Canada’s federal government has committed $21.5 million to five carbon capture initiatives in Alberta aimed at reducing the cost of capturing and storing carbon dioxide (CO2) emissions.
Natural Resources Minister Tim Hodgson made the announcement on July 4 at the site of Bow Valley Carbon Cochrane, northwest of Calgary.
Funded under the Energy Innovation Program, the projects include major upgrades to a natural gas extraction facility, where emissions will be stored 2.5 miles (4 km) underground.
Bow Valley, a joint venture between Inter Pipeline Ltd. and Entropy Inc., will receive $10 million.
Hodgson said the project will cut emissions equivalent to removing 12,000 cars from the road annually.
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Other recipients include Enbridge Inc. ($4 million) and Enhance Energy Inc. ($5 million) for carbon storage hubs in Central Alberta.
Two smaller initiatives will explore improved analysis technologies and small-scale diesel engine capture.
“It is a tangible step forward, proving how government, communities and industry can work together,” Inter Pipeline CEO Paul Hawksworth was quoted as saying by Burnaby Now.
Meanwhile, the fate of the much larger $16.5-billion Pathways Alliance project remains uncertain.
The proposed venture, involving six major oilsands companies, would capture emissions from over 20 sites and transport them 248 miles (400 km) to a storage site near Cold Lake, Alta.
Hodgson offered no new details, saying only: “It’s something that’s being worked on actively.”
According to Burnaby Now, he declined to comment on potential additional federal funding beyond existing tax credits.
Danielle Smith, Premier of Alberta, has proposed linking the project’s approval to a new crude oil pipeline to the West Coast, though no such pipeline has been suggested.
Ottawa is currently reviewing which projects can be considered “in national interest” and therefore may qualify for expedited approval under recent federal legislation.
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