Europe CO2 market can reduce storage costs but policies ‘stand in way’

Carbon emitters in Europe using offshore carbon dioxide (CO2) storage would benefit from 21% cost savings, according to a new report from The Carbon Capture and Storage Association (CCSA).

The report found emitters in EU27 countries would also benefit from a €16/t reduction in the cost for offshore transport and storage, representing 28% cost savings – though current policies are a barrier.

With the EU alone projected to need 164 MtCO₂pa of offshore CO2 storage by 2040, this would represent €2.6bn in annual savings, the report states.

The report, based on modelling and analysis by Xodus Group, shows that enabling cross-border CO₂ transport and storage is critical for reducing emissions efficiently and on time.