O investment in carbon capture and storage (CCS) has more than doubled since last year, reaching a record US $ 6,4 billion. This is what the BNEF (BloombergNEF).
According to the consultancy, the United States led the group, with 45% of the global contribution, but the regional division is much more balanced than in previous years.
Investment in APAC (Asia Pacific) rose to US$1,2 billion due to projects in Australia and Malaysia. China, for example, commissioned a pilot project to capture 0,2 million tons of CO2 per year at a petrochemical complex, although it still lags behind its neighbors in of CCS development.
European Union funding for CCS has mostly been venture capital flowing to direct air capture companies like Climeworks, which secured $650 million in April. The EU has allocated much of its funding to industrial decarbonization, with $420 million invested in cement and steel projects.
“US policy has been generous with CCS, which should lead to more investment in projects in 2023. As the decarbonization of hard-to-abate sectors gains momentum and political increases globally, BNEF expects record contributions to CCS continue to be broken”, concluded the company.
What is CCS?
Carbon capture, utilization and storage is a key technology needed to decarbonize hard-to-abate sectors such as petrochemicals and cement and provide clean energy 24 hours a day through gas plants equipped with capture equipment.
