UK CCS policies, especially industrial CCS
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UK CCS policies, focusing on industrial CCS Jane Lumb ICCS policy lead, BIS
Transcript of UK CCS policies, especially industrial CCS
UK CCS policies, focusing on industrial CCS
Jane Lumb ICCS policy lead, BIS
UK CCS policies • 1st phase
– Power CCS commercialisation programme – Research and Development – Storage appraisal
• 2nd phase – Next steps on power – ICCS
• Focus on ICCS – TES – Teesside City Deal – Next steps
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Power CCS Commercialisation Programme
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• £1bn / $1.7bn capital funding
• Operational support through CfDs
Construction and commissioning
Turn of
2013/4
Q1
2016 2016 - 2020
Winter
2012
April
2012
March
2013
White Rose
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• A 340MW post-combustion capture retrofitted to part of an existing CCGT at Peterhead, Scotland
• Capturing around 85% of the carbon dioxide emissions, ~ 1 million tonnes of CO2 per year
• Stored in a depleted gas field under the North Sea
• An oxyfuel capture project at a proposed new 448MW supercritical coal-fired power station on the Drax site in North Yorkshire, England
• Capturing around 90% of all carbon dioxide emissions, ~ 2 million tonnes of CO2 per year
• Stored in natural porous rock formations under the North Sea
Peterhead
R&D and innovation • £125M on around 100 projects
– Whole system – Capture – Utilisation – Conversion and generation – Transport and storage
• Storage appraisal project
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Next phase • Power projects coming
forward without capital funding from Government
• Support for power projects through CfDs
• Developing policy to
support ICCS
• Working to strengthen the business case
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INDUSTRIAL CCS
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Why Industrial CCS (ICCS)? • Only substantial option to decarbonise:
– Iron and steel – Refineries – Chemicals – Cement
• Carbon pricing of emissions expect to continue so for these 4 sectors ICCS key to: – industrial competitiveness – jobs and growth – countering carbon leakage
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Climate Change
The Economy
Techno-Economic Study 2014 – Key Questions • Technologies for ICCS • Technology Readiness • Costs • CCU • Retrofit only • Process emissions focus • Capture only • Route to capture by 2025
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Heat Strategy and Policy
52 Industrial CO2 sources
Legend
Sector: Iron and Steel Refineries Cement Chemicals
Emissions (t CO2/yr):
100,000 1,000,000 6,000,000
Southern North Sea
storage
East Irish Sea
storage
Central North Sea Storage
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MACC curve of capture technologies
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• Commercial requirements • Knowledge gaps • Site integration • Operational risks • Policy, regulatory and long term investment
certainty • Infrastructure availability (transport and storage) • Energy costs
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Barriers to deployment
Techno-economic study outputs By 2025: • Ammonia & Hydrogen – high purity already • Iron and Steel – possible on blast furnace power stations • Refineries and chemical crackers - unlikely to see any
deployment • Cement - capture possible if using mature technologies but
unlikely – 2nd gen better suited. • Second generation bolt-on technologies such as 2nd gen
amines, calcium looping offer significant long-term cost reduction potential
• Very limited CCU except EOR thought to be commercial
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Teesside City Deal • Policy to delivery economic growth through cities’
own priorities – Teesside prioritised CCS • Studies to be completed in 2015:
• Capture options and cost estimates for 4 industrial sites
• Investment mechanism • Business cases
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Techno-Economic Study - Key Questions 1. What are the most relevant technologies for industrial
CCS in the UK chemical, iron and steel, refining and
cement sectors, which can be implemented by ca. 2025?
a) What do they cost?
b) What are the barriers?
c) What technology development, especially piloting, is
required to deliver these?
2. How could CO2 utilisation facilitate capture from
industry?
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Other ICCS developments
• Policy Scoping Document – Workshops in London and Teesside in November 2014
• Industrial decarbonisation and energy efficiency workshops for 8 most energy intensive industries
• ETUC industrial regions work in Aire Valley
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• TVU will publish pre-FEED, investment mechanism and business case work
• NER400
• Policy development in collaboration with industry and academia
• Questions
– How much will FEED studies cost?
– What 2nd generation technology innovation projects may come forward?
– What funding mechanisms might work?
– How to bring forward transport and storage?
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Next Steps
