Economic Potential of DACCS and Global CCS Progress
In current international climate negotiations, Articles 6 (market mechanisms and non-
market approaches) and 14 (global stocktake) of the Paris Agreement remain the most
relevant for CCS. As Article 6 matures with significant developments in the technical
work and the establishment of its supervisory body, clarity is still needed on the transfer
of existing CCS methodologies from the Clean Development Mechanism (CDM) to the
upcoming mechanism under Article 6. Looking at Article 14, the global stocktake (GST)
which runs until 2023 and repeats in five-year cycles - presents a timely opportunity
for CCS experts to engage in technical dialogues (TD) with parties that could inform
updated nationally determined contributions (NDC) at the heart of achieving the
objectives of the Paris Agreement.
-
YEAR
AUSTRALIA
BAHRAIN
CANADA
CHINA
EGYPT
EL SALVADOR
ICELAND
IRAN
IRAQ
JAPAN
MALAWI
MONGOLIA
NORWAY
PAKISTAN
QATAR
SAUDI ARABIA
SOUTH AFRICA
UAE
UNITED STATES
KUWAIT
TOGO
TUNISIA
INDC
FIRST NDC
FIRST NDC UPDATE
SECOND NDC
TOWARD CLOSER REGIONAL COOPERATION
The role of closer, regionally focused cooperation in achieving CCS deployment has
arisen as a further and important consideration for both governments and industry
over the past 12 months. The emergence of new markets and applications for CCS
technologies, enhanced national commitments to achieving net-zero and the commercial
opportunities posed by the deployment of CCS networks, has led to greater scrutiny
of opportunities beyond national boundaries. Further progress with projects under
development in the North Sea, as well as proposed activities in Southeast Asia and the
wider Asia-Pacific region, are indicative of this approach.
To support this ambition, attention has inevitably turned to the requirements necessary
for achievement and, in particular, the development of a supportive policy, legal and
regulatory landscape. National governments and corporations with an interest in
developing projects with a transnational element are now actively considering and
promoting issues surrounding transboundary regulation, as well as the development
of regional frameworks and mechanisms that will support the development of CCS
networks.
The challenges associated with a more regionally focused approach are particularly
significant where CO2 is transported from one country for storage in another nation's
territory. The ability of project proponents to fully recognise the contribution of these
transboundary storage activities within national and international accounting and
crediting schemes has been raised by several government and industry parties as an
important issue to be addressed. Similarly, the absence of detailed legal and regulatory
regimes for the technology in many nations worldwide also creates uncertainty as to
how storage operations will be regulated. In addition, these transboundary storage
projects will also call into play several wider international, regional and domestic legal
frameworks that will all require careful navigation to ensure they do not unwittingly pose
further barriers to proposed activities.
Few examples exist where these CCS-specific issues have been addressed. However,
the consideration of transboundary issues within the international marine agreements
provides an important model. The amendments to the London Protocol and the
approach adopted by the parties to date, are indicative of the need to swiftly address
these challenges.
NDC MENTIONS CCS ■NDC DOES NOT MENTION CCS
NOT AVAILABLE
FIGURE 9: CCS IN COUNTRY NDCS AND CCS INTERNATIONAL LEGISLATION
[13]
GLOBAL CCS
INSTITUTEView entire presentation