The Federal Government has launched its $50 million Carbon Capture Use and Storage Development Fund aimed at supporting carbon capture projects across Australia.
Highlighted as one of five priority areas for investment under the Government’s Technology Investment Roadmap, carbon capture and storage technologies are seen as critical to achieving net zero emissions from power generation, natural gas and hydrogen production as well as process emissions from heavy industries like cement and fertiliser production.
Minister for Energy and Emissions Reduction Angus Taylor said the Fund – which is part of the Government’s $1.9 billion new energy technologies package in the 2020-21 Budget – will see successful projects share in up to $50 million in grant funding.
“Australia has the potential to be a world leader in geosequestration. We have the right geology and storage basins,” Minister Taylor said.
“The Fund will provide targeted support to a wide array of carbon capture, use and storage (CCUS) opportunities, including carbon recycling, negative emissions/direct air capture, and carbon capture and storage.
“The Morrison Government’s investment will reduce technical and commercial barriers to deploying these technologies and identifying potential project sites.
“It will also crowd in new investment from the private sector, supporting jobs and Australia’s economic recovery, particularly in regional areas.
Minister for Resources, Water and Northern Australia Keith Pitt said the Fund will support the ongoing use of Australia’s abundant natural resources, building on the Government’s previous support for CCS technologies, including one of the world’s largest CCS projects, Chevron’s Gorgon facility in Western Australia.
“Technology like this will be the key to further reducing emissions and ensure our premium quality coal will play an important role in Australia, and the world’s, energy needs for decades to come,” Minister Pitt said.
“I was pleased to visit Queensland’s Millmerran coal-fired power station recently where a trial of CCS is planned and I look forward to the results.
“The International Energy Agency confirms CCS combined with high-efficiency low emissions (HELE) technology reduces emissions by as much as 90 per cent, while providing cheap and reliable electricity,” he concluded.