CCUS in Clean Energy Transitions - Weltenergierat

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Page 1 CCUS in Clean Energy Transitions YEF CCUS workshop, 11 December 2020 Adam Baylin-Stern, CCUS Unit, IEA

Transcript of CCUS in Clean Energy Transitions - Weltenergierat

Page 1: CCUS in Clean Energy Transitions - Weltenergierat

Page 1

CCUS in Clean Energy Transitions

YEF CCUS workshop, 11 December 2020

Adam Baylin-Stern, CCUS Unit, IEA

Page 2: CCUS in Clean Energy Transitions - Weltenergierat

IEA 2019. All rights reserved. Page 2

Carbon capture, utilisation and storage: an overview

CaptureCapturing CO2 from fossil or biomass-

fuelled power stations, industrial

facilities, or directly from the air.

TransportMoving compressed CO2 by ship or

pipeline from the point of capture to

the point of use or storage.

UseUsing captured CO2 as an

input or feedstock to create

products or services.

StoragePermanently storing CO2 in

underground geological

formations, onshore or offshore.

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A new dawn for CCUS

• Stronger investment incentives and climate targets are building new momentum behind CCUS:

- More than 30 new projects announced recently

- Governments and industry have committed USD 4.5 billion in 2020

• CCUS can contribute to emissions reductions across the energy system, with four strategic roles:

- Tackling emissions from existing energy assets;

- A platform for low-carbon hydrogen production;

- A solution for the most challenging emissions in sectors such as heavy industry & aviation; and

- Removing carbon from the atmosphere

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-40

-30

-20

-10

0

2019 2030 2040 2050 2060 2070

GtC

O2/y

r

CCUS is part of a portfolio of technologies for net zero

Clean energy technology progress in the power sector and with electric cars is encouraging, but alone not sufficient

to reach climate goals. A broad portfolio of technologies will be needed for a transition to net-zero emissions.

Net-zero emissions

Power generation

Electric cars

Airplanes, ships, trucks,

buses, etc.

Industry

Buildings & other

Global CO2 emissions reductions in the Sustainable Development Scenario, relative to baseline trends

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IEA 2020. All rights reserved. Page 5

-40

-30

-20

-10

0

2019 2030 2040 2050 2060 2070

GtC

O2/y

r

CCUS is part of a portfolio of technologies for net zero

Clean energy technology progress in the power sector and with electric cars is encouraging, but alone not sufficient

to reach climate goals. A broad portfolio of technologies will be needed for a transition to net-zero emissions.

Net-zero emissions

Power generation

Electric cars

Airplanes, ships, trucks,

buses, etc.

Industry

Buildings & other

Global CO2 emissions reductions in the Sustainable Development Scenario, relative to baseline trends

Electrification

Hydrogen

Bioenergy

CCUS

Avoided demand

Measures

Technology performance

Renewables

Other fuel shifts

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Experience with CCUS has expanded in the last decade

0

10

20

30

40

1980 1990 2000 2010 2020

Mt

CO₂

/ ye

ar

Bioethanol

Fertiliser

Steel

Synfuel

Natural gas processing

Hydrogen

Power generation

Source: IEA analysis based on GCCSI (2020), Facilities Database, https://co2re.co/FacilityData.

Carbon capture facilities have been operating since the 1970s and 1980s

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Experience with CCUS has expanded in the last decade

Carbon capture facilities have been operating since the 1970s and 1980s

But a significant scale-up will be required for net-zero.

Source: IEA analysis based on GCCSI (2020), Facilities Database, https://co2re.co/FacilityData.

0

2

4

6

8

10

2020 2070

Gt C

O₂

/ ye

ar Synthetic fuels (CO₂ use)

Cement

Hydrogen, biofuels and

other fuel processing

Biomass power

Coal power

Gas power

Steel

Chemicals

Direct air capture

Net Zero

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Four strategic roles for CCUS

1. Tackling emissions from

existing infrastructure

CCUS enables the continued operation of power and industrial plants – many of which have only recently been built

It is a low-cost option for low-carbon hydrogen production in many regions

0

200

400

600

800

Lessthan 10years

10-20years

20-30years

30-40years

40-50years

Morethan 50years

GW Coal power capacity – average age

United States

European Union

China

Other developingAsia

Japan

Middle East

Other

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IEA 2020. All rights reserved. Page 9

Four strategic roles for CCUS

1. Tackling emissions from

existing infrastructure

2. A platform for low-carbon

hydrogen production

0

100

200

300

400

500

600

2019Net-zero

MtH

2/y

r

CCUS enables the continued operation of power and industrial plants – many of which have only recently been built

It is a low-cost option for low-carbon hydrogen production in many regions

0

200

400

600

800

Lessthan 10years

10-20years

20-30years

30-40years

40-50years

Morethan 50years

GW Coal power capacity – average age

United States

European Union

China

Other developingAsia

Japan

Middle East

Other

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IEA 2020. All rights reserved. Page 10

Four strategic roles for CCUS

1. Tackling emissions from

existing infrastructure

2. A platform for low-carbon

hydrogen production

0

100

200

300

400

500

600

2019Net-zero

MtH

2/y

r

CCUS enables the continued operation of power and industrial plants – many of which have only recently been built

It is a low-cost option for low-carbon hydrogen production in many regions

0

200

400

600

800

Lessthan 10years

10-20years

20-30years

30-40years

40-50years

Morethan 50years

GW Coal power capacity – average age

United States

European Union

China

Other developingAsia

Japan

Middle East

Other

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IEA 2020. All rights reserved. Page 11

Four strategic roles for CCUS

1. Tackling emissions from

existing infrastructure

2. A platform for low-carbon

hydrogen production

0

100

200

300

400

500

600

20192070Net-zero

MtH

2/y

r

Refining

Power

Transport

Buildings

Industry

Synfuel production

Ammonia production

CCUS enables the continued operation of power and industrial plants – many of which have only recently been built

It is a low-cost option for low-carbon hydrogen production in many regions

0

200

400

600

800

Lessthan 10years

10-20years

20-30years

30-40years

40-50years

Morethan 50years

GW Coal power capacity – average age

United States

European Union

China

Other developingAsia

Japan

Middle East

Other

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IEA 2020. All rights reserved. Page 12

Four strategic roles for CCUS

1. Tackling emissions from

existing infrastructure

2. A platform for low-carbon

hydrogen production

0

100

200

300

400

500

600

201920702070

Electrolysers

Fossil fuels with CCUS

Other

Net-zero

MtH

2/y

r

CCUS enables the continued operation of power and industrial plants – many of which have only recently been built

It is a low-cost option for low-carbon hydrogen production in many regions

0

200

400

600

800

Lessthan 10years

10-20years

20-30years

30-40years

40-50years

Morethan 50years

GW Coal power capacity – average age

United States

European Union

China

Other developingAsia

Japan

Middle East

Other

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Four strategic roles for CCUS

3. A solution for the most challenging

emissions

CCUS

Cement

*Hydrogen, bioenergy, electrification, and fuel shifts

Material efficiency

Other*

CCUS plays an indispensable role in heavy industry, particularly cement

Bioenergy with CCS and direct air capture can balance hard-to-abate emissions for net zero

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Four strategic roles for CCUS

3. A solution for the most challenging

emissions

4. Removing carbon from

the atmosphere

CCUS

Cement

*Hydrogen, bioenergy, electrification, and fuel shifts

Material efficiency

Other*

Bioenergy with CCS

Direct Air Capture

Supply

Other demand

Heavy industry

Long distance transport

- 3

- 2

- 1

0

1

2

3

GtC

O₂/

ye

ar

Net zero carbon balance

CCUS plays an indispensable role in heavy industry, particularly cement

Bioenergy with CCS and direct air capture can balance hard-to-abate emissions for net zero

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Government and industry action this decade is crucial

• Four high-level priorities for governments and industry would accelerate the progress of CCUS over the

next decade:

1. Create the conditions for CCUS investment

2. Target the development of industrial hubs with shared CO2 infrastructure

3. Identify and encourage the development of CO2 storage

4. Boost innovation for critical CCUS technologies

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