22.07.2021

CCUS Supply Chain Report Showcases Major UK Opportunity

The Carbon Capture and Storage Association (CCSA), the trade body for the Carbon Capture, Utilisation and Storage (CCUS) industry in the UK, has today published a report on developing the UK supply chains to deliver a successful CCUS rollout programme, in line with Net Zero.

The report “Supply Chain Excellence for CCUS” has been developed with input from sector experts from almost 50 organisations; including BEIS and the Energy Industries Council (EIC).

The report concludes that expenditure on CCUS (including hydrogen and greenhouse gas removals) could reach £41 billion by 2035, and with strategies to support domestic companies, the UK could develop a CCUS supply chain with a high proportion of UK jobs and local manufacturing of products and goods – delivering significant benefits to regional economies in the UK’s industrial heartlands.

Olivia Powis, Head of UK Office at the CCSA, said:

“Due to geographical advantages and world-leading skills and expertise, the UK has a unique opportunity to become a global leader in the development of CCUS. The next decade will be critical for CCUS deployment and by implementing the recommendations in today’s report, we have the opportunity to create a strong UK supply chain, providing significant domestic jobs and growth.

This will boost the UK’s prosperity and make a significant contribution to the Government’s levelling up agenda, whilst at the same time creating important export opportunities for UK companies in a global market estimated to be worth several hundreds of billions of pounds by 2050”.

James Smith, Co-chair of the CCUS Council, said:

“Net zero is by far the biggest infrastructure project the UK has pursued in peacetime. Successful delivery demands excellent supply chains. Excellent supply chains create major opportunities for the UK to rejuvenate and rebuild its industrial base.”

 

ENDS

Notes to Editors

The CCSA report “Supply Chain Excellence for CCUS” is published on the 22nd July and can be downloaded below.

The report sets out five key recommendations:

1. Clusters to work with industry and mobilise a cross-industry team to build on this report and develop supportive supply chain strategies for the CCUS industry.

2. Work with industry on the development of strategies for the following opportunities:

  • Industry to review and identify which technologies/ equipment would benefit from modularisation and standardisation and assess the potential for UK supply chains to competitively make fully modularised plant.
  • Project owners to promote policies and commercial constructs that can maximise the opportunities for UK engineering and design companies and support them to export project expertise in CCUS technology.
  • Foster a UK-based pre-combustion supply chain, from novel blue hydrogen production technology to compressors, meters and burners.
  • Industry to engage the UK base materials sector (e.g. steel, plastics, composites and hosing) to produce the products required by CCUS.
  • Government to identify opportunities to engage in the development of novel post combustion, BECCS and DACCS technologies which must be built to prevalence for the UK to meet its Net Zero target.

3. Clusters to inform and prepare UK supply chains on the equipment and services that will be required by the emerging CCUS sector to avoid future bottlenecks and provide visibility for the near-future opportunities.

4. Industry to develop strategies that focus on creating skilled, long-term jobs, a diverse workforce and levelling-up the regions.

5. Government to ensure effective delivery and coordination of UK supply chain activities.

For media enquiries please contact Judith Shapiro on 07719763133 or email judith.shapiro@ccsassociation.org

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