EU project network
Global CCS Institute Member Meeting08 May 2012
Kai Tullius, Policy OfficerDG ENERGY C1
Where do we stand on CCS?
• EU committed to up to 12 CCS demonstration projects by 2015; a necessity for commercial deployment after 2020
• 2 European funding instruments and the project network were introduced
• Projects face delays
• How to revitalise the European demonstration programme?
• Which role can the CCS project network play?
Energy Roadmap 2050 basis for developing a long-term policy framework
. EU objective for 2050 – GHG emissions down to 80-95% below 1990 levels
. Looks forward to elaboration of a low-carbon 2050 strategy – a framework for longer-term action in energy and related sectors
. Give more certainty to governments and investors
. Explore routes towards a low-carbon energy system by 2050 which improve competitiveness and security of supply
. Basis for developing the 2030 policy framework and concrete milestones with MS, EP and stakeholders
European Council Aim of the roadmap
Energy Mix, Roadmap 2030/2050
Investments in coal plants to 2050- Low Carbon Supply Technologies scenario
Investments in gas plants to 2050- Low Carbon Supply Technologies scenario
CO2 Emissions in 2008
0
50
100
150
200
250
300
350
MT/Year - Energy
MT/Year - Industry
6 Conditions for successful CCS
• 1) Legislative Framework• 2) Successful Demonstration• 3) Commercial Viability • 4) Public Acceptance• 5) Infrastructure• 6) Innovation
1) Legislative Framework
• Legislation• Storage is enabled by the CCS Directive
(2009/31/EC)
• Transposition in MS• Deadline June 2011• Most MS hosting demonstration projects
transposed by spring 2012
• Challenges• Does legislation enable CCS in MS?
2) CCS demonstration programmeEEPR Projects
Don Valley, UK
900 MW
Compostilla, ES323MW Porto Tolle, IT
250MW
Jänschwalde, DE300MW
Bełchatów, PL250MW
Rotterdam,NL250MW
3) Commercial Viability
• Investments in CCS demonstration will only take place if a business model for commercial roll out exists
• CCS can be commercially viable after 2020 at a carbon price of €40-45 per ton of CO2
• If the carbon price stays below that price additional support is needed not only for demonstration projects but also for subsequent deployment
4) Public Acceptance
• Experience from projects: regional differences and little resistance against offshore storage
• Cross border transport and offshore storage
5) CO2 Infrastructure
• Energy Infrastructure legislative proposal adopted in Oct 2011
• Support regional co-operation – regional clusters expected to kick-start the network
6) InnovationCCS European Industrial Initiative
• Strategic objective• To demonstrate the commercial viability of CCS
technologies for subsequent deployment
• Technology objectives• Prove the technical and economic feasibility of CCS
using existing technology• Develop more efficient and cost competitive CCS
technologies
• Actions• Realisation of a large scale demonstration programme• Establishment of an R&D programme on efficiency,
capture, transport, and storage• CCS project network and international knowledge
sharing
CCS Project Network / Knowledge Sharing
• What is the CCS Project Network?
• Why establish a knowledge sharing platform?
• How does the Network operate?
What is the CCS project network?
Why is knowledge sharing relevant?
How does the network operate?
Conclusions
• Fossil Fuels will remain in the Energy Mix
• CCS is needed for decarbonising the energy and other industrial sectors
• CCS is at a crossroads
• In the absence of a strong carbon price, additional support mechanisms for demonstration and deployment need to be set up
• Global Knowledge Sharing of increasing importance