Key issues to address for scaling up industrial carbon management

The Zero Emissions Platform (ZEP) identified key priorities for the European Parliament’s own-initiative report on industrial carbon management (ICM). This information brief provides an overview of the key issues that need to be addressed in order to scale up industrial carbon management (ICM) and ensure Europe remains competitive and meets our climate ambitions to reach climate neutrality by 2050.

Context

ICM is essential to achieve net-zero and a Just Transition, especially for the industrial and power sectors in Europe. The deployment of carbon capture, removal, use, and storage projects is uniquely able to safeguard tens of thousands of jobs that depend on these industries being retained in Europe.

A strong carbon price is needed to support a low-carbon market, and, beyond the emissions trading system (ETS), financial mechanisms and sufficient demand for low carbon products and services are needed to support an efficient and sustainable business model. Planning and guidance for a net-zero CO₂ network are also needed to connect deep decarbonisation to storage resources.

Key priorities identified by ZEP

• Provide a regulatory framework for CO₂ transport that reduces risks, streamlines permitting procedures, and sets enabling standards for CO₂ specifications in Europe.
• Advance a market for low-carbon industrial products and services that can be produced through industrial carbon management.
• Ensure sufficient access to CO₂ transport and storage infrastructure for industries across Europe, paying regard to the needs of geographic balance.
• Create an industrial carbon management alliance that brings industry together across the value chain to provide insights, articulate needs, and identify barriers.
• Provide sufficient financial support mechanisms that value carbon at a price that enables a strong and sustainable business case.