CCS makes notable progress but frameworks still lacking

A comprehensive policy approach, including incentives and stronger regulatory frameworks, is essential to overcome challenges and accelerate CCS deployment, says a global report

- ABDULAZIZ KHATTAK

THE global shift towards decarbonisation has gained significant momentum over the past few years, with carbon capture and storage (CCS) technology increasingly recognised as a vital tool for achieving net-zero emissions.

As part of this growing recognition, countries are taking proactive steps to establish and enhance the policies, regulations, and fiscal mechanisms needed to deploy CCS at a large scale, says a report on 'CCS Policy, Legal and Regulatory Review' by the Global CCS Institute.

This includes introducing carbon pricing mechanisms, emissions trading systems (ETSS), and offering direct funding and fiscal incentives to accelerate the development of CCS projects.

Over the past two years, there has been a marked acceleration in efforts to support CCS worldwide. Key trends include growing fiscal incentives, increased regulatory certainty, enhanced regional and international collaboration, and a heightened focus on carbon dioxide removal (CDR).

The report provides an overview of the progress and challenges facing CCS governance regimes, highlighting global and regional trends in policy, legal, and regulatory developments.

This includes a deep dive into four key regions: the Americas, Europe, Asia-Pacific (APAC), and the Middle East and Africa, all of which have seen varying degrees of activity and development in CCS deployment over the past two decades.

REGIONAL HIGHLIGHTS

• Americas: North America has emerged as one of the most mature regions in terms of CCS development, with the US and Canada leading the charge.

In the US, CCS policies have been significantly strengthened in recent years, with notable improvements in fiscal incentives such as tax credits and direct funding.