Imperial College Centre for Carbon Capture and Storage - IC4S - Dr Iain Macdonald - Imperial College London
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Imperial College Centre for Carbon Capture and Storage – IC4S Dr Iain Macdonald 8 May 2018 Imperial Business Partners @impcolcen4ccs www.imperial.ac.uk/carbon-capture-and-storage
CCS Estimated Power worldwide Heating (H2) geological Industrial storage Processes • Cement capacity • Iron & Steel > 2000 Gte CO2 • Fertilizers • Etc… 2
How ready is CCS? Next-generation climate mitigation technologies (2017) Napp et al., Grantham Institute
How ready is CCS? Next-generation climate mitigation technologies (2017) Napp et al., Grantham Institute
CCS complements renewables CCS can provide flexible base-load power, enabling the development of low carbon energy technologies. Electricity Systems Optimisation (ESO) Model showing a scenario with low carbon fossil fuel and bioenergy CCS (inputs based on UK data) Figure courtesy of C. F. Heuberger, Imperial College London. Model presented in Heuberger, C. F., Staffell, I., Shah, N. & Mac Dowell, N. (2017). Computers & Chemical Engineering.
How do we avoid the emission of ~800 Gt CO2 by 2050? + ~ 50% Fuel Switching + ~ 30% ~ 20% + ~ 10 Gt CO2 pa by 2050 9
Large-scale CCS Projects Global CCS Institute 2017
CCS growth needs to accelerate… To meet COP21 targets, Terrell 18 Commercial scale we need to capture a total Natural Gas Sleipner CCS projects in of ~10 Gt CO2 per year. Plant CO2 operation This is equivalent to ~2000 (formerly Val Storage Ave. capacity 1.8 Mtpa projects with a capture Verde, US) Project Total CO2 capture capacity of 5 Mtpa 0.4 Mtpa 1 Mtpa capacity = 31 Mtpa 1972 1996 2017 2050 5 Mtpa 0.4 Mtpa 1 Mtpa 1.8 Mtpa GCSSI database http://www.globalccsinstitute.com/projects Committee on Climate Change (2016). UK climate action following the Paris Agreement. London, UK.
The Allam Cycle – NET Power Images: Net Power LLC
Bio-Energy with CCS (BECCS) Image: Dr Niall Mac Dowell, Imperial College London
Bio-Energy with CCS (BECCS) Carbon Brief - Global primary energy use in exajoules (EJ) for non-biomass renewables (left), BECCS (center), and coal without CCS (right) across all RCP1.9/1.5C scenarios. Adapted from Figure 2 in Rogelj et al 2018.
Carbon Capture and Utilisation Image courtesy of co2chem research network
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
How can CCS be economically viable? • CCS adds cost (so called ‘energy penalty’) »~$50 per te CO2 depending on source and technology used • Costs can be recouped by monetising CO2 by »Revenue generation through EOR or EGR »A carbon price § Carbon tax § Carbon trading § Carbon credits
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
Mitigating direct industrial emissions Industrial emissions = 20% anthropogenic CO2 CCS = cost effective for industrial decarbonisation option combined with process efficiency optimisation Other major GHG emitters – Agriculture, Shipping, Aviation all have tougher routes to decarbonise, some CCS
Decarbonising heating networks with CCS Hydrogen = leading contender for the decarbonisation of heating. CCS is required This process could deliver low-carbon hydrogen at the volumes and cost required globally. Example: H21 Leeds City Gate Hydrogen Project
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment (Clusters) Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
A systems approach to CCS § Optimise costs and benefits Industry Transport sector across the full value chain H2 § Developing transport infrastructure models for a range of regional contexts § Defining the role of CCS in future low-carbon energy system CCS Transport network § Regionally dependent and multidisciplinary Energy systems Hub CCS Negative emissions EOR MMV technologies Bio-CCS Direct air capture (DAC) CCS
Making CCS a commercial reality The barriers are not technical. We need a combination of the following: 1) Provide a monetisation route (e.g. EOR, CO2 pricing); 2) Target other sectors as well as Power Ø Industrial Processes, Hydrogen Production 3) Multi-plant large-scale deployment Ø taking advantage of economies of scale Ø cost reduction and efficiency improvements through learnings – and 1st to nth plant improvements. 4) A systems engineering approach to CCS 5) Supportive policy framework 6) New business models for sharing risk
A supportive business and policy environment
Fostering supportive market conditions § Supportive policy frameworks that incentivise long-term investment § Commercial models that spread risks equitably between stakeholders
Stakeholder and public engagement • Sustaining dialogue with policy and decision makers • Articulating the reality and communicating benefits • Understanding public and policy maker priorities • Discussing public concerns and provide evidence • Address role of CCS on a country or region basis
CCS – The way forward For policymakers: • Unless there is a market mechanism to monetise CO2 storage (such as CCS-EOR), CCS will require an enabling and supportive policy framework (stable and long-term). • Need to appropriately share the risk between government and the private sector to facilitate rapid growth in capacity at the required timescales; shared transport infrastructure and long-term storage liabilities • Establishing CCS at commercial scale needs STEM skills / manpower. • We have a responsibility to make decarbonisation routine practice and drive sustainability. For suppliers of finance: • CCS is a mature technology whose risks are understood and manageable, given an appropriate sharing of risk between the public and private sectors.
Further CCS reading Imperial have published a lot of policy-public digestible information through our Grantham Institute including summaries of • Bridging the current policy gap • Carbon Storage • Carbon Capture • Negative Emissions • Shale Gas and Climate Change Sustainable Gas Institute - Can technology help to unlock ‘unburnable carbon’? In addition, we have written a recent report on our current understanding of storage reservoir relative permeability for the GCCSI. Furthermore we actively work with Colleagues to produce CCS reports, e.g., “A Chemical Engineering Perspective on the Challenges and Opportunities of Delivering Carbon Capture and Storage at Commercial Scale” – IChemE April 2018 Happy to help – i.macdonald@imperial.ac.uk
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