Norwegian CCS Cluster Takes Another Step Closer to Reality

Brussels, May 15 – The European Zero Emissions Technology & Innovation Platform (ZEP) welcomes the announcement from the Norwegian Government to provide €29.2 million of funding for the continued development of the large-scale Norwegian industrial CCS demonstration programme. In their revised Budget proposal, which was released today, Norway agreed to allocate €8 million towards engineering and design studies for CO2 capture at the Norcem cement facility with further studies required at the Klemetsrud waste-to-energy plant. The Yara fertiliser factory has decided not to continue with the development of CO2 capture.

Commenting on the announcement, Dr. Graeme Sweeney, Chairman of ZEP, said:

“Today’s announcement from the Norwegian Government to provide grant support for detailed engineering studies for industrial CCS is very welcome. Whilst it is disappointing that Yara has pulled out and that the Government has decided to delay a final investment decision by 2 years, this project is still hugely important – not just for Norway, but also for CCS developments in Europe and indeed the world.

Reducing emissions from sectors such as cement and energy-from-waste will be vital if we are to meet the Paris Agreement well-below 2°C goal. Once operational, this project will demonstrate the major global potential for fitting CCS to these industries without compromising industrial activity. Today’s proposals also allows for continued work to develop Europe’s first CO2 transport and storage terminal; a strategic asset which would enable cost-effective emissions reduction for key countries bordering the North Sea.

Together with the existing Norwegian CCS projects such as Sleipner and Snohvit, this project could create one of the first industrial CCS clusters in Europe. With complementary initiatives in the Netherlands, the UK and elsewhere now also under development, Europe may finally be taking steps towards the urgent large-scale deployment of CCS that is needed to reconcile economic growth with deep decarbonisation.

It is clear that European Member States are now getting behind CCS and taking concrete steps towards its deployment. It is imperative that these activities are matched by appropriate EU funding mechanisms that will drive regional and cross-border CCS infrastructure, enabling CO2 hubs and realising cost reductions”.