Committing to the future

CCS technologies are both necessary and unavoidable – the right combination of leadership, resources and innovation are needed now to maximise their viability

What we need to make effective Carbon Capture & Storage (CCS) a reality are innovation, commitment, resources and political will. Alstom is doing its part by developing proven technologies for use at existing and future power generation facilities to make coal, the earth’s most abundant energy source, a sustainable and cost-efficient fuel.

It is now abundantly clear that growing levels of CO2 and other greenhouse gases are dangerously contributing to global warming and fundamental shifts in the Earth’s climate. It is similarly clear that global demand for electricity is continuing to increase – the International Energy Agency (IEA) forecasts that global electricity generation will double by 2030 – and it will be impossible to meet that demand without relying, in part, on carbon-producing fossil fuels. In fact, the IEA estimates that fossil fuels will continue to produce the majority of the world’s electricity generation through 2030 – 70 percent globally and 60 percent in Europe. With coal being by far the greatest source of CO2 emissions, implementation of effective and cost-efficient CCS technologies will be crucial to the global effort to reduce greenhouse gas emissions and combat global warming.

When you take into account the fact that 60 percent of the power generating facilities that will be operating globally in 2030 are already in existence, it becomes quite apparent why Alstom is focused on developing state-of-the art post-combustion and oxy-combustion CCS solutions – because they have the greatest potential to reduce emissions at both existing and future power generation facilities. 

Post-combustion technologies, such as Alstom’s chilled ammonia process, as well as oxy-combustion processes, not only can be installed on new power plants, they can be retrofitted to existing power stations, much like adding an air filter to remove pollutants from an air conditioner or installing a muffler to quiet a car engine. In addition, these technologies are effective with a broad range of fossil fuels, from hard coal to lignite to natural gas, thus making them suitable for a wide variety of power generating facilities. Oxy-combustion, for example, is particularly well-suited for combusting high-ash coals, which are predominantly used in India – expected to be one of the biggest emitters of greenhouse gases during the next twenty years. 

Despite doubts about the efficacy and the ultimate cost of CCS, there is ample evidence that CCS technologies are effective, cost-efficient and can be commercially ready on a large scale within the next five to ten years. A recent independent report by McKinsey & Company entitled, ‘Carbon Capture & Storage: Assessing the Economics,’ found that long-term affordability of CCS should not be regarded as a significant issue. The McKinsey report concludes that CCS will be commercially viable at the likely price of CO2 under the European Emissions Trading Scheme during the 2020s. In terms of cost of CO2 abated, CCS is cheaper than most renewable technologies.

Time, however, is of the essence. The McKinsey report makes very clear there are critical actions to be taken now, both with respect to further development of CCS technologies and the commitment of governmental leaders to implement necessary policies and regulations. Any delay will only result in more costs, either in terms of resources, reduced CO2 abatement performance, or both.

In summary, to achieve appropriate target reductions in carbon emissions, CCS is absolutely necessary and unavoidable. What we need now is the commitment in terms of resources and political will to ensure that long-term policies and market regulations are put in place early enough, both for equipment suppliers to plan the necessary production capacities and for the end-users to plan power fleet adaptation. Given what’s at stake, namely, the habitability of the Earth for ourselves and future generations, it should not be difficult for us all to make that commitment.