In the race to achieve carbon neutrality, China’s “Dual Carbon” strategy has spotlighted Carbon Capture, Utilization, and Storage (CCUS) as a linchpin technology. Yet, as the nation transitions from pilot projects to full-scale commercial applications, significant hurdles remain. A recent study published in the journal ‘能源环境保护’ (Energy, Environment and Protection) sheds light on these challenges and offers a roadmap for policy innovation to drive CCUS forward.
Led by YAO Xing, a researcher at the School of Economics and Management, Beihang University, the study delves into the policy mechanisms that could accelerate the deployment of CCUS technologies. “The disconnect between technological innovation, project operation, market development, and policy formulation is a critical bottleneck,” YAO explains. “Addressing this gap is essential for the large-scale industrial development of CCUS.”
The research examines the policy tools employed by global leaders in CCUS development, including the United States, the United Kingdom, Australia, and the European Union. Each region has adopted unique strategies, from macro-support policies that foster a favorable environment to administrative orders that mandate CCUS adoption in specific industries. Financial incentives and market mechanisms also play pivotal roles, creating economic drivers for investment and innovation.
One of the study’s key insights is the synergistic effect of these policy tools. “It’s not just about picking one policy and hoping for the best,” YAO notes. “The real power comes from a combination of policies that work together to create a robust support system for CCUS.”
For the energy sector, the implications are profound. CCUS technology promises to make fossil fuel use more sustainable, aligning with China’s carbon peaking and neutrality goals. However, the path to commercialization is fraught with challenges, including high upfront costs and technological uncertainties. The study’s recommendations could pave the way for more effective policy interventions, fostering a more favorable environment for CCUS projects.
The research also highlights the opportunities that lie ahead. As China continues to invest in clean energy technologies, CCUS could emerge as a significant player, creating new markets and driving industrial development. The study’s findings provide valuable insights for policymakers and industry stakeholders, offering a blueprint for navigating the complexities of CCUS deployment.
In an era where climate change is at the forefront of global concerns, YAO’s work underscores the importance of strategic policy-making. By learning from international experiences and tailoring policies to China’s unique context, the nation can accelerate the development of CCUS technologies, contributing to a more sustainable energy future. As the world watches, China’s approach to CCUS could set a new standard, shaping the future of the energy sector and the fight against climate change.
