Carbon Capture and Storage and the Net Zero Industry Act
The need to accelerate climate action has never been more pronounced, particularly to decarbonise heavy industries. Advancing cost-effective climate solutions, like carbon capture and storage, can rapidly reduce emissions while ensuring that European industries remain competitive. As has been outlined by all leading pathways to reach climate neutrality, including the European Commission, Intergovernmental Panel on Climate Change, the European Scientific Advisory Board on Climate Change and the International Energy Agency, 300 to 550 million tonnes of annual CO2 capture and storage capacity will need to be available by 2050 if Europe is to reach its climate goals.
In response to the Inflation Reduction Act (IRA), in March 2023, the European Commission proposed a Net Zero Industry Act (NZIA), which provides a promising framework for an options-based strategy to achieve industrial decarbonisation in Europe. As European policymakers on the EU and Member State level continue their negotiations on the proposal, we’ve taken a look at what it means for carbon capture and storage and what improvements can be made in our policy brief, How the Net Zero Industry Act Can Create a European Low-Carbon Industrial Base Through Deploying Carbon Capture and Storage.