are HyNet in northwest England, East Coast Cluster on Teesside and the Humber, Acorn in Scotland, and Viking in the Humber.
Energy efficiency and green finance minister Martin Callanan said that pragmatic answers were needed to the carbon challenge. “With our infrastructure, skills and geology, the UK is in pole position to take advantage of game-changing carbon capture and storage technology,” he said. “Backed by an unprecedented £20bn investment, this is also a pivotal milestone in our journey to net zero that will drive economic growth, unlock investment and create tens of thousands of jobs in our industrial heartlands,” said Callanan.
The CCUS Vision plan has also been welcomed by the industry, with Carbon Capture and Storage Association chief executive Ruth Herbert saying: “CCUS Vision sets out a long-term strategy for the UK’s CCUS industry to be able to store over 50Mt a year by 2035 to support the decarbonisation of domestic industries and take advantage of export opportunities.”
Carbon capture, usage and storage will be one of the issues discussed at London Olympia from 30 April to 1 May 2024, when Innovation Zero will host one of the largest sustainability and net zero expos ever seen in the UK. Over 12,000 delegates are expected to gather in the capital as part of a comprehensive programme featuring hundreds of world-class speakers across 175+ sessions, who are experts in climate change mitigation, clean technology innovation and implementing low carbon solutions.
If you found this article engaging, explore a wealth of topics at Innovation Zero. With an impressive lineup of over 200 sessions across 21 dynamic forums — spanning Advanced Tech, Aviation & Shipping, Built Environment, Carbon Markets, Energy, Finance, Food & Agriculture, Industrial, and Transport — this event is a must-attend for those eager to stay ahead in the world of innovation. Don't miss this opportunity to delve into the latest trends and investment opportunities. Join us at Innovation Zero for insights and announcements that shape the future.