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Carbon


Carbon capture, does it work? Carbon Capture and Storage, or CCS, is a technology designed to capture the carbon dioxide that is released when coal or gas is burnt for power generation. The CO2 is then whisked away by either pipeline or ship to permanent underground storage, preventing it from entering the atmosphere and contributing to climate change. Those promoting the technology say it could capture up to 90% of the CO2 emissions from the use of fossil fuels in electricity generation and industrial processes. It could also perform the same task for firms operating steel, cement and other industrial facilities.

ESSENTIAL TECHNOLOGY - The International Energy Agency (IEA) has estimated that globally 3,400 CCS plants will be needed by 2050 to meet the target of limiting climate change to two degrees above pre-industrial levels. In early 2009 UK energy secretary Ed Milliband told Parliament up to four new plants would be built in the UK and fitted with the technology. Just before this the Labour Government had committed funding to at least   two - and up to four - "demonstration" CCS projects. Mr Milliband even went as far as to say that there is "no alternative to CCS if we are serious about fighting climate change". The current Government recognises it as one of the key technologies to help cut CO2 from electricity production, alongside nuclear and renewables. It has committed to £1bn of funding for the first plant through general taxation.

LONG DELAY - Yet four-and-a-half years later the UK is little closer to having one of these power plants. The first demonstration plant in the UK is scheduled to be operational from 2015, although this could prove optimistic. There are numerous reasons, including associated costs that need to come down, the technology still needs to be demonstrated on a commercial scale, and concerns over just how effective it will be.  The IEA accepts that "in the current regulatory and fiscal environment, commercial power plants and industrial facilities will not invest in CCS because it reduces efficiency, adds cost and lowers energy output". There are only five fully working CCS plants in existence; two in Norway, one in Canada, another in the USA and a fifth in Algeria.

INDUSTRY FRUSTRATION - The frustration from promoters of the technology at the speed of CCS development is clear. "We cannot meet the UK’s climate change targets unless we decarbonise the power sector, and we cannot do this without an appropriate market structure which balances fossil fuels with CCS together with renewables and nuclear,” said Professor Jeff Chapman, from the Carbon Capture and Storage Association. “It’s been four years since the government [originally] called for bids for the first project of a UK CCS programme and we note that even that first project has yet to be contracted," he said. This outburst came in response to a 2011 report from the Committee on Climate Change, which highlighted the UK’s lack of progress in emission reductions in 2010. "Whilst we welcome the government’s subsequent commitment to four projects, a commitment without timely funding sends the wrong signal to businesses investing in the UK’s emerging low‐carbon market,” Prof Chapman said.

GOOD INTENTIONS - When it comes to CCS, the UK leads Europe in terms of good intentions. For the second set of projects (the remaining 'demonstration' sites), seven applications have been made for EU funding, which is more than the rest of Europe combined. But these have been delayed and there is uncertainty on the schedule for taking them forward. The government is yet to make up its mind on how they will be funded; whether through a specific CCS levy or through general taxation.

GLOBAL DELAY - There have been hold ups across the world, which have been for practical, financial and legal reasons. For example, Australia said earlier this year it would delay A$160 million of spending aimed at encouraging carbon-capture ventures in order to pay for damage caused by natural disasters. The German parliament is currently arguing over the future liability of its individual states for CCS sites. Simply put, CCS will receive a huge fillip as soon as it can be shown to work. "Demonstration of CCS in industry, either here in the UK or elsewhere, is crucial to resolving current uncertainties about this potentially key technology," said the UK's Committee on Climate Change in June. The proof of the pudding will be in the eating; it just remains to be seen if governments can come to the table before things get too hot.

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