On Thursday 12 January, the European Commission authorised a €1.1 billion Danish aid scheme to support the roll out of carbon capture and storage (CCS) technologies.
The support scheme aims to promote CCS technologies used to reduce carbon dioxide (CO2) emissions that are released into the atmosphere and to achieve deeper decarbonisation of industrial processes.
The measure will support CCS as a viable and effective tool to mitigate climate change, which should increase investor confidence in CCS technology, reduce the cost of future CCS technology applications and thereby facilitate the development of a commercial market for CCS in Denmark.
The aid will be awarded after a competitive procedure due to be concluded in 2023. The tender will be open to companies from all industrial sectors, including the waste and energy sectors. Under a 20-year contract, the beneficiary will capture and store a minimum of 0.4 million tonnes of CO2 annually from 2026. The maximum amount of aid will be €54.9 million per year (DKK 408.4 million), which will be adjusted for inflation. (Original version in French by Lionel Changeur)