- Sep 17, 2021 3:41 pm GMT
A big part of climate change is being wrought by global warming, thanks to rising carbon levels in the atmosphere. Industrial activity has spewed out some 2,200 gigatons of CO2 since the 19th century industrial revolution and continues to emit another 40 GT every year.
WHAT IS THE IMPACT ON NATURAL GAS INDUSTRY
- Although Natural gas has half the carbon footprint that of coal; the same cannot be said of LNG - The most emission intensive.
- World Bank has weighed in and said LNG cannot be part of decarbonizing of shipping industry (Hydrogen & Amonia better option)
- Saudi Arabia has abandoned its plan to develop LNG from Jafurah field and instead opted for 'Blue Hydrogen' with CCUS.
- There is a huge demand for LNG in Asia-Pacific; A clean LNG can provide accessibility and reliability of energy source
WHAT DIFFERENCE DOES CCS MAKE?
- Up to 20 - 25% emissions can be removed with CCS, according to WoodMac.
- Nearly 40% of Scope-1 & Scope-2 emissions in LNG comes from Liquefaction; CCUS is among the main option to reduce this.
- Pre-combustion capture of Co2 is cost effective as plants are already equipped with Co2 removal; CCS can reduce emissions up to 50%
POTENTIAL MARKET & INCENTIVE
- If regulators put a price say $100/ton; with 4o GT world emits this represent a potential $4.0 Trillion market
- In USA Federal & state program / incentives are making CCS a profitable business
- Federal 45Q ~ $50/t of CO2 for storage (depleted field or saline aquifers); $35/t for CO2-EOR storage (depleted oil gas fields)
- In addition state programs for stationary post source emission could be $40/ ton; and transportation (LCFS) ~ $185/ton
- Carbon pricing, CCSU technology and policies need to be such that capturing, repurposing or permanently storing carbon dioxide becomes more profitable than emitting it into the atmosphere. CCUS can extend the life span natural gas as energy bridge to clean fuels.
No discussions yet. Start a discussion below.
Get Published - Build a Following
The Energy Central Power Industry Network is based on one core idea - power industry professionals helping each other and advancing the industry by sharing and learning from each other.
If you have an experience or insight to share or have learned something from a conference or seminar, your peers and colleagues on Energy Central want to hear about it. It's also easy to share a link to an article you've liked or an industry resource that you think would be helpful.