Teesside Collective is determined to move first and fast in the race to decarbonise vital industrial processes, and the Government is providing funding for us to continue to scope out the possibilities offered by industrial CCS in Teesside.
We continue to build the body of evidence needed to demonstrate that these technologies are viable. Current projects we are working on are outlined below.
Design of a new UK centre for carbon utilisation
We are designing a demonstration centre on Teesside which can be used by companies wanting to scale up ‘near to market’ carbon utilisation technologies – mostly for heavy industrial processes such as the manufacturing of aggregates, fertilisers and other chemicals – and produce a corresponding business case.
If built, it would be Europe’s first centre which would assist near-to-market technologies in commercialising their processes, and will put the UK at the forefront of these new investments.
Design of an industrial carbon capture project
Lotte Chemical UK makes PET needed by major soft drink brands for the manufacture of 15 billion recyclable drinks bottles every year. Lotte produces about 55,000 tonnes of CO2.
We are currently designing a first of a kind project to capture 90% of Lotte’s CO2.
If built, this would be the UK’s first industrial carbon capture project and would be a first step in developing carbon capture across Teesside.
Refinement of investment mechanism
The key challenge for industrial CCS is how to finance it.
In 2015, Teesside Collective commissioned Societe Generale to develop broad funding models that could address this challenge; this report can be accessed here.
In order to further this work, Teesside Collective commissioned Pöyry Management Consulting to refine our selected model and detail:
- What industrial carbon capture contracts would look like
- How they should be allocated
- What the timing and interdependencies would be with other parts of the chain; and
- How much money would be needed from the public sector to see a roll out of industrial CCS across the UK
Teesside Collective will present this work to the Government during November 2016 and will launch the report in January 2017.