Carbon Capture and Storage

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1 Carbon Capture and Storage

2 02 03 Energy Technologies Institute Why? When addressing long term emissions reductions targets, Carbon Capture and Storage (CCS) is one of two critical levers (alongside bioenergy) in delivering an affordable, secure and sustainable UK energy system. Carbon Capture and Storage (CCS) technology captures carbon dioxide from fossil fuel power stations and industrial sources, which is then transported using pipelines and stored offshore in deep underground structures such as depleted oil and gas reservoirs and saline aquifers. When addressing long term emissions reductions targets, CCS is one of two critical levers (alongside bioenergy) in delivering an affordable, secure and sustainable UK energy system. The importance of CCS lies in its capability and flexibility to reduce carbon emissions from a large range of activities. It also has relatively low costs when practised at scale. For example in the power sector, a fossil fuel sector fitted with CCS can not only provide clean electricity at an attractive base load price, but it can also alternatively operate in a role which offers the lowest cost additional power when peaks in demand occur. We are involved in projects that will accelerate the implementation of CCS technology on fossil-fuel fired power stations and other major stationary CO2 sources in the UK, by demonstrating innovative technology which reduces the capital and operating costs of capture processes. We are also working to reduce the risks and costs of storage projects by improving the knowledge base of UK storage assets, improving monitoring and efficiency of use and improving the reliability, flexibility and operability of a fully developed chain of CCS assets. And, by applying CCS to biomass, the country can effectively remove CO2 from the atmosphere, creating negative emissions. These can offset our continued use of gas and liquid fuels in specific parts of the domestic heating and transport sectors where their replacement is likely to be particularly difficult and hence very expensive.

3 CCS also allows for the production of clean hydrogen to be used as a decarbonised storable energy storage. CCS creates a huge opportunity to save energy system costs if it is adopted early enough, but there are large challenges. Capturing the carbon dioxide on a large scale incurs significant costs and storage of CO2 has long planning times when selecting, appraising, drilling, testing and constructing potential sites which could take up to 10 years. We have modelled the UK energy system out to Without a national CCS infrastructure, the cost of reaching UK Climate Change targets will double from a minimum of around 30bn per year in This is the equivalent of an additional 2p per KWh on all UK energy use in Key areas of focus for our CCS programme are: Capture reduced capital cost and reduced power penalty CCS Systems cost effective roll out, operability, incentives Storage risks, how much is there, which sites, monitoring issues

4 04 05 Energy Technologies Institute What have we done to date? UK Storage Appraisal Project (UKSAP) CO2 Stored Produced the UK s first CO2 storage appraisal database Allows for more informed decisions on the economics of storage opportunities Licensed to The Crown Estate and the British Geological Survey (BGS) and publically available under the brand of CO2 Stored We have agreed a licence with The Crown Estate and the BGS to host and further develop the online database of mapped UK offshore carbon dioxide storage capacity produced by UKSAP. This is now publically available under the name of CO2 Stored. It can be accessed via The web-enabled database the first of its type anywhere in the world - contains geological data, storage estimates, risk assessments and economics of nearly 600 potential CO2 storage units of depleted oil and gas reservoirs, and saline aquifers around the UK. It enables interested stakeholders to access information about the storage resource and to make more informed decisions related to the roll out of CCS in the UK. This 4m project was delivered by a consortium of project partners from across academia and industry Senergy Alternative Energy Ltd, BGS, the Scottish Centre for Carbon Storage (University of Edinburgh, Heriot-Watt University), Durham University, GeoPressure Technology Ltd, Geospatial Research Ltd, Imperial College London, RPS Energy and Element Energy Ltd.

5 CCS Next Generation Coal Capture Technology FEED Study for a CCS plant capable of capturing up to 95% of CO2 emissions from coal fired power stations Project aimed at pre-combustion Involves CO2 removal by physical seperation We have invested 3.5m to date in a project with Costain to design a carbon capture pilot plant capable of capturing up to 95% of CO2 emissions from coal fired power stations. 95% The project was to design a carbon capture pilot plant capable of capturing 95% of CO2 emissions from coal fired power stations The project is aimed at pre-combustion carbon capture applications, involving CO2 removal by physical separation. Costain has produced a front end engineering design study for a demonstration unit, working with the University of Edinburgh and Imperial College, London.

6 06 07 Energy Technologies Institute What have we done to date? Continued CCS Next Generation Gas Capture Technology 5MW carbon capture demonstration plant capable of capturing up to 95% of CO2 emissions from gas power stations Designed to be used on new-build power stations Also seek to retrofit CCS with Gas Power Stations We have announced a potential 21.6m investment in a project which will see a 5MW carbon capture demonstration plant capable of capturing up to 95% of CO2 emissions from gas power stations designed, built and tested by The technology will be designed to be used on new-build power stations or to retrofit gas power stations.

7 Our initial assessment suggests that the technology could reduce the typical cost of electricity by 13 per cent when compared to current CCS technology. The first phase of the project will see the ETI invest 1.6 million in a small scale demonstrator prototype, laboratory work and techno-economic assessment to confirm the projected benefits. This will then be followed by a conceptual design for the larger-scale demonstrator plant. Once this initial stage completes we then expect to invest up to 20 million over three years in the detailed design, assembly and testing of a UK demonstrator plant. The technology is expected to be capable of large-scale deployment by 2020, at a cost and performance level which could make investment more attractive to project developers. 21.6m We have announced a potential 21.6m investment in a project which will see a 5MW carbon capture demonstration plant, built and tested by 2016

8 08 09 Energy Technologies Institute What have we done to date? Continued CCS System Modelling Tool-Kit Project to support the future design, operation and roll-out of cost effective CCS systems in the UK A modelling tool-kit capable of simulating the operation of all aspects of the CCS chain Support initial conceptual design and eventual detailed design and operation of CCS systems A 3m project that will help support the future design, operation and roll-out of cost effective CCS systems in the UK. The two-and-a-half year project launched in September 2011 is creating a modelling tool-kit capable of simulating the operation of all aspects of the CCS chain, from capture and transport to storage. It involves modelling technology provider Process Systems Enterprise (PSE), energy consultancy E4tech, and industrial partners EDF Energy, E.ON, Rolls-Royce and CO2DeepStore, who expect to be involved in capturing, compressing, transporting and storing CO2 in the future. The project is intended to result in a commercial modelling solution (gccs) built on PSE s gproms modelling platform. The tool-kit will be used to support the initial conceptual design and eventual detailed design and operation of CCS systems by helping to identify and understand system-wide operational issues such as the effects of power station ramp-up or ramp-down on downstream storage operation, or the effect of downstream disturbances on power generation.

9 CCS Mineralisation Detailed study of availability and distribution of suitable materials to economically capture and store CO2 emissions Abundance of materials to meet mitigation targets Challenges remain to make the process economically attractive and to reduce its energy use This 1m project, launched in May 2010 carried out a detailed study of the availability and distribution of suitable minerals across the UK along with studying the technologies that could be used to economically capture and store CO2 emissions. CCS by mineralisation has been identified by leading researchers as a promising additional method of sequestering CO2 emissions. Minerals and CO2 can react together to permanently store CO2 as a solid carbonate product, which can then be safely stored, used as an aggregate or turned into useful end products such as bricks or filler for concrete. The project consortium involved Caterpillar, BGS and the University of Nottingham. The objective was to investigate the potential for CCS Mineralisation to mitigate at least 2% of current UK CO2 emissions and 2% of worldwide emissions over a 100-year period. The project has found that there is an abundance of suitable minerals available in the UK and worldwide to meet these mitigation targets. However, challenges remain to make the capture process economically attractive and to reduce its energy use. Significant niche opportunities exist where waste materials are used as feedstock and/or the process produces value-added products, but markets would not be at the level required to meet the mitigation targets.

10 10 11 Energy Technologies Institute What have we done to date? Continued High Hydrogen Advancement of the safe design and operation of gas turbines using hydrogen-based fuels Identifying the bounds of safe design and operation Aim to increase the range of fuels that can be safely used in power and heat generating plant A 2 million project designed to advance the safe design and operation of gas turbines, reciprocating engines and combined heat & power systems using hydrogen-based fuels. This is because hydrogen is likely to be a more important fuel component in the future. Through new modelling and large-scale experimental work the project will identify the bounds of safe design and operation of high efficiency CCGT (combined cycle gas turbine) and CHP (combined heat and power) systems operating on a range of fuels with high and variable concentrations of hydrogen. The goals of the project are to increase the range of fuels that can be safely used in power and heat generating plant. The project involves the Health and Safety Laboratory (HSL), an agency of the Health and Safety Executive, in collaboration with Imperial Consultants, the consulting arm of Imperial College London.

11 Saline Aquifer Drilling Project with National Grid 2m investment in the UK s first drilling assessment of a saline formation site Site is 70km off the Yorkshire coast. Involved drilling a well in the seabed to gather data We have co-invested 2m in a National Grid project which has carried out the UK s first drilling assessment of a saline formation site for the storage of CO2, at a site 70km off the Yorkshire coast. The multi million pound project represents a major step forward in the creation of a CCS industry in the UK for multiple power stations and industrial sites, to store their CO2 rather than release into the atmosphere. 2m We have co-invested 2m in a National Grid project which has carried out the UK s first drilling assessment of a saline formation site for the storage of CO2 National Grid have led the drilling programme at the identified saline formation, a layer of porous sandstone rock over 1km below the seabed. The operation, using standard oil and gas drilling activities, involved drilling a well in the seabed to gather data to confirm that CO2 can be safely and permanently stored at the site, while also confirming the scale and economics of the store. Existing information has confirmed the store is very large and capable of storing carbon dioxide from several sources over a number of decades. The site is close to the shore and, importantly, near to two major clusters of CO2 emitters in the UK making it an ideal storage location.

12 12 13 Energy Technologies Institute What have we done to date? Continued 300k The 300,000 project was led by global engineering and construction company Foster Wheeler Flexible Power Generation Systems Project to increase the understanding of the economics and potential use of energy systems involving low carbon hydrogen production, storage and flexible turbine technology Mapping of suitable hydrogen storage salt cavern sites in the UK Potential to fill the gap between base load nuclear plant and low carbon power generation This project is seeking to increase the understanding of the economics and potential use of energy systems involving low carbon hydrogen production, storage and flexible turbine technology. Our energy system modelling work suggests that systems such as these could provide a valuable contribution to the future energy mix, filling the gap between base load nuclear plant and low carbon power generation. The 300,000 project was led by global engineering and construction company Foster Wheeler, in collaboration with the BGS. The project assessed the economics of a range of flexible power generation systems which involve the production of hydrogen (with CCS) from coal, biomass or natural gas, its intermediate storage (e.g. in salt caverns deep underground) and production of power in flexible turbines. The work included mapping of potentially suitable hydrogen storage salt cavern sites in and around the UK and has provided us with a flexible economic modelling tool to assess the range of possible options.

13 Report on Mobilising Private Sector Finance for CCS A report that suggests that successful deployment of CCS technology could be a huge economic prize for the UK Low Carbon Transition could cut the annual cost of meeting the country s carbon targets by up to 1% of GDP by 2050 Making early CCS projects investable is a key priority We produced a report with the Ecofin Research Foundation into attracting private sector finance to support the development of CCS in the UK. Successful deployment of the technology could be a huge economic prize for the UK in its low carbon transition cutting the annual cost of meeting the country s carbon targets by up to 1% of GDP by The report entitled Carbon Capture and Storage Mobilising private sector finance for CCS in the UK explores the challenges that both the public and private sector needs to overcome to help build CCS into a viable low carbon industry that is economically competitive. Making early CCS projects investable is a key priority in allowing CCS to develop as an industry and fulfil its potential in the UK s transition to a low carbon economy.

14 14 15 Energy Technologies Institute What are we doing next? CCS Measurement Monitoring and Verification System to provide assurance that CO2 stored deep underground beneath the sea bed is secure Leakage expected to be very unlikely Important to assure regulators, storage providers and the storage sector This project will deliver a system to provide assurance that CO2 stored deep underground beneath the sea bed is secure. Our analysis has identified that a key requirement gap is for proven systems capable of detecting and measuring any leak in the shallow subsurface and the marine environment. Although leakage is expected to be very unlikely, such systems will be important to provide assurance to regulators, storage providers and other stakeholders for the storage sector of the CCS industry.

15 Finding ways to reduce our CO2 emissions requires the latest research, especially around new technologies like Carbon Capture & Storage. The UK s world-class scientists are extremely well placed to tackle this challenge thanks to continued investment in skills, knowledge and cutting edge projects like these. David Willetts, Minister for Universities and Science The ETI estimates that the sub-seabed of the North Sea can safely store up to 70bn tonnes of carbon dioxide. However, actions must be taken now to better understand offshore storage assets and re-use the existing oil and gas infrastructure before it is decommissioned. Judith Shapiro, Policy and Communications Manager, Carbon Capture and Storage Association, Energy World We need low carbon energy at the least cost. The Energy Technologies Institute estimates that, with targeted R&D and the right technology choices, the UK can achieve its low carbon goals at a cost below 1% of GDP. However the Institute also estimates that the wrong choices could cost tens of billions a year more. James Smith, Chair, Carbon Trust, Energy World Viewpoint A recent report from the UK s Energy Technologies Institute suggests that using CCS would save the UK about 40billion a year by midcentury compared with other technologies for meeting our low carbon energy goals. Of course these are estimates but they show that CCS has considerable potential value. James Smith, Chair Carbon Trust, Viewpoint

16 16 17 Energy Technologies Institute Key facts and figures These figures are taken from the Low Carbon Innovation Coordination Group Carbon Capture & Storage in the Power Sector Technology Innovation Needs Assessment near zero CCS allows the flexibility and energy security benefits of fossil fuel combustion with near-zero greenhouse gas emission bn Innovation across the CCS technology chain could reduce UK energy system costs by 10-45bn to bn Global market turnover by 2050 could grow to bn 41 bn LCICG calculate a total potential saving in energy system costs through innovation of 41bn

17 Innovation Innovation areas with the biggest benefit to the UK are deep sea storage, measuring monitoring & verification and mitigation & remediation alongside advanced capture development and demonstration of integrated conversion capture Low Cost CCS is expected to be a relatively low cost method of reducing greenhouse gas emissions (comparable to wind and nuclear), especially when considering full energy system requirements 4-6 % UK suppliers could play a significant role in the global CCS market with a 4-6% share of a market with potential cumulative gross valueadded of between bn up to bn Innovation can also help create a UK industry with the potential to contribute further economic value of 3-16bn to 2050

18 18 19 Energy Technologies Institute About ETI The Energy Technologies Institute (ETI) is a publicprivate partnership between global energy and engineering companies BP, Caterpillar, EDF, E.ON, Shell & Rolls-Royce and the UK Government. Established in 2007, the ETI s role is to act as an important link between, academia, industry and government to accelerate the development of low carbon technologies. It brings together engineering projects that develop affordable, secure and sustainable technologies to help the UK address its long term emissions reductions targets as well as delivering nearer term benefits. Through its work, the ETI is: Providing new technology and business concepts Generating UK economic development Building a better understanding of the UK s energy challenges A force for collaboration An informer of policy It s industry and government partnership shares risk and creates affordability for the development and demonstration of new low carbon technologies. The ETI s projects are delivered by consortiums of project partners. These partners include academia, SME s, major corporates and global companies. The ETI is forecast to spend 400m over its project portfolio by The nine technology programme areas are: The ETI makes targeted commercial investments in nine technology programmes across heat, power, transport and the infrastructure that links them. The ETI also undertakes strategic modelling of the UK energy system to determine its investment spend and maps pathways to an affordable low carbon energy system that meets the UK s legally binding emissions reductions targets at least cost through technology innovation. Offshore Wind Buildings Marine Energy Storage & Distribution Distributed Energy Smart Systems & Heat Carbon Capture & Storage Transport Bioenergy

19 ETI Members ETI Programme Associate ETI Project Partners

20 Energy Technologies Institute Holywell Building Holywell Way Loughborough LE11 3UZ For general enquiries please telephone For more information about the ETI visit The ETI can be followed on Sign up to receive News alerts by ing