The CCUS Market has gained significant traction as industries and governments recognize that eliminating emissions from hard-to-abate sectors requires more than just renewable energy. CCUS captures CO₂ from power plants and industrial facilities, either storing it underground or using it in value-added applications.

Market Overview

CCUS is used in various industries, including cement, steel, refining, and power generation. It is considered essential by the IEA and IPCC to meet global climate goals, especially for countries reliant on fossil fuels.

Market Drivers

Net-Zero Commitments:
Countries aiming for net-zero by 2032 include CCUS in their roadmaps to decarbonize heavy industry and power.

Hydrogen Production (Blue Hydrogen):
Capturing CO₂ from steam methane reforming supports the transition to clean hydrogen.

Government Support and Incentives:
Tax credits like the U.S. 45Q, EU funding programs, and national subsidies support large-scale CCUS deployment.

Oil & Gas Sector Engagement:
Energy majors are investing in CCUS hubs to offset operational emissions and monetize captured carbon.

Utilization and Storage

Utilization: CO₂ can be reused in enhanced oil recovery, construction materials, and synthetic fuels.

Storage: Injected into saline aquifers, depleted oil fields, or basalt formations.

Challenges

High Costs and Infrastructure Needs: CCUS facilities and pipelines require massive capital investment.

Public Perception: Safety and environmental concerns around long-term storage.

Limited Commercial Projects: Most current CCUS initiatives are pilot or demonstration-scale.

Outlook

The CCUS market is projected to grow at a CAGR over the next decade. Clustering of capture sources and shared infrastructure will be key to scalability and cost reduction.