A new Moody’s Investor Service report has found that the deployment of carbon capture and storage (CCS) is vital in reaching global emission targets around the world.
The technology buries carbon emissions from power plants deep underground, where it can be held for thousands of years to help avoid climate change while producing reliable power around the world.
Since the beginning of its commercial use in the 1970’s, CCS has been used in countries such as Canada, Norway, the US and many others and has the support of international organisations, including the International Energy Agency (IEA) and the Intergovernmental Panel on Climate Change, who believe the technology is vital to reaching global climate targets.
However, as developing countries turn to cheaper sources of energy such as coal to fuel their economies, CCS could play a vital role in helping these countries hit emission goals, while allowing less developed countries become more competitive in the global market. The report says that this argument alone should be enough to justify widespread support for the technology.
Despite the fact that a number of the early issues with the development have now been resolved, the technologies need policy support and further investment in order to achieve the large-scale success required to achieve global climate commitments.
Anna Zubets-Anderson, Moody’s VP-Senior Analyst said: “While many technological barriers to increased deployment of CCS have been lifted, policy support and investment have been lacking.”