9. Title: ENDS Europe Daily Headline: CCS can be cost-competitive after 2020 – report The industry-led Zero Emissions Platform (ZEP) has said it is confident carbon capture and storage (CCS) technology will prove successful and be cost-competitive with other low-carbon technologies once its commercialisation phase begins. A ZEP report published on Friday estimates the electricity generation cost of a CCS power plant using hard coal at about €70 per megawatt hours, excluding carbon costs. This is €20/MWh more than the same installation without CCS.
CCS plants will continue to need significant financial support after 2020. Those using hard coal would become economically viable at a carbon price of €37 per tonne of CO2, compared with €34/tonne and €90/tonne for lignite and gas respectively. This makes CCS coal plants potentially cost-competitive in the mid-2020s. In the EU, demonstration plants to be built between 2015 and 2020 will get funding from programmes such as the NER300. The emissions trading scheme (ETS) will not be a sufficient driver for investment until the carbon price is high enough to allow full-scale commercialisation. Other funding instruments will be needed.
The cost of gas-fired plants equipped with CCS would be a lot higher than for those using coal. The cost difference with a plant without CCS is also about €20/MWh: €70/ MWh, rising to €90/MWh with CCS, excluding carbon costs.
10. Title: European Energy Review Link: www.europeanenergyreview.eu Article: Uploaded Key Statement to website and provided link to CCS Cost reports on
ZEP website. 11. Title: Reuters Headline: CO2 capture will need support beyond 2020-study Link: www.reuters.com LONDON, July 15 (Reuters) - Power plants fitted with carbon capture technology will need government support beyond 2020, especially following a sharp drop in European carbon prices, an EU and industry-funded study found on Friday. Carbon capture and storage (CCS), untested at the commercial scale, is meant to trap and bury carbon dioxide emissions from fossil fuel power plants. The European Union’s emissions trading scheme (ETS) forces polluting factories and power plants to pay for carbon emissions, in a scheme partly intended to make green technologies competitive.
“It’s likely that it will require additional support over and above what’s provided by the EU ETS to enable deployment in the early 2020s,” said Graeme Sweeney, chair of the Zero Emissions Platform, an EU-industry initiative.
The price of pollution permits called European Union allowances (EUAs) have fallen 25 percent in the past month, however, following concerns about the pace of European economic recovery.
The G20 has called for 20 commercial-scale CCS plants worldwide by 2020. EU states are preparing funding for 10-12 commercial projects by then. CCS has a high capital cost and also inflicts a penalty on power plant efficiency. Pilot projects around the world have been repeatedly delayed or cancelled and no commercial-scale plant has yet been built. Most recently in the United States on Thursday power producer AEP said that it was putting on hold plans to
Friday’s report said that CCS would need continued support after 2020, to compete with unconstrained fossil fuel power and give energy companies time to fine-tune the technology.
Sweeney, who is also head of CO2 at Anglo-Dutch oil company Shell, stressed that it would be able to compete with other low-carbon power options, however. “We’re saying that fossil fuels with CCS are costcompetitive with the onshore and offshore wind, solar and nuclear group. They’re a viable low-carbon power option.”