Industry hails Government commitment to develop CCUS by mid-2020s

• Government publishes much anticipated action plan on CCUS Deployment
• Industry welcomes Government recognition that action is needed now to develop the first project by the mid-2020s

Today the Government have confirmed that the first carbon capture usage and storage (CCUS) project in the UK could be operational by the mid 2020s as part of a new Action Plan announced at the world’s first international CCUS Summit.

The Carbon Capture and Storage Association (CCSA), the trade body for the CCUS industry in the UK, has welcomed the news. If deployed at scale in the UK, CCUS technology could boost regional growth in our industrial heartlands, create a world-leading green industry and drive deeper decarbonisation across the UK economy, in particular in the harder to reach sectors like heavy industry, heat and transport.

Luke Warren, Chief Executive of the CCSA, said:

“These are exciting times for those developing CCUS in the UK, and this announcement represents an essential step forward for this vital industry.

If we are to have any hope of meeting our existing climate change targets, let alone achieving net zero emissions, we must support the commercialisation of CCUS today. The Government’s announcement in Edinburgh recognises the need for urgent action, with a commendable commitment to develop the first project by the mid-2020s as a first step towards having the ability to deploy CCUS at scale.

The Government have today stepped up and shown global leadership by committing to this ambitious and deliverable action plan. We look forward to working with Government over the next year on how to deliver a number of regional CCUS clusters that will be needed to achieve commercial scale deployment.”

• Trade body CEO calls for commitment to develop at least two regional Carbon Capture, Utilisation & Storage (CCUS) clusters
• Parliamentary Committee told that action now could make the UK a global pioneer in CCUS technology
• Government CCUS Deployment Pathway due to be published imminently

Today, industry experts urged the Government to commit to a clear, deliverable and ambitious deployment pathway for CCUS this year, in order to capitalise on the UK’s potential to lead the way in delivering this crucial technology at scale.

MPs from the Business Energy and Industrial Strategy (BEIS) Select Committee were told that failure to act now could sacrifice a prime opportunity for the UK economy and would make it near impossible for the country to hit its existing climate targets.

The UK has one third of Europe’s carbon dioxide storage capacity, and as much as the rest of the EU combined – creating a potentially significant market opportunity to ‘sell’ storage space. It also has the considerable assets, infrastructure and skills needed to become Europe’s leader in developing the technology.

Deployment of CCUS would also benefit important regional economies, preserving and creating jobs in our industrial heartlands. Five areas have been identified as being particularly suited to becoming CCUS clusters; Teesside, Yorkshire & the Humber, the North West, Scotland & South Wales.

The Government is due to publish its CCUS Deployment Pathway imminently, possibly within weeks. In order for the UK’s potential to be realised, industry has called on the Government to commit to developing at least two regional CCUS clusters as recommended by the CCUS Cost Challenge Taskforce.

Luke Warren, Chief Executive of the Carbon Capture and Storage Association, said:

“Despite an impressive reduction in our power sector emissions over the past decade, the UK stands at a climate change crossroads. In order to have any hope of meeting our existing climate change targets, we need to drive deeper decarbonisation in heating, transport and heavy industry.

“CCUS, and its suite of enabling technologies, can decarbonise these harder to reach sectors, whilst at the same time ensuring our industrial heartlands remain competitive for decades to come.

“The UK wind industry is a perfect example of what can be achieved with commitment, a strong supportive framework and collaboration between industry and Government. If the Government now does its bit by committing to develop at least two regional CCUS clusters, this industry could become another success story, positioning the UK as a leader in a significant global market.”