Key points
TL;DR: Carbon Capture Powers UK Industrial Decarbonisation
As UK industry faces pressure to cut emissions carbon capture usage and storage (CCUS) has become a vital tool. Major projects like Net Zero Teesside and the Northern Endurance Partnership are underway and the Acorn project is pushing for Scottish support.
CCUS captures up to 90% of CO2 from industrial processes and enables emissions cuts in sectors like cement and chemicals that are difficult to decarbonise. It also supports clean hydrogen production and offers economic value by helping industries avoid rising carbon costs.
With backing from government incentives and shared infrastructure CCUS clusters will future-proof UK heavy industry protect jobs and accelerate the transition to Net Zero.
In the industrial sector, energy use is intrinsically linked to operational practices, far more so than in commercial and residential sectors. The question of how the industry cuts back on emissions and energy use to meet the UK’s Net Zero targets becomes increasingly difficult to answer.
In 2022, the sector was directly responsible for emitting 9.0 Gt of carbon dioxide (CO2) accounting for a quarter of global energy system CO2 emissions. Therefore, addressing energy consumption and emissions is alarmingly important.
One promising solution to this challenge is carbon capture technology. The UK’s first large-scale carbon capture, usage and storage (CCUS) projects are set to begin construction this year:
- Northern Endurance Partnership’s pipelines and infrastructure to transport carbon dioxide offshore for storage and
- Net Zero Teesside (NZT) Power’s new gas-fired power station with carbon capture.
Moreover, Business leaders are now calling for the Chancellor Rachel Reeves to back the Acorn Carbon Capture project in Aberdeenshire, arguing that it is essential to help Scottish industry decarbonise. This news reflects the growing appetite across the United Kingdom to apply carbon capture technology, recognising the benefits it can bring.
What is Carbon Capture and Storage (CCUS)?
CCUS involves capturing the CO2 produced by industrial processes. If not needed on site, it is compressed for transport by pipeline. In the future, this could extend to transport by ship, rail, or truck. The CO2 can then be used in a range of applications or injected into deep geological formations, such as depleted oil and gas reservoirs or saline aquifers, for storage.
“The Climate Change Committee (CCC) has said that CCUS is a ‘necessity, not an option’ for the transition to Net Zero.”
A Necessity for Emission Reduction
The Climate Change Committee (CCC) has said that CCUS is a ‘necessity, not an option’ for the transition to Net Zero. Carbon capture allows us to progress with decarbonisation while transitioning away from fossil fuels and traditional industrial technologies.
Energy-intensive industries and those that produce CO2 as part of the industrial process, can be decarbonised without waiting for alternative technologies to be developed, allowing for decarbonisation within a much smaller timeframe.
Currently, operational facilities that use carbon capture technology can capture around 90% of the CO2 emissions released. However, research is still ongoing into how this can be increased.
Carbon capture remains one of the few options for achieving effective emissions cuts in the cement industry, which alone accounts for around 8% of global carbon emissions. According to the Global Cement and Concrete Association CCUS could reduce carbon emissions by 36%. As a society, we need to reduce this impact urgently while enabling the continued use of concrete for buildings and infrastructure.
“Currently, operational facilities that use carbon capture technology can capture around 90% of the CO2 emissions released.”
At WSP, we helped to deliver carbon capture technology at Heidelberg’s cement manufacturing plant in Edmonton, Alberta. This was a first-of-its-kind project and many more projects like this are likely to follow in the cement sector – such as Heidelberg's Padeswood facility in North Wales and those in the Peak District.
Enabling a Clean Hydrogen Economy
The technology will also be critical for the production of new sustainable fuels such as “blue” hydrogen. Using this hydrogen as a carbon-free alternative to fossil fuels will facilitate the decarbonisation of sectors such as transportation and domestic heating.
Though most hydrogen produced is expected to be “green” hydrogen – that is hydrogen created via electrolysis of water using renewable electricity – the application of carbon capture to traditional hydrogen production technologies from natural gas will support accelerating the transition to clean-energy alternatives worldwide.
Post-combustion and oxy-fuel equipment can not only be fitted to new plants but retrofitted and integrated into those that already exist, thus optimising energy use by capturing and reusing the CO2 created in facilities already present.
For example, in chemical manufacturing, captured CO2 can be used as a feedstock for the production of chemicals like methanol, thus reducing the need for additional energy and raw materials.
“CCUS clusters in the UK will support heavy industry and help to retain the approximately 1.5 million jobs (direct and indirect) in steel, cement, refining, chemicals, ceramics and glass.”
Incentives and Regulations
The UK Government has been gradually reducing the availability of carbon allowances in recent years as it seeks to cut emissions. In total, allowances are set to decrease by 30% between 2021 and 2027. This effectively increases the cost of operating a carbon-emitting process because, with fewer allowances available to buy, high-emitting businesses will need to purchase more credits to offset the difference or invest in reducing their carbon emissions. Using carbon capture can provide a tangible solution to reduce carbon emissions without significantly affecting processes.
Building a CCUS-Ready Future
The infrastructure required to integrate carbon capture into our energy and industry systems is significant. But the transformation is already underway. CCUS clusters in the UK will support heavy industry and help to retain the approximately 1.5 million jobs (direct and indirect) in steel, cement, refining, chemicals, ceramics and glass.
The cluster approach allows for resource sharing between multiple industries, driving down costs and streamlining processes to ensure the UK is well-equipped to address challenges and meet our Net Zero ambitions.
FAQs: Carbon Capture in UK Industry
What is carbon capture usage and storage (CCUS)?
It is the process of capturing CO2 from industrial emissions then using or storing it safely underground to reduce carbon pollution
Why is carbon capture important for UK Net Zero goals?
The Climate Change Committee considers it essential for cutting industrial emissions especially in hard-to-abate sectors like cement steel and chemicals
Which UK projects are leading the way in CCUS?
Northern Endurance Partnership Net Zero Teesside and the proposed Acorn project in Scotland are key examples
Can CCUS be retrofitted to existing industrial plants?
Yes post-combustion and oxy-fuel technologies can be added to existing sites to reduce emissions without overhauling operations
How does CCUS support hydrogen production?
It enables the creation of low-carbon “blue” hydrogen by capturing CO2 produced during hydrogen manufacturing from natural gas
What are the economic benefits of CCUS for UK industry?
It helps businesses avoid rising carbon costs retain jobs and remain competitive while transitioning to more sustainable practices
How do CCUS clusters help lower costs?
They allow multiple industries to share infrastructure and resources reducing individual costs and streamlining implementation across sectors