Funding Carbon Capture and Storage in Central and Eastern Europe

For the Central and Eastern Europe (CEE) region to decarbonise its industries and maintain industrial competitiveness in the face of rising carbon prices, deploying carbon capture and storage (CCS) is essential. However, with the EU ETS carbon price yet to reach the levels necessary to make the business case for CCS deployment across all the sectors that will need these technologies, deploying projects will be contingent on supportive funding and financial de-risking measures. Government funding required for deployment can be dramatically reduced through the development of widespread CO₂ storage throughout the region, leading to large cost reductions and putting CEE industries at a competitive advantage over those exporting their CO₂.

This policy brief proposes a way forward for national governments and project developers in the CEE region to effectively deploy CCS at the lowest cost, drawing on examples from projects that have taken final investment decisions and are under construction.