Road to Commercial CCS Ventures: Business Models to Scale CCS
Scaling CCS is crucial to reducing emissions from hard-to-abate industries, requiring 5 GtCO₂ capture annually. Despite CO₂-EOR since the 1970s, only 40 MtCO₂ is captured today. Commercial investment remains low due to perceived risks. The key to unlocking large-scale CCS lies in robust business models that balance risk, financing, and value creation especially in large scale hub & cluster developments using emerging Transport & Storage business model.
Key take aways are:
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CCS success hinges on effective business models & financing strategies.
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U.S. incentives (e.g., 45Q) are enabling CCS hubs & cluster development.
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Transport & storage models support scalable saline aquifer sequestration.
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Strategic alliances & financing innovation are vital for commercial viability.
CONCLUDING INSIGTS
Scaling CCS is essential for meeting climate goals, but it requires commercial readiness and effective business models. With the right mix of risk mitigation, financing, and strategic partnerships, CCS can evolve into a robust, global solution to combat emissions.