Carbon Capture and Storage (CCS) Market Size Analysis
According to a research survey conducted by ChemView Consulting, in 2022, the Global Carbon Capture and Storage (CCS) Market was worth US$ 4,020.0 Mn and is expected to grow at a CAGR of 12.3% over the forecast period. The market is expected to hit US$ 12,824.0 Mn by 2032 end.
This growth is mainly driven by the following factors:
Carbon capture and storage (CCS) has gained popularity worldwide. Up to 90% of the carbon dioxide emissions produced by burning fossil fuels can be absorbed and stored using carbon capture and storage (CCS).
Fossil fuels are extensively used in several industrial activities, including electricity, cement, steel, and cement products. Carbon dioxide and other greenhouse gases are released into the atmosphere due to the extensive usage of fossil fuels.
The atmosphere’s ever-increasing concentration of these gases has contributed to several irreversible processes, including ozone depletion and climate change.
REGULATORY CHANGES WILL DRIVE THE MARKET TO NEW HEIGHTS
Many CCUS technologies are already mature, such as compression and pipelines, while others rely on bespoke brownfield projects that can be difficult to standardise. This means that revenues must balance out business cases.
Tax breaks, direct subsidies, and price support mechanisms are already being used to encourage CCUS investment. In the United States, for example, the 45Q tax credit provides a fixed payment per tonne of captured carbon dioxide sequestered or used. Tax credits like 45Q, on the other hand, primarily benefit established revenue-generating companies with significant tax burdens to reduce, while pre-revenue start-ups and innovators with limited tax burdens benefit less.
However, direct pricing, price support, and market-making are not the only ways for regulators to stimulate the industry. Product standards, for example, mandating certain volumes of green commodities, such as steel or cement, in public or private construction projects, or structuring markets to protect more expensive, CCUS-enabled products, are equally important.
Regulatory safeguards are also useful in stimulating the CCUS industry. In the United Kingdom, for example, the decision to phase out unabated gas power by 2035 effectively forces gas providers to switch to hydrogen or install CCUS in order to continue to deploy flexible power to balance renewables.
INCREASING WORRIES ABOUT ENVIRONMENTAL RISKS AND PERMANENT CHANGES FUEL THE MARKET
One of the key drivers responsiblef for he rise of the market is rapid industrialization, the rising need to reduce carbon emissions, the implementation of strict environmental regulations, and the increasing popularity of sustainable technologies.
The sole approach for lowering emissions from major industrial plants is CCS. It could shift the course of the fight against global warming. When combined with bioenergy technologies for power generation, CCS can produce “negative emissions,” which reduce CO2 in the atmosphere.
Implementing CCS technology has become urgently necessary, particularly in nations like China and the U.S., which are among the top emitters of CO2. Long-term prospects for the global carbon capture and storage sector would be improved.
HIGH INVESTMENT COSTS HAMPER THE MARKET GROWTH
Without increasing revenue, integrating CCS technologies raises capital expenditures for equipment technology, operating costs, and transportation costs. The technology hasn’t been widely adopted due to the cost of carbon capture and storage. Carbon pricing regulations are still not strong enough to make CCS commercially viable.
GREEN MITIGATION TECHNOLOGIES REPRESENT THE MARKET’S BIGGEST OPPORTUNITIES
Growing climate change awareness and developing clean, green mitigation technologies represent the market’s biggest opportunities. Additionally, this sector has a chance to create cutting-edge CO2 storage technology that is secure and long-lasting.
Market Segments Covered in Report
By End-Use Industry:
By Region and Country:
Why are oil & gas projected to ensure the most revenue during the forecast period?
The oil and gas sector uses carbon capture and storage (CCS) to cut greenhouse gas emissions. The oil and gas industry has created CCS systems for better oil recovery to store carbon dioxide in deep geological formations, whether onshore or offshore.
Because of the considerations above, the carbon capture, utilization, and storage (CCUS) market expect oil and gas to continue to be the most appealing sector.
Why is the post-combustion capture expected to expand the fastest during the forecast period?
In 2021, the post-combustion capture market had the highest share, with 55.6%. Post-combustion capture, CO2 is taken out of the air after fossil fuels are burned in power plants. Flue gases at power plants or other point sources are used to extract CO2. Other industrial applications are actively using the technology as well.
Because PCC can often be retrofitted into existing industrial plants and power stations without significantly altering the original facility, post-combustion capture is the most common study topic. For both new and existing power plants, post-combustion capture provides significant operational flexibility (partial refit, zero to full capture operation) and can adapt to market conditions.
For example, Post Combustion Capture enables inexpensive solar thermal collectors to generate the necessary heat to separate CO2 from sorbents, substantially decreasing the loss of electrical production caused by capture. Renewable technologies can be incorporated into this process.
The regions analyzed for the market include North America, Europe, Latin America, Asia Pacific, Middle East, and Africa.
Leading companies in the market for carbon capture and storage are constantly concentrating on creating environmentally friendly carbon capture and storage technologies.
Companies must take four steps to scale and capitalize on CCCUs:
Some of the key developments that have taken place in the Carbon Capture and Storage (CCS) Market include:
A list of some of the key suppliers present in the market are:
Report Coverage and Highlights
|Historical data available for||2017-2021|
|Market analysis||USD Million for Value and Tons for Volume, and CAGR from 2022 to 2032|
|Key regions covered||North America, Latin America, Europe, Asia-Pacific, Middle East, and Africa|
|Key countries covered||US, Canada, Brazil, Mexico, Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Saudi Arabia, Turkey, UAE, South Africa, Nigeria, Egypt|
|Key segments covered||By Technology, End-Use Industry, and Region|
|Customization scope||Available upon Request|
|Pricing and purchase options||Available upon Request|
Frequently Asked Questions
In the forecast period between 2022 and 2032, the market is expected to grow at a CAGR of 12.3%.
One of the key drivers of responsible for the rise of the market is rapid industrialization, the rising need to reduce carbon emissions, the implementation of strict environmental regulations, and the increasing popularity of sustainable technologies.
Major global Carbon Capture and Storage (CCS) Market players are ExxonMobil Corporation, Schlumberger, Huaneng, Linde AG, Sulzer, Equinor, NRG, AkerSolutions, Shell, Skyonic Corp.M Mitsubishi Hitachi, Fluor and Sinopec.
The high cost of CCS technologies is one of the main factors limiting the market’s growth for carbon capture and storage.
The North American region is expected to account for the largest market revenue share in the Global Carbon Capture and Storage (CCS) Market.
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