UK govt plans competitive carbon capture market following GBP 20 billion investment

The UK Government has set out plans for a new competitive UK carbon capture, usage and storage market by 2035 - delivering new jobs and supporting net zero. This is expected to boost the economy by £5 billion a year by 2050 – making the UK a pioneer in this technology.

The plan – named the CCUS Vision – sets out how the UK will transition from early projects backed by Government support to becoming a competitive market in this area by 2035, meaning UK companies will compete to build carbon capture facilities and sell their services to the world.

This is expected to boost the economy by £5 billion a year by 2050 – making the UK a pioneer in this technology while meeting its net zero commitments in a reasonable way that eases the financial burden on taxpayers.

 

Advantage UK in CCS

Carbon capture works by capturing carbon dioxide (CO2) before it reaches the atmosphere and storing it safely underground – filling the spaces left by oil and gas extraction. The UK holds a strategic advantage compared to other countries thanks to its unique geology, skills and infrastructure as an island nation. It also offers enough space under the North Sea for up to 78 billion tonnes of CO2.

 

GBP 20 billion investment

This is the latest step in delivering the recently announced £20 billion investment to develop CCUS technologies – which aims to store 20-30 million tonnes of CO2 per year by 2030 and support 50,000 jobs by 2030.

It comes as the Department launches the process for more companies to connect to and expand the HyNet Cluster in the North-West and Wales – delivering further jobs and investment in the region.

 

Energy Security Secretary Claire Coutinho said:  

Thanks to the UK’s geology, skills and infrastructure, we are in a unique position to lead the way on carbon capture technologies.  

That is why we’re making one of the biggest funding commitments in Europe on carbon capture that will cut emissions from our atmosphere, while unlocking investment, creating tens of thousands of jobs and growing the UK economy.  

 

Energy Efficiency and Green Finance Minister Lord Callanan said:   

We need pragmatic answers to the carbon challenge, and with our infrastructure, skills and geology, the UK is in pole position to take advantage of game-changing carbon capture and storage technology.      

Today we’re publishing a blueprint to deliver a world-leading UK carbon capture industry, so that we have a competitive market in this exciting new technology by the middle of the next decade.    

Backed by an unprecedented £20 billion investment, this is also a pivotal milestone in our journey to net zero that will drive economic growth, unlock investment and create tens of thousands of jobs in our industrial heartlands.    

 

For more on this story plus background information, please visit the UK Government website

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Carbon Capture Editorial Team

Carbon Capture Editorial Team

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