Economic importance

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In April 2012 the UK Government launched their new CCS Commercialisation Programme.  The programme will involve £1 billion in direct funding support for the design and construction of the selected CCS projects, as well as ongoing support from the UK Electricity Market Reform.  The UK Department of Energy & Climate Change also published their CCS Roadmap in April 2012, which sets out the Government ambition to develop cost-competitive CCS by the 2020s, and the interventions that will be needed to realise this ambition.

Find out more about the Commercialisation Programme on the DECC website:

http://www.decc.gov.uk/en/content/cms/emissions/ccs/ukccscomm_prog/ukccscomm_prog.aspx

The importance of CCS should not be understated. CCS is applicable to both the power sector and the industrial sectors, and will therefore play a vital role in the move to a low-carbon economy. In the power sector, fossil-fuel power with CCS is one of the options which has been identified by the UK Government as a major part of the low-carbon energy mix – alongside nuclear and renewables. CCS will be an increasingly important and necessary option for many industrial sectors, such as steel, cement, chemicals and ammonia. Many of these sectors do not have any alternatives for reducing their emissions aside from CCS as their carbon dioxide is generated in the process (as well as the fuel they use). The ability of CCS to be developed in these sectors will therefore help maintain many of these vital industries in the UK, making a significant contribution to local prosperity, and retaining a large number of jobs.

Countries that develop CCS early will benefit from the export of skills and technology interna­tionally. The huge contribution that CCS will make to global emissions reductions will result in the development of an enormous new industrial sector potentially worth tril­lions of dollars annually. Countries blessed with suitable storage capacity, such as the UK – as well as those that take the early steps to develop CCS – will have a unique opportunity to benefit from this emerging sector.

CCS could create 100,000 jobs across the UK by 2030, contributing £6.5 billion to the UK’s economy. If the UK is one of the first to develop CCS, the industry could be as big as the North Sea oil industry, taking a significant share of a £5 trillion global CCS business by 2050.

Find out more about the potential benefits to the UK from CCS:

AEA, Future Value of Coal Carbon Abatement Technologies to UK Industry for the Department of Energy and Climate Change, December 2008

http://www.aeat.co.uk/cms/assets/MediaRelease/PR_190609.pdf

The UK is particularly well placed to take advantage of the economic opportunities provided by CCS. We have enormous storage potential under the North Sea and the industry experience gained through oil and gas development in the North Sea means we have the skills to deliver and manage successful projects. The UK has already begun to procure a detailed understanding of these tremendous carbon dioxide storage assets and valuable work has been completed by the British Geological Society for the UK (in 2006).

View the BGS report INDUSTRIAL CARBON DIOXIDE EMISSIONS AND CARBON DIOXIDE STORAGE POTENTIAL IN THE UK, October 2006 

http://webarchive.nationalarchives.gov.uk/+/http://www.berr.gov.uk/files/file35684.pdf

 

An oxycoal test unit. Courtesy of Doosan Babcock.b

An oxycoal test unit. Courtesy of Doosan Babcock.

WHAT IS CCS?

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What is CCS?

FAQs

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