Energy Secretary says he wants to fund two CCS projects

11 October 2012
By Sofia Mitra-Thakur
Mobile version
Share |
 Energy and Climate Change Secretary Edward Davey

Energy and Climate Change Secretary Edward Davey

Energy Secretary Edward Davey has said he wants to financially support two pilot carbon capture and storage (CCS) projects, a technology the UK is banking on to reduce climate-warming emissions and to develop as a new export product.

The UK sees CCS as a key technology for reducing carbon emissions in the energy sector, and the government has launched a £1bn competition to fund one or more projects.

Energy Secretary Edward Davey will next week meet the heads of the UK's coalition government to make a case for awarding government funds to two CCS projects, an official source familiar with the plans said.

Up until now it has not been clear whether the competition would fund one or more projects.

"Davey is calling for support for at least two full chain projects," the government source said.

Britain's previous attempts to finance CCS projects failed as costs surged above expectations, but the UK is counting on the technology to help it meet legally-binding climate targets and is banking on using it as a new export product to countries which have a vast fleet of polluting coal plants, such as China.

The winner or winners of the competition will be announced soon, a spokesman for the energy ministry said.

Britain's plan to fund CCS projects runs alongside a European Union programme, which has earmarked two UK CCS projects as contenders to win up to £271m of funding each raised from the sale of carbon permits in the EU.

EU countries whose projects were short-listed for the funding have to tell the Commission by the end of the month which three projects, including any renewable energy schemes, they would be able to support beyond the EU money to ensure they get built.

"We stand a very, very good chance to get at least one project," the source said.

The energy ministry spokesman said it would respond to the Commission by the deadline and that the UK's CCS competition would be aligned with the timetable of the EU-wide programme. He declined to comment on whether Davey was meeting the Prime Minister next week.

Electricity Market Reform proposals, which are currently being assessed by Parliament, include a mechanism to guarantee a minimum price of electricity for generators which emit no carbon, including CCS plants.

These so-called contracts for difference make the UK an attractive place to invest in CCS projects as they are guaranteed set long-term revenue.

Latest Issue

E&T cover image 1607

"As the dust settles after the referendum result, we consider what happens next. We also look forward to an international summer of sport."

E&T jobs

  • Stakeholder Specialist (Pricing)

    National Grid
    • Leicestershire, England, Hinckley
    • Negotiable

    Stakeholder Specialist (Pricing) National Grid connects Britain with the electricity and gas that keeps homes warm and businesses powered. We are driving the agenda to provide secure and sustainable energy both now and in the future. To meet this challen

    • Recruiter: National Grid

    Apply for this job

  • Investment Strategy Analyst (Capital)

    National Grid
    • Leicestershire, Hinckley, England
    • Negotiable

    Investment Strategy Analyst (Capital)£28,185 - £31,501 plus relevant benefitsHinckley National Grid's energy network transports gas to homes and businesses all over the UK. It's an essential part of all our lives. And it needs to be continuously advanced

    • Recruiter: National Grid

    Apply for this job

  • Integrity Engineer

    National Grid
    • England, West Midlands / England
    • £41 - £526 per annum + plus relevant benefits

    Integrity Engineer£41,526 - £46,000 plus relevant benefitsWest Midlands/East Midlands National Grid's energy network transports gas and electricity to homes and businesses all over the UK. It's an essential part of all our lives. And it needs to be contin

    • Recruiter: National Grid

    Apply for this job

  • Asset Strategy Specialist

    National Grid
    • England, Hinckley, Leicestershire
    • Negotiable

    National Grid's distribution network transports gas to homes and businesses all over the UK. It's an essential part of all our lives. And it needs to be continuously advanced and enhanced to meet increasing demand whilst embracing new energy solutions. Th

    • Recruiter: National Grid

    Apply for this job

  • Senior Engineer, Network Equipment

    Energy Networks Association
    • Westminster
    • £49-58k per annum, dependent on experience

    Manage issues and working groups relating to all types of equipment and assets used on the UK Transmission and Distribution Networks.

    • Recruiter: Energy Networks Association

    Apply for this job

  • Programme Manager, Network Resilience

    Energy Networks Association
    • Westminster
    • Competitive salary, dependent on experience

    Co-ordinate the network resilience, emergency planning and the Single Electricity Number (SEN) work in the ENA Engineering team.

    • Recruiter: Energy Networks Association

    Apply for this job

  • Operations Supervisor (Mechanical/Electrical/Instrumentation)

    National Grid
    • England, Cambridgeshire
    • £33000 - £39000 per annum

    Operations Supervisor - (Mechanical/Electrical/Instrumentation) Salary: Circa £33k - 39k dependant on experience + vehicle and great additional benefits (share scheme, pension, potential bonus).Location: Wisbech - Cambridgeshire We currently have an excit

    • Recruiter: National Grid

    Apply for this job

  • Process Controls Leader

    Premium job

    Phillips 66
    • Humber Refinery, South Killingholme, North Lincolnshire DN40 3DW
    • £60k - 75k plus extensive Compensation and benefits package, dependent upon experience

    Experienced Process Control Leader providing leadership and technical support for Oil Refinery. Extensive Compensation and benefits package.

    • Recruiter: Phillips 66

    Apply for this job

  • Regional Technical Support Manager

    Premium job

    Siemens
    • Warwick, Warwickshire

    You will be required to lead the regional Customer Services strategy and resources to maximise Customer satisfaction.

    • Recruiter: Siemens

    Apply for this job

  • Assistant Professor (Tenure Track) of Smart Building Solutions

    Premium job

    ETH Zurich
    • Zurich, Canton of Zürich (CH)

    The successful candidate is expected to develop a strong and visible research programme in the area of control and diagnostics of building systems

    • Recruiter: ETH Zurich

    Apply for this job

More jobs ▶

Subscribe

Choose the way you would like to access the latest news and developments in your field.

Subscribe to E&T