UK Investment Minister confirms that CCUS is indispensable to industrial decarbonisation

• Minister Gustafsson confirms that Government view carbon capture as indispensable, noting its role for industries that can’t easily decarbonise, such as cement. 
• The UK has the right skills and infrastructure to lead in carbon capture and storage.
• The UK Government is keen to support more CCUS projects across the UK and will make more announcements after the Spending Review in the Spring.  

[Thursday 28 November, London] – Yesterday, Baroness Gustafsson, Minister for Investment, addressed CCSA members at the association’s Annual General Meeting. The Minister reconfirmed the Government’s continued commitment to deploy Carbon Capture, Utilisation and Storage (CCUS) across the UK.   

Having only been in the role for 6-weeks, Minister Gustafsson acknowledged the level of ambition within the CCUS sector to deploy projects that will decarbonise heavy industries. The Minister noted in particular how CCUS is “indispensable” for sectors such as cement production.  

With UK cement critical for building new homes, hospitals, and schools, it is important to find a way to continue production without emitting more CO₂ into the atmosphere. For industries such as cement, chemicals and manufacturing, as well as energy from waste, CCUS is the most viable route to decarbonisation. 

Minster Gustafsson reinforced the UK Government’s commitment to drive investment into the UK and support the growth of the UK CCUS sector. The CCSA estimates that the private sector will invest between £20 to £30 billion in projects across the UK’s industrial heartlands by 2030 if CCUS is deployed at scale.  

The UK is fortunate to have a world-leading energy industry with unique geological expertise, which the Minister recognised as a competitive advantage in the Government’s ambition of global climate leadership. 

As noted by the Minister, the Government’s mission driven approach to meeting net zero targets includes CCUS as a central feature, and the CCSA will continue to work with the Government to unlock the full potential of the CCUS industry.   

At the AGM meeting, members voted for the four successful candidates elected to sit on the Board for the coming year: 

• Ruth Herbert, Managing Director, Business Development & Strategic Initiatives, EET 

• Louise Matthias, Global Head of Government Relations and Public Policy, Climeworks 

• Sophia Northridge, Head of UK Region & Business Development, Equinor 

• Chris Thackeray, Global CCUS Lead, Baringa 

The CCSA Board now comprises 50% women, a figure that the CCSA is very proud of and highlights the great female leaders within the CCUS industry. More details on the Association’s Board members can be found here.  

Olivia Powis, CEO of the CCSA said:  

“Minister Gustafsson brings a renewed sense of energy and ambition to the CCUS investment landscape. It’s clear that this Government has great aspirations when it comes to global climate leadership and promoting investment into the UK’s low-carbon economy” 

“I was very much encouraged by the Minister’s words that CCUS is indispensable. She is absolutely correct, especially for hard to abate sectors such as cement, chemicals and manufacturing. Without carbon capture, these industries will not be able to decarbonise their operations or remain competitive in the global market.  

“I look forward to continuing to work with Minster Gustafsson and the Office for Investment to unlock routes to market for CCUS projects right across the length and breadth of the UK.” 

Notes to Editor 

Photos 

• Left hand: Olivia Powis, CEO of the CCSA 
• Right hand: Minister Gustafsson 

Please see the photo below of the CCSA’s new board members, as well as the CCSA’s LinkedIn post welcoming the new board members here. 

Download high-res versions of these photos here.

Please credit the CCSA 

[Brussels, 27 November] – European Commission President Ursula von der Leyen vowed to publish a new Clean Industrial Deal in the first 100 days of her new mandate. The Deal will be crucial to ensuring not only that European industries can decarbonise, but also create the conditions necessary for them to remain in Europe.

As the EU faces industrial decline – with hundreds of thousands of jobs being lost – and the goal of net-zero emissions by 2050 on the horizon, the Clean Industrial Deal is tasked with the dual ambition of reversing deindustrialisation and accelerating decarbonisation. CCUS technologies emerge as crucial solutions to both these challenges: As stated at the Clean Transition Dialogue[1] in March, reversing deindustrialisation while reaching climate targets is not possible without investing in carbon capture. Therefore, the Clean Industrial Deal must cover CCUS.

The Carbon Capture and Storage Association (CCSA) – the largest European CCUS trade association, representing more than 120 members across the value chain – praises the European Commission for its strong support for CCUS deployment. The introduction of important pieces of EU legislation, such as the Industrial Carbon Management Strategy, outline clear objectives for the deployment of CCUS. Similarly, the Innovation Fund backs many CCUS projects across the EU. However, more needs to be done. If we do not want to lag behind countries forging ahead, like China or the United States, the EU needs to close the funding gap for CCS projects, which, according to the Industrial Carbon Management Strategy, could reach €10 billion by 2030[2].

Olivia Powis, CCSA CEO, said:

“Congratulations to the new College of Commissioners on their appointments, with special recognition to Executive Vice-Presidents Ribera and Séjourné, as well as Commissioners Hoekstra and Jørgensen. We look forward to close cooperation and collaboration in support of delivering an effective Clean Industrial Deal.”

“To reverse Europe’s deindustrialisation and reach net zero, the European Union must increase support in a stable and supportive environment for large-scale investments in clean technologies like CCUS. CCUS is the ace up our sleeve for a cleaner, competitive future. Time to deal it in by putting CCUS at the heart of the Clean Industrial Deal: let’s make this the moment we lead the world in building a clean, industrial powerhouse.”

About the CCSA

CCUS, or Carbon Capture, Utilisation and Storage, is a key low carbon solution – vital to meeting the UK’s statutory Net Zero target at least cost. CCUS enables industrial decarbonisation as well as the production of clean power, clean products (such as cement and chemicals) and clean hydrogen – which can also be used to decarbonise industry. In addition, CCUS also enables greenhouse gas removal from the atmosphere through Direct Air Capture with Storage (DACS) or Bioenergy with CCS (BECCS).

The CCSA is the trade association accelerating the commercial deployment of CCUS, with offices in Brussels and London. We work with members, governments and other organisations to ensure CCUS is developed and deployed at the pace and scale necessary to meet net zero goals and deliver sustainable growth across regions and nations.

The CCSA currently has over 120 member companies who are active in exploring and developing different applications of carbon capture and removals, CO₂ transportation by pipeline and ship, utilisation, geological storage, and other permanent storage solutions, end-users in the power, industry, waste management, fuels, and hydrogen production sectors, plus supply chain, engineering, construction and management, legal and financial consulting sectors.

For media enquiries please email press@ccsassociation.org

References:
(1) – (European Commission). (2024). The clean transition dialogues – stocktaking / A strong European industry for a sustainable Europe. Retrieved from https://commission.europa.eu/publications/clean-transition-dialogues-stocktaking-strong-european-industry-sustainable-europe_en on 27 November 2024.

(2) – (European Commission). (2024). Industrial Carbon Management Strategy. Retrieved from https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:52024DC0062 on 27 November 2024.

[ENDS]

• The UK’s leadership in CCUS deployment through its Cluster approach and leading regulatory framework, offers a model for other nations aiming to scale CCUS

• The UK’s offshore carbon storage capacity exceeds national needs, opening opportunities for international collaboration

• Cross-border CO₂ storage agreements and a long-term allocation framework can create certainty for investors and drive progress in industrial decarbonisation

[London, 20 November] –Speaking at a COP29 side event in Baku, Azerbaijan, Olivia Powis, CEO of the CCSA, emphasised the critical role of Carbon Capture, Utilisation, and Storage (CCUS) technologies in reducing global emissions. She highlighted the UK’s significant offshore carbon storage capacity, which exceeds national requirements, as a potential solution for international CO₂ storage needs, fostering global collaboration in emissions reduction.

Addressing a panel alongside US Dept of Energy, IEA GHG, University of Texas at Austin, Bellona, and the International CCS Knowledge Centre, Olivia addressed the financial and technical challenges of scaling Carbon Capture and Storage (CCS) technologies globally.

Olivia explained that in the UK, the CCUS Cluster approach is aimed at providing the most cost-effective solution with capture projects sharing CO₂ transport and storage infrastructure. As the industry moves forward, we need to move towards a competitive, market-based approach with a regular allocation framework, providing long-term visibility for developers and the supply chain and opening up a European cross-border CO₂ storage market.

The UK has committed to deploying CCUS across industrial regions as part of its ambitious goal to reduce greenhouse gas emissions by 81% by 2035. The UK’s leadership in this field offers valuable lessons for other nations striving to scale up CCUS deployment.

At COP29, Olivia detailed the UK’s leadership in CCUS deployment, offering a model for other nations aiming to scale CCUS. Collaboration between nations is essential for building trust and scaling CCUS effectively, with new projects learning from past experiences.

As global economies phase out the use of fossil fuels and drive progress in industrial decarbonisation, governments need to invest in and deploy all available technologies to transition to a low-carbon economy. CCUS is poised to play a central role in this effort, working alongside other green technologies.

With 2024 projected to be the first year global warming surpasses 1.5°C – the threshold set by the Paris Agreement – the urgency to deploy CCUS and other green technologies has never been greater. This year alone has starkly demonstrated the effects of climate change, with Europe and other regions facing unprecedented loss of life, economic upheaval, and ecological destruction from severe flooding, hurricanes, wildfires, and heatwaves.

The advantages of CCUS are clear. As long as we rely on gas-fired power stations to provide energy when renewable power is low, and continue to use cement to build hospitals, and schools, and chemicals such as fertilisers for food production, we need to find a way to do this without emitting more CO₂ into the atmosphere. For many of these industries, CCUS is the only option and a critical lifeline to support their decarbonisation.

Olivia Powis, CEO of the CCSA said:

“COP29 provided a crucial platform to share insights, address barriers, and showcase the opportunities for scaling CCUS technologies globally. The UK’s leadership in CCUS, combined with international collaboration and innovative financing solutions, will be key to ensuring CCUS plays its full role in global decarbonisation efforts.”

“What we need now is rapid deployment. Industry has already made significant investments in developing CCS projects, particularly in the UK, and with the right regulatory frameworks and government support, we can unlock even more potential. To meet our ambitious climate goals, it’s essential that we move from planning to action and accelerate the development of these critical technologies. The time to act is now.”

Notes to Editors

Key Takeaways from COP29 CCS Financing Event:

Moderated by Tim Dixon of IEAGHG, the side event at COP29 brought together experts to explore pathways for scaling CCS globally.

• Scaling CCS in Emerging Economies
Barriers like high capital costs, limited infrastructure, and regulatory challenges were discussed. Success stories, such as Trinidad and Tobago’s Technology Needs Assessment and Alberta’s TIER system, highlighted how targeted policies and financing can drive CCS progress.

• Global CCS Momentum
Brad Crabtree from the US Department of Energy shared that over 600 CCS projects are in development worldwide, with US tax incentives serving as a model for cost reduction and broader deployment.

• Innovative Financing Solutions
Experts highlighted the importance of mechanisms beyond direct subsidies, including carbon credit trading and international collaboration. Knowledge sharing, as exemplified by the International CCS Knowledge Centre, was noted as essential for effective project scaling.

• The Role of COP29 in Climate Finance
This event took place in the context of COP29’s critical discussions on climate finance, including the establishment of a new collective quantified goal to replace the current $100 billion annual target. Participants also highlighted the importance of operationalising the Loss and Damage Fund, which could support emerging economies in developing CCS projects.

Panellists:
• Tim Dixon – General Manager and Director, IEA Greenhouse Gas R&D Programme (IEAGHG) (Moderator)
• Brad Crabtree – Assistant Secretary, Office of Fossil Energy and Carbon Management (FECM), US Department of Energy
• Katherine Romanak – Researcher, University of Texas at Austin
• Olivia Powis – Chief Executive Officer (CEO), Carbon Capture and Storage Association (CCSA)
• James Fann – President and CEO, International CCS Knowledge Centre
• Olav Øye – Policy Adviser, Bellona Environmental Foundation (Bellona)
• Clarine Ovando-Lacroux – Representative, UN Environment Programme Copenhagen Climate Centre (UNEP-CCC)
• Donneil Cain – Representative, Caribbean Community Climate Change Centre (CCCCC)

This joint side event was hosted by the CCSA, IEAGHG, University of Texas at Austin, Bellona, and the International CCS Knowledge Centre. The event underscored that progress on Article 6.4 of the Paris Agreement could further reduce costs and facilitate international cooperation in CCS deployment.

About the CCSA

CCUS, or Carbon Capture, Utilisation and Storage, is a key low carbon solution – vital to meeting the UK’s statutory Net Zero target at least cost. CCUS enables industrial decarbonisation as well as the production of clean power, clean products (such as cement and chemicals) and clean hydrogen – which can also be used to decarbonise industry. In addition, CCUS also enables greenhouse gas removal from the atmosphere through Direct Air Capture with Storage (DACS) or Bioenergy with CCS (BECCS).

The CCSA is the trade association accelerating the commercial deployment of CCUS, with offices in the UK and Belgium. We work with members, governments and other organisations to ensure CCUS is developed and deployed at the pace and scale necessary to meet net zero goals and deliver sustainable growth across regions and nations.

The CCSA currently has over 120 member companies who are active in exploring and developing different applications of carbon capture and removals, CO₂ transportation by pipeline and ship, utilisation, geological storage, and other permanent storage solutions, end-users in the power, industry, waste management, fuels, and hydrogen production sectors, plus supply chain, engineering, construction and management, legal and financial consulting sectors.

For media enquiries please email press@ccsassociation.org

[End]

[London, 12 November] – The Carbon Capture and Storage Association (CCSA) welcomes Prime Minister Keir Starmer’s COP29 announcement of the UK’s ambitious target to reduce all greenhouse gas emissions by at least 81% on 1990 levels by 2035.

The UK, one of the first countries to submit its updated Nationally Determined Contribution (NDC) under the Paris Agreement, has set a powerful example of climate leadership at a critical time in the net zero transition.

With 2024 projected to be the first year global temperatures exceed the 1.5°C limit of the Paris Agreement, and with extreme weather events causing unprecedented ecological and economic damage worldwide, the need for decisive action on reducing emissions has never been greater.

Achieving the 81% reduction target will require comprehensive decarbonisation of the power sector. Despite a positive increase in the development of renewable technologies, Gas-fired power remains an important part of the UK’s energy mix to ensure a consistent supply of energy to UK homes and businesses, especially during recent periods of low renewable generation. The use of power generation from CCS-equipped gas fired power stations is an important aspect of supporting a just transition towards a resilient and reliable low-carbon energy system.

Carbon Capture, Utilisation, and Storage (CCUS) plays a crucial role in preventing millions of tonnes of CO₂ from reaching the atmosphere. It is essential not only for achieving emissions targets but also for ensuring energy security, as it provides the flexibility needed to balance the grid and support industries like manufacturing and transportation during periods of low wind and solar power.

The UK’s first two CCUS projects, HyNet and the East Coast Cluster, are set to capture over 8.5 million tonnes of CO₂ annually—the equivalent of removing nearly four million cars from off the road. These projects mark a vital step towards positioning the UK as a global leader in CCUS technology, supporting key industries and driving decarbonisation in critical sectors such as cement and chemicals.

According to the latest national greenhouse gas emissions statistics, the 81% reduction represents a decrease from 813 million tonnes of CO₂ equivalent (MtCO₂e) in 1990 to 154 MtCO₂e by 2035.(1) Given the UK’s target of achieving 20-30 Mtpa of CCUS by 2030 and 50 Mtpa by 2035, it is evident that CCUS will be instrumental in achieving this reduction goal.

The CCSA looks forward to continuing to work with the Government to achieve this ambitious target and secure the UK’s energy future.

Olivia Powis, CEO of the CCSA said:

“CCUS is an essential element of industrial decarbonisation and climate mitigation plans. With the UN’s clear warning about the risks of delay, urgent action is needed to protect people, the planet, and economies.”

“By setting the ambitious target of an 81% emissions reduction by 2035, the Prime Minister has shown a strong commitment to decarbonising the economy and advancing CCUS deployment in the UK’s industrial heartlands. It’s vital we keep up the momentum on CCUS technology to meet our emission reduction goals.”

Notes to Editors

Press Pack: Infographics and an animation accompany the press release for use. Download the press pack here.

About the CCSA

CCUS, or Carbon Capture, Utilisation and Storage, is a key low carbon solution – vital to meeting the UK’s statutory Net Zero target at least cost. CCUS enables industrial decarbonisation as well as the production of clean power, clean products (such as cement and chemicals) and clean hydrogen – which can also be used to decarbonise industry. In addition, CCUS also enables greenhouse gas removal from the atmosphere through Direct Air Capture with Storage (DACS) or Bioenergy with CCS (BECCS).

The CCSA is the trade association accelerating the commercial deployment of CCUS, with offices in the UK and Belgium. We work with members, governments and other organisations to ensure CCUS is developed and deployed at the pace and scale necessary to meet net zero goals and deliver sustainable growth across regions and nations.

The CCSA currently has over 120 member companies who are active in exploring and developing different applications of carbon capture and removals, CO₂ transportation by pipeline and ship, utilisation, geological storage, and other permanent storage solutions, end-users in the power, industry, waste management, fuels, and hydrogen production sectors, plus supply chain, engineering, construction and management, legal and financial consulting sectors.

For media enquiries please email press@ccsassociation.org

References:
(1) – (Department for Business, Energy & Industrial Strategy (BEIS) and Department for Energy Security and Net Zero (DESNZ). (2023). Final UK greenhouse gas emissions national statistics: 1990 to 2021 (Accredited official statistics). Retrieved from https://www.gov.uk/government/statistics/final-uk-greenhouse-gas-emissions-national-statistics-1990-to-2021 on 12 November 2024.

[ENDS]

– Mark Sommerfeld has been appointed as CCSA UK Director, starting in December 2024, following nine years at the Association for Renewable Energy and Clean Technology (REA).

– Mark has considerable experience of Carbon Capture, Utilisation & Storage (CCUS), particularly Bioenergy Carbon Capture and Storage (BECCS).
– Mark’s appointment bolsters the trade association’s mission to see CCUS developed at pace across the UK.

[London, 11 November] – Mark Sommerfeld has been appointed as UK Director of the Carbon Capture and Storage Association (CCSA) and will start in December, following Olivia Powis’s appointment as CEO in September 2024.

Mark brings 13 years of experience in the energy sector and will lead the CCSA’s work on the commercial deployment of large-scale integrated CCUS Clusters and projects across the UK.

During his time at the REA, Mark supported the development of Bioenergy Carbon Capture and Storage (BECCS), working across biomass power, energy from waste and anaerobic digestion sectors, and brings considerable expertise to the CCSA on the need to deploy these important technologies to combat climate change.

Mark joins at a critical time for the CCUS industry, which is on the cusp of deploying projects in the UK. The Government’s funding commitment in October for the first two CCUS clusters in the North West and North East of England will see CO₂ emissions reduced from industrial processes, hydrogen and low carbon power generation. These projects will also create thousands of new highly skilled jobs and protect thousands of existing jobs in critical industries like cement, chemicals and manufacturing.

The UK Government has confirmed that CCUS is essential to meeting our net zero targets, and the Climate Change Committee (CCC) has recommended that the UK’s Nationally Determined Contribution (NDC) commits to reduce territorial greenhouse gas emissions by 81% from 1990 to 2035. Both are important as governments and stakeholders head to Baku for COP29 to discuss emissions reduction.

The CCSA has been working with the Government to secure the UK’s position as a world leader in CCUS and low carbon hydrogen production, and to meet the CCC’s target of 20-30 million tonnes (Mt) of CO₂ captured and stored by 2030, rising to 50-60 Mt by 2035. The appointment of Mark as UK Director provides the trade association with additional expertise and experience to drive forward CCUS to decarbonise the UK’s industrial heartlands, deliver energy security and create jobs in a new low-carbon economy.

Mark Sommerfeld said:

“After more than a decade working alongside a wide range of renewable energy developers and operators, I am thrilled to join the CCSA at such a pivotal time. Achieving net zero demands a comprehensive approach, including carbon capture and carbon removal technologies, alongside low-carbon generation. As such, I am excited to build on my experience to help deliver this critical sector.”

“With recent Government commitments, the UK continues to lead carbon capture deployment. Scaling this technology will drive decarbonisation across key industrial sectors while unlocking significant economic benefits—creating jobs, enhancing skills, and advancing clean growth across the UK.”

“I look forward to working with our members, the Government, and stakeholders to accelerate deployment and reach the ambitious net zero targets essential to our climate and economy.”

Olivia Powis, CEO of the CCSA said:

“We are thrilled to have Mark join us. He brings considerable energy sector experience to bolster our team of experts, all of whom are committed to tackling climate change and seeing CCUS developed at pace to decarbonise British industries.”

“With the UK CCUS industry at an exciting point in its development, Mark will no doubt have a significant impact on the CCSA’s important work supporting our members to rollout this important net zero transition technology.”

Notes to Editors

Mark Sommerfeld Biography

Mark joins the CCSA after serving as Deputy Director of Policy at the Association for Renewable Energy and Clean Technology (REA). Mark has 13 years experience in the energy sector, spanning energy supply and voluntary carbon trading, alongside advocating for a diverse range of renewable and low-carbon technologies.

At the REA, Mark led policy efforts on bioenergy carbon capture and storage, working across biomass power, energy from waste, and anaerobic digestion sectors. Mark spearheaded the REA’s advocacy for greenhouse gas removal initiatives, Power BECCS, and Industrial Carbon Capture business models, and the REA’s work on the development of the UK Biomass Strategy

During Mark’s career, he has sat on multiple government-industry task forces across energy and infrastructure topics, is a Fellow of the Royal Geographical Society and an alumni of Cambridge University and Cambridge Institute for Sustainability Leadership.

About the CCSA

CCUS, or Carbon Capture, Utilisation and Storage, is a key low carbon solution – vital to meeting the UK’s statutory Net Zero target at least cost. CCUS enables industrial decarbonisation as well as the production of clean power, clean products (such as cement and chemicals) and clean hydrogen – which can also be used to decarbonise industry. In addition, CCUS also enables greenhouse gas removal from the atmosphere through Direct Air Capture with Storage (DACS) or Bioenergy with CCS (BECCS).

The CCSA is the trade association accelerating the commercial deployment of CCUS, with offices in the UK and Belgium. We work with members, governments and other organisations to ensure CCUS is developed and deployed at the pace and scale necessary to meet net zero goals and deliver sustainable growth across regions and nations.

The CCSA currently has over 120 member companies who are active in exploring and developing different applications of carbon capture and removals, CO₂ transportation by pipeline and ship, utilisation, geological storage, and other permanent storage solutions, end-users in the power, industry, waste management, fuels, and hydrogen production sectors, plus supply chain, engineering, construction and management, legal and financial consulting sectors.

For media enquiries please email press@ccsassociation.org

[End]