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Impact of international climate policies on CO2 capture and storage deployment: Illustrated in the Dutch energy system

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  • van den Broek, Machteld
  • Veenendaal, Paul
  • Koutstaal, Paul
  • Turkenburg, Wim
  • Faaij, André

Abstract

A greenhouse gas emission trading system is considered an important policy measure for the deployment of CCS at large scale. However, more insights are needed whether such a trading system leads to a sufficient high CO2 price and stable investment environment for CCS deployment. To gain more insights, we combined WorldScan, an applied general equilibrium model for global policy analysis, and MARKAL-NL-UU, a techno-economic energy bottom-up model of the Dutch power generation sector and CO2 intensive industry. WorldScan results show that in 2020, CO2 prices may vary between 20Â [euro]/tCO2 in a Grand Coalition scenario, in which all countries accept greenhouse gas targets from 2020, to 47Â [euro]/tCO2 in an Impasse scenario, in which EU-27 continues its one-sided emission trading system without the possibility to use the Clean Development Mechanism. MARKAL-NL-UU model results show that an emission trading system in combination with uncertainty does not advance the application of CCS in an early stage, the rates at which different CO2 abatement technologies (including CCS) develop are less crucial for introduction of CCS than the CO2 price development, and the combination of biomass (co-)firing and CCS seems an important option to realise deep CO2 emission reductions.

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  • van den Broek, Machteld & Veenendaal, Paul & Koutstaal, Paul & Turkenburg, Wim & Faaij, André, 2011. "Impact of international climate policies on CO2 capture and storage deployment: Illustrated in the Dutch energy system," Energy Policy, Elsevier, vol. 39(4), pages 2000-2019, April.
    • Handle: RePEc:eee:enepol:v:39:y:2011:i:4:p:2000-2019
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    4. Roni, Mohammad S. & Chowdhury, Sudipta & Mamun, Saleh & Marufuzzaman, Mohammad & Lein, William & Johnson, Samuel, 2017. "Biomass co-firing technology with policies, challenges, and opportunities: A global review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 1089-1101.
    5. Vinca, Adriano & Rottoli, Marianna & Marangoni, Giacomo & Tavoni, Massimo, "undated". "The Role of Carbon Capture and Storage Electricity in Attaining 1.5 and 2°C," MITP: Mitigation, Innovation and Transformation Pathways 266285, Fondazione Eni Enrico Mattei (FEEM).
    6. Fouladvand, Javanshir & Aranguren Rojas, Maria & Hoppe, Thomas & Ghorbani, Amineh, 2022. "Simulating thermal energy community formation: Institutional enablers outplaying technological choice," Applied Energy, Elsevier, vol. 306(PA).
    7. Ricci, Olivia, 2012. "Providing adequate economic incentives for bioenergies with CO2 capture and geological storage," Energy Policy, Elsevier, vol. 44(C), pages 362-373.
    8. Selosse, Sandrine & Ricci, Olivia, 2014. "Achieving negative emissions with BECCS (bioenergy with carbon capture and storage) in the power sector: New insights from the TIAM-FR (TIMES Integrated Assessment Model France) model," Energy, Elsevier, vol. 76(C), pages 967-975.
    9. Ricci, Olivia & Selosse, Sandrine, 2013. "Global and regional potential for bioelectricity with carbon capture and storage," Energy Policy, Elsevier, vol. 52(C), pages 689-698.
    10. Gerssen-Gondelach, S.J. & Saygin, D. & Wicke, B. & Patel, M.K. & Faaij, A.P.C., 2014. "Competing uses of biomass: Assessment and comparison of the performance of bio-based heat, power, fuels and materials," Renewable and Sustainable Energy Reviews, Elsevier, vol. 40(C), pages 964-998.
    11. Selosse, Sandrine & Ricci, Olivia, 2017. "Carbon capture and storage: Lessons from a storage potential and localization analysis," Applied Energy, Elsevier, vol. 188(C), pages 32-44.
    12. Luo, Jianing & Panchabikesan, Karthik & Lai, Kee-hung & Olawumi, Timothy O. & Mewomo, Modupe Cecilia & Liu, Zhengxuan, 2024. "Game-theoretic optimization strategy for maximizing profits to both end-users and suppliers in building rooftop PV-based microgrids," Energy, Elsevier, vol. 313(C).
    13. van den Broek, Machteld & Berghout, Niels & Rubin, Edward S., 2015. "The potential of renewables versus natural gas with CO2 capture and storage for power generation under CO2 constraints," Renewable and Sustainable Energy Reviews, Elsevier, vol. 49(C), pages 1296-1322.
    14. Brouwer, Anne Sjoerd & van den Broek, Machteld & Seebregts, Ad & Faaij, André, 2015. "Operational flexibility and economics of power plants in future low-carbon power systems," Applied Energy, Elsevier, vol. 156(C), pages 107-128.
    15. Fouladvand, Javanshir, 2022. "Behavioural attributes towards collective energy security in thermal energy communities: Environmental-friendly behaviour matters," Energy, Elsevier, vol. 261(PB).
    16. Dedinec, Aleksandar & Taseska-Gjorgievska, Verica & Markovska, Natasa & Pop-Jordanov, Jordan & Kanevce, Gligor & Goldstein, Gary & Pye, Steve & Taleski, Rubin, 2016. "Low emissions development pathways of the Macedonian energy sector," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 1202-1211.
    17. Brouwer, Anne Sjoerd & Kuramochi, Takeshi & van den Broek, Machteld & Faaij, André, 2013. "Fulfilling the electricity demand of electric vehicles in the long term future: An evaluation of centralized and decentralized power supply systems," Applied Energy, Elsevier, vol. 107(C), pages 33-51.
    18. Sun, Liang & Chen, Wenying, 2017. "Development and application of a multi-stage CCUS source–sink matching model," Applied Energy, Elsevier, vol. 185(P2), pages 1424-1432.

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