The global market for Carbon Capture & Storage is projected to reach 51.6 Million Tonnes by 2024, driven by the growing concerns over the environment, improvements in the reliability of carbon capture technologies as a result of continuous advances and climate change agreements.
Low-carbon technologies are garnering significant interest as the world faces an impending, severe environmental crisis in the form of climate change, and increasing resolve to take action to mitigate these changes. Decarbonizing energy production/consumption and reduction of CO2 from the atmosphere requires combination of several technologies used in tandem. Carbon Storage and Capture (CCS) is one such low-carbon technology that promises to achieve a part of this goal by reducing CO2 emissions across various sectors. With several pilot and demonstration projects successfully completed and many large-scale integrated projects in operation, CCS has emerged as an established technology in curtailing concentration of greenhouse gases in the atmosphere. Growth in government funding, new climate change targets through accords such as Paris Agreement, and developments in processes are driving CCS technology further. The technology, however, is still in a nascent stage and remains largely untested or its impact on the environment is not fully understood.
Technological advancements are critical in driving CCS as a major technology in climate change mitigation going forwards. While considerable efforts are focused on improving and advancing existing technologies, new technologies with higher capture efficiency are being explored and developed that could potentially drive future growth. Improvements in carbon capture and storing technologies by lowering capital equipment costs, capture operating costs, and energy penalty is expected to drive the market for CCS in near future. Increase in applications of captured CO2 other than storage such as for Enhanced Oil Recovery (EOR), urea production, enhanced coal bed methane, algae fixation, mineralization, enhanced geothermal systems and others is expected to fuel growth in the market. The industry is not without its own challenges. Expensive nature of these projects, lack of government assistance in some markets, lower awareness levels of the technology and opposition to carbon sequestration in some are major hurdles to growth in CCS deployments.
The U.S. represents the largest market worldwide. High emission of greenhouse gasses, availability of substantial government funding through agencies, such as Department of Energy, and high focus on enhanced oil recovery make the country a hotbed for CCS activity worldwide. Rest of World represents the fastest growing market worldwide, with a CAGR of 9.8% through the analysis period. Pre-combustion capture technology represents the largest technology type in CCS deployments worldwide, while other technologies are expected to fuel growth going forwards.
Major players in the market include Archer-Daniels-Midland Company, BP plc, Chevron Corporation, Emissions Reduction Alberta, GE Power, HTC CO2 Systems Corp., Inventys Thermal Technologies, Inc., Japan CCS Co., Ltd., Maersk Oil, Petrofac Ltd., Schlumberger Limited, SNC-Lavalin Group, Inc. and Statoil ASA among others.