Carbon Capture & Storage. UK-US Workshop - 10th May. UK Perspective. UK Department of Energy & Climate Change (DECC)

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1 UK Department of Energy & Climate Change (DECC) Office of Carbon Capture & Storage Assistant Head of Outreach & Collaboration Team Jeremy Martin UK-US Workshop - 10th May Carbon Capture & Storage UK Perspective

2 Why we need CCS IEA Blue Map scenario for projections of CCS deployment between 2010 and 2050 broken down by sector Source: IEA, Energy Technology Perspectives (2008a). assumes 50% cut in global emissions

3 UK-US working together on Cleaner Fossil Fuels and CCS Area Detail Bilateral: DECC and US DOE MoU on Fossil Energy Research US (DoE) and UK (then DoE) first signed a Memorandum of Understanding (MoU) on Energy RTD between in 1990, renewed in (11 th June will mark 20 th anniversary); Five-year collaborative projects between UK and US researchers including on Advanced Materials and Virtual plant simulation Further workshop on 24 th May (also in Pittsburgh) will cover sensors/instrumentation, advanced materials and capture Multilateral: Cooperation in different fora. Carbon Sequestration Leadership Forum (CSLF) US DoE provides Secretariat function, UK is vice-chair of Policy Group Major Economies Forum working towards CCS outcomes for the Clean Energy Ministerial in July Global CCS Institute IEA and related Implementing Agreements. UNFCCC

4 Recent UK Policies and Measures Policy No new coal generation without CCS (Only country in the world!) Demonstrations of at least 400MW gross, 300 MW net. Regulated via planning (S.36 Electricity Act, Infrastructure Planning Commission) and operation 2018 review Presumption that all coal plant built from now on will be 100% retrofitted with CCS by Demonstration Programme Further development on details of call process for further projects Funding of 4 demonstrations via CCS incentive 1 st project to be chosen by current competition (summer 2011) Provision to fund retrofit 19

5 Achievements : Legal and regulatory frameworks UK Energy Act 2008 established the enabling provisions for regulating CO2 storage in the UK offshore area. In 2008 UK supported the recognition of CCS in the EU Emissions Trading Scheme and the introduction of the CCS Directive, incl. capture readiness. In November 2009 UK published regulations and guidelines implementing Carbon Capture Readiness policy for new large combustion plants (coal, gas, oil, biomass and CHP) Recently UK concluded a consultation on the arrangements for licensing CO2 storage under the CCS Directive. UK already has arrangements for licensing pipeline transportation of CCS currently developing approach to 3 rd party access. UK successfully campaigned for amendments to OSPAR and London (Marine) Conventions to enable sub-seabed CO2 storage and cross-border transportation. UK will ratify OSPAR amendments by mid UK (through the EU) continues to support the approval of CCS projects within the UN Clean Development Mechanism (CDM).

6 Achievements : Public funds for CATs RD&D chain BIS TSB Total CATs programme value of portfolio - 50m ( 20m in public grants). Networks and expertise from across the full breadth of UK innovation Research Councils Networks DECC inc. ETF TRL Research Applied R&D Demonstration Pre-commercial Deployment m current grants. 3.7m for capacity storage project. A number of additional major projects are in development. 13.7m funding for RD&D projects KEY: TRL = Technology Readiness Level BIS = Dept for Business Innovation and Skills DECC = Dept of Energy and Climate Change ETF = Environmental Transformation Fund ETI = Energy Technologies Institute TSB = Technology Strategy Board ETI Unique scale and capacity of members

7 UK support for R&D for CATs Research Councils To date 15m on CCS for basic research and capacity building Technology Strategy Board 6.4m for university and industry led projects Energy Technologies Institute Studies on CO 2 storage, next generation capture technology, MWV and Modelling Environmental Transformation Fund (ETF) 40 MW oxy-fuel CO 2 capture (Renfrewshire, Scotland) Joint Calls TSB, ETF and Northern Way

8 Technology Strategy Board Remit Non-Departmental Public Body guided by a businessled Governing Board Delivering UK s innovation R&D strategy Supporting and investing in business led innovation across a number of technology areas Budget ~ 1bn between Key Investment Areas include: Energy, Transport, Sustainability,Healthcare, Built Environment, Creative Industries

9 Technology Strategy Board Scope of Carbon Abatement Program Carbon capture technologies for large single point source emitters; CO 2 transport; CO 2 storage and use. Improving efficiency conversion processes to reduce CO 2 emissions. Fuel switching to lower carbon alternatives such as co-firing with biomass or waste. Development of underpinning technologies in support of CATs such as; materials, NDE, joining, instrumentation and condition monitoring

10 Technology Strategy Board Project examples Post combustion and oxy-fuel pilot demonstration plants Materials/coatings developments and modeling for higher efficiency and more aggressive environments. Instrumentation and on-line condition monitoring

11 Environmental Transformation Fund (ETF) The ETF aims to encourage the development of low-carbon energy and energy efficiency technologies in the UK; 400m for the period 2008/09 to 2010/11. Includes a Carbon Abatement Technology Demonstration Programme; Mainly for business collaboration; Further commitments (around 7M) made on consultancy in support of the CCS demonstration project Joint Call: Second call joint with TSB and Northern Way committed 15m of funding to 9 projects, plus 6m for 5MW post-combustion CO2 capture at FerryBridge

12 Summary of CATs R&D projects (CO2 capture)

13 Planned CCS demonstration projects Project Size & technology Public funding Operational dates Longannet (Scottish Power) 300 MWe Post-combustion capture, transport and storage Bidder in UK post-combustion competition Planned delivery by 2014 Kingsnorth (E.On) MWe Post-combustion capture, transport and storage Bidder in UK post-combustion competition Investment decision to be reviewed in 2016 Hatfield (Power Fuel) 450 MWe IGCC capture, transport and storage EUR180m Grant from EC under the EU Economic Plan for Recovery for stage 1 Planned delivery by 2015

14 END

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