A report by the Offshore Energies UK (OEUK), a trade association for the offshores energy industry, stated the United Kingdom can bring £100 billion ($120 billion) to the UK economy by 2050. According to OEUK, the country has enough capacity to hold 200 years worth of emissions with CO2 capture and storage (CCS).
With big industrial clusters, well-developed gas transport infrastructure and solid scientific knowledge, the UK has the potential to be a global leader in CCS. Yet, the OEUK report also states that the country’s supply chain is fragile.
There is a danger that the UK could lose the industry to better opportunities elsewhere, the paper argues, and fast government action is required to prevent that.
Carbon capture is “a key tool in our fight against climate change” and presents the opportunity for the “offshore energy supply chain to help energy-intensive industries cut emissions,” said Katy Heidenreich, OEUK’s supply and operations director. “If we get this right, it could unlock £100bn of work for UK manufacturing employers by 2050. This will support UK jobs, cut emissions, boost the economy and develop skills that can be exported globally.”
Many consider CO2 capture to be a key technology in the decarbonization efforts of hard-to-abate industries such as cement and power generation.
The UK government’s Net Zero Strategy has set a target for the country to capture 50 million tonnes a year by 2035.
Most of the carbon dioxide is stored in the North Sea, and the OEUK report said the UK could store other countries’ emissions in depleted oil and gas reservoirs.
The report, commissioned by the Department for Business, Energy and Industrial Strategy forecasted that CCS could be worth £20 billion within the next 10 years.
The paper outlines the need for 13 government and industry actions, including government support on early-stage funding and licensing rounds.