The global carbon capture capacity is on track to double to over 100 million tonnes per year of carbon dioxide, once facilities currently under construction commence operation according to a new report from the Global CCS Institute.
Australia-headed Global CCS Institute, an international think tank whose mission is to accelerate the deployment of Carbon Capture and Storage (CCS), has released its Global Status of CCS 2024 report showcasing significant year-on-year momentum for CCS projects globally, as governments and industries around the world collaborate to reduce greenhouse gas (GHG) emissions and reach net zero as quickly as possible.
Report findings show strong growth in CCS projects across all stages of development, with a total of 628 projects in the pipeline, an increase of 236 projects compared to the previous year.
The cumulative carbon dioxide (CO2) capture capacity for these projects is now 416 million tonnes per annum, representing a seven-year compound annual growth rate (CAGR) of 32 percent.
Facilities currently in operation can capture and store 51 million tonnes per annum (Mtpa) of CO2. This figure is on track to double to over 100 Mtpa once facilities currently under construction commence operation.
The CCS industry is rapidly maturing and evolving, catalyzed by global collaboration, sustained government policy support, and industry action built on decades of shared learnings. This is a testament to the urgency with which governments and industries are seeking to address climate change while continuing to supply the world’s growing population with necessary energy services and commodities, said Jarad Daniels, CEO of the Global CCS Institute.
Regionally, key highlights from the report included:
- The Americas continue to lead the world in CCS facility deployment, catalyzed by sustained policy support and funding incentives: 27 projects are in operation, and 18 are commencing construction across the United States, Brazil, and Canada.
- Across Asia, storage hubs and cross-border CCS projects are a major focus and dominant trend, as nations with limited geological storage resources explore opportunities with nations that have large storage resources, to store their CO2.
- In China, Carbon Capture Utilisation and Storage (CCUS) forges ahead, spurred by climate policy progress, CCUS project deployment, and increased international collaboration.
- Across Europe and the UK, decarbonization policies and anticipation of a robust CCS market are driving new projects: 191 projects are at various stages of development in the region, including five in operation and 10 in construction.
- Across the Middle East and Africa (MEA), CCS project development has evolved from application in enhanced oil recovery to a focus on industrial decarbonization and low-carbon fuel development.
As progress continues at pace globally, the business case for CCS is being bolstered with the evolution of new carbon management business models and strong interest in CCS hubs and networks.
The 2024 status report notes 222 transport and storage projects, which currently do not include an associated capture facility.
This number has more than doubled over 12 months. This underscores the predominance of new carbon management business models and the anticipated market for these services.
Mitigating climate change will require massive infrastructure investments, including new transmission grids for low-carbon electricity generation, as well as pipelines and shipping for both CO₂ and low-carbon energy carriers such as hydrogen in various forms. Carbon management hubs and networks can help bring economies of scale to this required new infrastructure, said Jarad Daniels.
Against the backdrop of exponential growth in CCS projects, ongoing regional progress, and the emergence of new carbon management business models, the 2024 status report calls on all stakeholders to maintain the momentum.
We are calling on government, industry, communities, and all who share our common goal of reaching net zero as quickly as possible, to work together to continue and improve on our collaborative efforts. Collaboration over decades has taken CCS from early research to where we are today. Although we still face challenges, I am immensely optimistic that these will be overcome by continuing to build and grow key partnerships, ended Jarad Daniels.
