Jump-starting CCS Projects
An overview of European Union funding for Carbon Capture and Storage
In March 2023, the European Commission unveiled its proposal for a Net-Zero Industry Act1 (NZIA) to scale up the European Union’s (EU) manufacturing capacities in technologies that will drive decarbonisation while fostering competitiveness and supply chain resilience.
Recognising the imperative for improved coordination and synergies between existing funding sources, the proposal suggests the establishment of the Net-Zero Europe Platform.
This innovative governance tool is envisioned as a coordination hub where the European Commission and EU Member States can discuss advice on project financing, looking at different opportunities such as EU and national funding programmes, resources from international financing institutions and private sector support.
As part of the NZIA, the European Commission included Carbon Capture and Storage (CCS) as one of the eight strategic net-zero technologies to reach the EU’s climate goals. CCS entails a suite of applications that capture carbon dioxide (CO2), transport it, and store it safely and durably underground so that it does not contribute to climate change. Given insufficient market signals, public support for CCS projects is crucial for establishing a more viable business case for the rollout of a CO2 value chain at this nascent deployment stage.
In light of the future Net-Zero Europe Platform, this guide aims to serve as an introduction to how to access EU funding for CCS. It presents seven funds in a simple way, each accompanied by a brief description that emphasises their relevance for developing an industrial carbon management value chain.
