USA Country Market
Insights and Opportunities
Carbon Capture & Storage Market
Overview: Carbon capture and storage (CCS) refers to a process chain involving the capture, compression, transport, injection, long-term underground storage and ongoing monitoring of carbon (dioxide) that would otherwise be released into the atmosphere. Most work on CCS is currently focused on reducing emissions from coal-fired power stations. However, CCS can also mitigate emissions from gas-fired power stations, gas processing facilities, cement kilns, steel mills, ammonia plants, oil refineries and petrochemical plants.
The United States (US) has a large publicly-funded R&D program for CCS and there are a number of government entities with a stake in CCS activities and related public policy.
The Department of Energy (US DOE), which leads R&D and demonstration activities and international CCS collaboration. The Department of Transportation (US DOT), which is responsible for regulating carbon transport pipelines. The Environmental Protection Agency (US EPA), which is establishing (along with various States) public health and safety regulations governing carbon injection and storage.
In 2009, the US announced CCS funding of over US$4 billion to be matched by US$7 billion from industry, more than any nation in history. DOE’s efforts include: Commitment of over $1 billion to the Illinois-based FutureGen project, with a goal of achieving a commercial scale CCS plant by 2016. BHP and Rio Tinto are FutureGen partners. Investments totaling over $1.4 billion to support five commercial scale demonstration projects at coal fired power plants that apply various types of CCS technologies. An additional $1.3 billion to support additional five industrial demonstration projects retrofitting existing industrial facilities with CCS technologies. Approximately $1 billion for research and demonstration in sequestration projects and in developing innovative industrial uses for carbon dioxide. Development of a US-China Clean Energy Research Centre with a goal of facilitating joint research in CCS.
In addition, agencies from six member countries of the Carbon Sequestration Leadership Forum are participating in various regional field tests. This forum is focused on the development and sharing of improved, cost-effective technologies for the separation and capture of CO2 and for its transport and long-term safe storage.
Opportunities: In addition to opportunities for research and development organizations to collaborate with US-based institutions, Foreign-based technology and service providers are also likely to have an increasing role to play during CCS’ global development and demonstration phase over the next 10-15 years.
Promising areas for collaboration include: Consultancy services to international industry and government; Geological mapping and assessment of potential storage sites; Design and installation of injection wells; CCS monitoring and verification technologies; Carbon transportation and logistics; Provision of capture and separation technologies; and Feasibility studies and risk assessments.
Further, multinationals and large oil and gas companies are involved in various demonstration and commercialization projects across the US, including GE, Schlumberger, Tenaska, Halliburton and Shell. A number of these projects are tied to enhanced oil recovery efforts for the oil and gas industry. Foreign service providers with links to the oil and gas industry may be able to develop new services to capture opportunities in the growing CCS field.