The number of carbon capture and storage (CCS) projects in operation or construction is growing and will continue to grow, according to the Global Status of CCS: 2011 report released today.
The Global Institute’s flagship annual report identifies 74 large-scale integrated CCS projects around the world, 14 of which are either operating or under construction.
“Over the last year there has been good progress, with more projects entering construction and a clustering of projects in advanced stages of development planning,” said Institute CEO Brad Page, in an institute press release.
“There are now eight large scale projects in operation around the world and six under construction. Another 10 projects or so will likely be in a position to decide whether to go into construction in the next year.”
He added, “It is encouraging that if this rate of progress holds steady, we will likely have 20 large-scale integrated demonstration projects operational by 2020, which has been the international community’s goal.”
In the past year one project began operation and three commenced construction. Two large-scale power generation projects with CCS are under construction, one in the US and one in Canada.
The developments are occurring against a backdrop of a softening global economy, a lack of carbon price incentives in major emitter regions, and largely static government support.
The report highlights the challenges around building a viable business case for a CCS demonstration project under these circumstances.
“All projects that currently operate, either already capture CO2 as part of an existing process, earn revenues by selling CO2 for processes like enhanced oil recovery, or already have advanced understanding of storage reservoirs saving them years of costly research,” Page said.
“Another challenge is that we are not seeing enough projects under development in the iron and steel, cement and other high emitting industries. CCS will need to be applied across such sectors if much needed global emissions reductions are to be achieved.”
The report can be accessed at www.globalccsinstitute.com/publications/global-status-ccs-2011