Carbon capture and storage (CCS)

Carbon capture

The concept behind carbon capture and storage (CCS) isn’t complicated. When fossil fuels such as coal, oil and natural gas are combusted, they emit CO₂. If that CO₂ can be separated from the stream of gases that would normally be emitted into the atmosphere, it can be stored safely and securely deep underground. The challenge is to learn how to capture and store CO₂ inexpensively and efficiently.

How can we capture the CO₂ from coal combustion?

There are three leading technologies for capturing CO₂ emissions: pre-combustion CO₂ capture, post-combustion CO₂ capture and Oxyfuel combustion CO₂ capture. Each of these has its benefits and challenges. All of the important components of these systems have been demonstrated in research-scale initiatives, but not all have been used commercially. Australian research is currently underway to help bring down the costs and increase the overall efficiency of CO₂ capture processes so they can scaled up for wide use in power generation and other industries.

Carbon storage

Safe carbon dioxide (CO₂) transport and long-term storage have been demonstrated by the oil and gas industries for more than 40 years. At the Sleipner offshore natural gas production platform operated by Norway’s Statoil, every year since 1996 more than one million tonnes of CO₂ have been transported by pipeline and stored safely deep under the seabed.

What will carbon capture and storage cost?

In October 2008, the International Energy Agency (IEA) released “Carbon Dioxide Capture and Storage: A Key Carbon Abatement Option.” The IEA reports that “given appropriate emission reduction incentives, CCS offers a viable and competitive route to mitigate CO₂ emissions.”¹

The IEA estimates that the added construction and operating costs of a coal-fired power plant with CCS compared to a similar plant without CCS are about US$0.03/kWh to US$0.04/kWh. By 2030, the IEA projects these costs will drop by about a third as standardisation, economies of scale, improved infrastructure, etc. reduce costs.¹

These costs are based on averages of various carbon capture technologies. CO₂ transport and storage costs also vary based on local circumstances, such as the availability of appropriate geologic storage sites, and the scale of infrastructure, such as pipelines.