Optimization of CCUS supply chains in the UK: A strategic role for emissions reduction

Leonzio G

;Bogle D;Foscolo PU;Zondervan E

2020-01-01

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Abstract

The UK is the second largest emitter of carbon dioxide in Europe. It aims to take urgent actions to achieve the 2030 target for CO2 emissions reduction imposed by EU environmental policies. Three different carbon capture utilization and storage (CCUS) supply chains are developed giving economic indicators for CO2 utilization routes not implying carbon dioxide hydrogenation (i.e. with high TRL). The study presents an innovative proposal to reduce CO2 impact in the UK, a country rich in coal, which requires reduction of carbon dioxide emissions from flue gases as the easiest and best performing solution. Bunter Sandstone, Scottish offshore and Ormskirk Sandstone are the storage sites considered, while several attractive potential utilization options are considered. Through minimization of total costs, the CCUS supply chain with Bunter Sandstone as storage site results in the most economically profitable solution due to the highest value of net present value (€ 0.554 trillion) and lowest value of pay back period (2.85 years). Only carbon tax is considered. The total cost is € 1.04 billion/year. Across the supply chain, 6.4 Mton/year of carbon dioxide emissions are avoided, to be either stored or used for calcium carbonate production. Future work should consider uncertainty, dynamics of market demand and social aspects.