Turning Point for Carbon Capture: How CCS Is Powering the Net-Zero Transition
According to DNV’s Energy Transition Outlook: CCS to 2050, carbon capture and storage (CCS) technology is reaching a pivotal inflection point, with global deployment expected to grow fourfold by 2030. This marks a significant step forward for an industry long seen as essential to achieving net-zero emissions.
Notable developments underscore this momentum. Northern Lights, the world’s first open-access CO₂ transport and storage infrastructure in Norway, received its first shipment of liquefied CO₂ from Heidelberg Materials in May this year. Meanwhile, STRATOS, the world’s largest direct air capture (DAC) facility developed by 1PointFive, is set to begin operations in Texas, USA.
The rapid expansion of CCS is being driven by massive investment. DNV projects that cumulative global investment could reach US$80 billion within the next five years, with two-thirds of this growth expected in North America and Europe.
Lower Costs and Crucial Role in Hard-to-Decarbonize Industries
As government policies increasingly support CCS, the overall cost of the technology is projected to fall by 14% by 2030, especially in areas of capture, transportation, and storage. This cost reduction will make CCS an indispensable tool for hard-to-decarbonize sectors such as cement, steel, and chemicals—industries with inherently high process emissions that cannot be fully electrified.
Oil and Gas: The Early Champions of CCS
Major oil and gas companies have been instrumental in the early success of CCS. The Northern Lights project, for example, is a joint venture among Equinor, Shell, and TotalEnergies, while STRATOS is backed by Occidental. Their involvement highlights both the technological complexity and the scale of investment required.
Most current CCS projects are concentrated in hydrocarbon processing—natural gas treatment, low-carbon hydrogen, and ammonia production—where high CO₂ concentrations and existing infrastructure offer significant advantages.
Regional Diversification: CCS Applications Around the World
Beyond 2030, the strongest growth in CCS will come from energy-intensive industries. By mid-century, the manufacturing sector alone is expected to account for 41% of all CO₂ captured annually. Regional applications will vary:
- Europe: Focused on cement and chemical production
- North America and the Middle East: Hydrogen and ammonia production
- China: Coal-fired power generation
Progress and Challenges Ahead
DNV projects that by 2050, CCS could capture 6% of global CO₂ emissions, up from just 0.5% in 2030. However, to meet DNV’s Net Zero pathway, that figure would still need to grow sixfold. This underscores the need for continued emission reductions at the source—while recognizing that CCS, particularly Direct Air Capture (DAC), will play a vital role in removing legacy carbon already in the atmosphere.
By 2050, DAC technologies are expected to account for roughly one-quarter of all CO₂ captured globally
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Thailand’s Path Forward: Emerging CCS Opportunities
Thailand, too, is moving decisively toward CCS development, especially within the energy and heavy industrial sectors.
- PTT Exploration and Production (PTTEP) is conducting feasibility studies for offshore CCS projects in the Gulf of Thailand, aiming to apply the technology in natural gas production—aligning closely with DNV’s findings that CCS is most readily applicable in oil and gas operations.
- SCG (The Siam Cement Group) has partnered with international firms to explore CCS for cement production, one of the most challenging sectors to decarbonize.
- The Thai government is also considering the establishment of a CCS Hub in the Eastern Economic Corridor (EEC) to serve as shared infrastructure for industrial emitters—potentially driving investment and positioning Thailand as a regional leader in low-carbon technologies.
A Defining Decade for CCS
The continued success of CCS will depend on collaboration between government and industry. Encouragingly, more large-scale projects are being approved, and leading energy companies are setting clear CCS targets and making strategic acquisitions in the space.
All signs point to CCS entering a decisive growth phase. If the world is to achieve Net Zero while maintaining the benefits of heavy industrial production, accelerating the deployment of CCS is no longer optional—it is essential.