The acceleration of CCUS investments in the cement sector requires supportive measures
Decarbonisation investments in the EU cement sector are accelerating. Whilst a mix of technologies are needed to decarbonise cement production (please see CEMBUREAU’s Carbon Neutrality Roadmap ), Carbon Capture, Utilization and Storage (CCUS) is particularly critical as our sector faces unavoidable process emissions.
A large number of CCUS pilot and demonstration projects have been launched by cement companies across Europe, with the first of them becoming operational as early as 2024. The pipeline of investments is particularly strong – for instance, the latest ETS Innovation Fund call awarded over 500 million Euros to three cement CCUS projects. Based on current investment plans, CEMBUREAU estimates that more than 15 CCS cement projects will be operational by 2030, requiring an annual injection capacity of 12-15 million tons of CO2 . In parallel, the sector is also exploring CCU opportunities, with several projects being developed.
The EU cement industry strongly believes that it is vital to further accelerate CCUS deployment in our sector. In this respect, CEMBUREAU considers that the EU and national regulatory frameworks for CCUS should be strengthened in the following areas:
- Innovation Funding should “turbo charge” CCUS projects through decisive measures , such as the front-loading of EU ETS Innovation Funding and specific calls for the cement/CBAM sectors, a widescale adoption of carbon contracts for difference, and a simplification of state aid rules.
- Clear regulations for CO2 infrastructure (both CO2 storage and transportation networks) are urgently needed . Our sector requires fair access and market access conditions mirroring those existing in the energy sector. The issue is particularly urgent as the first capture projects are becoming rapidly a reality.
- The EU CO2 storage capacity should be increased . This necessitates action at both EU and national level to identify storage sites and deliver the necessary licenses in a timely manner. Furthermore, permanent form of CO2 storage other than through geological sites should be recognized.
- CO2 transport infrastructure should be developed to transport the captured CO2 towards storage and utilization sites . This requires coordinated planning, work on common specifications and a recognition of all CO2 transport modes.
- The EU regulatory framework on CCU should be reviewed . CCU remains vital for many EU cement kilns which are landlocked and not located next to CO2 storage sites. The current EU framework endangers ongoing and planned investments.
- Permitting procedures should be fastened . Permitting is rapidly becoming a major obstacle for investments and procedures at national level should be facilitated. Similarly, access to renewable energy will
The below table provides more detailed explanations on each of these topics. CEMBUREAU urges EU and national policymakers to take into account these requirements in their upcoming initiatives
||CEMBUREAU POSITION & RECOMMENDATION|
|Establishing clear regulations for CO2 infrastructure||
|Increasing the EU’s CO2 Storage capacity||
|Developing CO2 transport Infrastructure||
|Reviewing the EU regulatory framework for CCU||
|Permitting & related issues||