Denmark has announced it will be investing 16 billion Danish crowns ($2.43 billion) in carbon capture and storage (CCS) over the next ten years.
The announcement came from the government on Tuesday and is in line with the country’s strategy to cut greenhouse gas (GHG) emissions by 70% by 2030, which amounts to a total reduction of 20 million metric tons of CO2 per year.
This makes Denmark’s pledge one of the worlds’ most ambitious climate goals.
Last year, the Danish government prohibited oil and gas exploration in its section of the North Sea and vowed to put an end to existing operations there by 2050.
Instead, the focus of the Nordic country has now shifted towards capturing carbon emissions and storing them in the same subsoil where oil has been pumped for decades.
According to Climate Minister Dan Jorgensen, those practices are something that should remain in the past.
The first North Sea CCS facilities are expected to come into operation in 2025 and will reduce carbon emissions by 0.4 million tons every year from that date.
Last week, funding was already announced for the Norwegian Energy Company ASA (Noreco) project known as Bifrost, which is set to store 3 million tons of CO2 per year at first.
The Bifrost project has been among the first beneficiaries of the Danish subsidiary scheme titled “Energy Technology Development and Demonstration Programme” (EUDP).
Initially, the funds allocated by the Danish government for carbon capture and storage will go towards the decarbonization of the energy and industry sectors of the economy, as these have proven to be among the most difficult to abate.
Specifically, cement production and waste incineration will be the primary focus.