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VANCOUVER — Technological limitations, high costs and infrastructure challenges raise questions about relying on carbon capture, utilization and storage as a cornerstone of federal and Alberta climate policy, according to a new Fraser Institute study.
The study argues current carbon capture, utilization and storage technology, commonly known as CCUS, is unlikely to deliver emissions reductions on the scale envisioned by governments and industry.
The findings come as Ottawa and Alberta advance plans for a new West Coast oil pipeline alongside development of the Pathways carbon capture and storage project in the oilsands.
Kenneth Green, a senior fellow with the Fraser Institute and author of the study, said the historical performance of carbon capture projects raises questions about using the technology as a central climate policy.
“The technology available to us today, and our knowledge and historical use of carbon capture technology calls into question its use as a core climate policy for both the federal and Alberta governments,” Green said.
The study says most historical applications of carbon capture technology have been developed to enhance oil and gas recovery rather than permanently store carbon dioxide.
It also argues large-scale CCUS projects have frequently failed to meet projected carbon capture targets while experiencing significant cost overruns.
Scaling up the technology to capture a meaningful share of emissions would require substantial new infrastructure, including pipelines to transport captured carbon dioxide to storage sites.
The Fraser Institute says construction of those pipelines could face regulatory, legal and political barriers, adding further uncertainty to the cost and timelines of large-scale projects.
The study specifically points to the proposed Pathways project in Alberta, which would use a carbon dioxide transportation network and underground storage hub as part of efforts to reduce oilsands emissions.
The federal and Alberta governments have linked progress on the Pathways project with broader negotiations surrounding increased oilsands production and development of a new oil pipeline to the West Coast.
Green said current technology is unlikely to meet the expectations being placed on carbon capture projects.
“The idea that carbon capture, utilization and storage will provide large-scale carbon reduction is unlikely to be as successful as its proponents envision, at least with the technology as it exists today,” Green said.
The Fraser Institute describes itself as an independent, non-partisan Canadian public policy think-tank.
The study adds to the debate surrounding the role of carbon capture technology as governments seek to increase Canadian oil production and exports while reducing greenhouse gas emissions from the energy sector.
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