The Global CCS Institute’s latest insights reveal a significant uptick in carbon capture and storage (CCS) projects worldwide, signaling a critical juncture in the global pursuit of net-zero emissions. CCS technologies, now commercially available for nearly any carbon dioxide source, are increasingly seen as indispensable for decarbonizing emissions-intensive industries—from electricity generation to cement, steel, and hydrogen production. The versatility of CCS extends to direct air capture, further broadening its application in the fight against climate change.
The Institute’s 2024 Global Status of CCS Report highlights a remarkable 60% year-on-year increase in CCS projects, with an additional 15% growth since the report’s release. Currently, 65 operational CCS facilities are capturing and storing 57 million tonnes per annum (Mtpa) of carbon dioxide. Notable recent additions include Santos Moomba CCS in Australia, China National Energy’s projects in Ningxia and Xinjiang, Eni’s initiatives in Italy, and Northern Lights in Norway. With 42 facilities under construction and 272 in advanced development, the momentum is palpable. Slovakia and Vietnam have also entered the CCS landscape, expanding the global footprint of this technology.
Regional innovation and collaboration are driving this progress. China, for instance, is spearheading large-scale CCS projects like the Huaneng Longdong project, set to capture 1.5 Mtpa of carbon dioxide from coal-fired power plants. China’s leadership extends to international research collaborations aimed at industrial decarbonization. In Asia, cross-border CCS projects are gaining traction, with countries like Japan, South Korea, and Singapore seeking storage solutions abroad, while Indonesia and Malaysia develop the necessary policy frameworks to support these initiatives.
In the Americas, Brazil has made significant strides with its “Fuels of the Future Bill” and successful CCS operations at the Petrobras Santos Basin. The United States continues to foster CCS growth through stable federal policies, including the EPA’s Class VI permitting and 45Q tax credits. Europe and the UK are strengthening the business case for CCS with legislated net-zero targets, supportive policies, and substantial funding, such as the £21.7 billion allocated for the UK’s East Coast and West Coast CCS clusters.
The Middle East is also positioning itself as a leader, with Saudi Arabia and the UAE establishing large-scale carbon hubs and advancing cross-border projects. These initiatives underscore the global recognition of CCS’s role in achieving climate goals.
Beyond emissions abatement, CCS is spurring low-carbon industry development and diversification. Projects in cement, bioenergy, ethanol, and hydrogen production are surging, reinforcing CCS’s role in economic resilience and industrial competitiveness. Hydrogen, in particular, is emerging as a key player in the net-zero transition, with CCS-enabled low-carbon hydrogen supporting decarbonization efforts across various sectors.
Despite these advancements, the path forward is fraught with challenges. Achieving the necessary scale of CCS deployment requires annual carbon dioxide capture and storage rates to reach approximately 1 gigatonne per annum by 2030. Currently, operational projects capture only 57 Mtpa, highlighting the substantial work ahead. The business case for CCS remains a critical factor, with the need for robust policy and regulatory frameworks to drive investment. Governments must establish clear guidelines, incentives, and carbon valuation mechanisms to facilitate scalable CCS deployment.
Investment challenges, including political uncertainty and inflation-driven cost increases, further complicate the landscape. Societal considerations, such as public perception and community engagement, are also pivotal for successful CCS implementation. Global collaboration is essential to overcome these hurdles. Platforms like the Asia CCUS Network, the Carbon Management Challenge, the Clean Energy Ministerial, and Mission Innovation are proving invaluable in driving ambition and sharing knowledge.
As the global community navigates the complexities of CCS deployment, the Institute emphasizes the need for continued innovation, collaboration, and supportive policies. The rapid growth in CCS projects is a promising sign, but achieving net-zero targets will require sustained effort and collective action. The future of CCS is bright, but its success hinges on our ability to scale and deploy this technology effectively and equitably.