The federal government’s recent introduction of long-awaited tax credits for carbon capture and storage (CCS) projects helps pave the way for companies across Canada to advance significant CCS developments. These initiatives are essential in supporting greenhouse gas reductions. Nowhere is this more relevant than in Alberta, where most of the country’s new CCS activity is underway thanks to our province’s world-leading experience with this critical environmental technology.
A key step in the early stages of building a CCS facility is consulting with those who may be affected by these large-scale construction projects. This includes communities near existing industrial facilities, landowners whose property may be located above underground carbon dioxide (CO2) storage sites or along pipeline routes, and Indigenous groups whose traditional territories may host CCS developments. I was pleased to participate in public open houses near Edmonton recently about the Wabamun Carbon Hub, a CO2 transportation and storage project proposed by Enbridge. This project aims to serve capture projects in the area, including Heidelberg Materials’ Edmonton carbon capture project.
The open houses were a great opportunity for the International CCS Knowledge Centre to share facts and information about CCS, drawing from our extensive industry experience. Speaking directly to members of the public is always valuable. It allows us to understand different viewpoints, answer questions, and hear any concerns they might have. My key takeaway from the open houses was that while Western Canada is home to many of the world’s existing CCS facilities, many people are not as familiar with CCS as they are with traditional forms of energy and industrial development. This naturally leads to some uncertainty and valid questions about the need for CCS infrastructure in their communities, and whether it is a safe and effective solution for managing emissions.
As activity ramps up in the months ahead, it is important to address the most common questions people have about CCS. Here are my answers to the top 10 questions about CCS I encountered:
What is carbon capture and storage (CCS)?
Carbon capture and storage is an emissions reduction process designed to prevent large amounts of carbon dioxide from being released into the atmosphere. The technology involves capturing CO2 produced by industrial plants, compressing it for transportation (typically by pipeline, or train) and then injecting it deep into carefully selected and evaluated underground rock formations where it is permanently stored.
Why is CCS necessary?
Reaching our net-zero targets requires all the tools we have at our disposal. CCS stands out as one of the only proven solutions available today that is capable of significantly reducing CO2 emissions from crucial sectors of our economy including oil & gas, cement, steel, chemical and fertilizer production.
The International Energy Agency anticipates CCS will account for approximately 20 per cent of the GHG reductions necessary to reach the Paris Agreement goal of net-zero emissions by 2050. Canada’s federal emissions reduction plan calls for more than tripling Canada’s current CCS capacity, adding at least 15 million tonnes by 2030. According to the Canadian Energy Regulator, expanding Canada's CCS capacity from today’s 7 million tonnes per year to 60-80 million tonnes per year is necessary to achieve net-zero emissions by 2050.
How do we know CCS works?
CCS has been used successfully for decades. There are currently 41 CCS projects operating worldwide with the capacity to capture more than 50 million tonnes of CO2 per year. Canada has been a leader in the development and implementation of CCS, accounting for approximately 15 per cent of the world’s current CCS capacity, even though our nation contributes less than two percent of global CO2 emissions.
CCS projects in Canada have securely stored over 50 million tonnes of carbon dioxide, equivalent to removing more than 10 million cars from our roads. Canada is home to the world’s first CCS facility on a commercial power plant, SaskPower’s Boundary Dam Unit 3 CCS facility, which has captured more than 6 million tonnes of CO2 since 2014. In Alberta, the Quest CCS facility, operated by Shell, has effectively sequestered over 9 million tonnes of CO2 since 2015 from the Scotford Refinery near Edmonton.
Why are CCS projects so expensive?
Removing CO2 from industrial exhaust involves complex chemical processes that require dedicated facilities which must be integrated with existing industrial operations – and space. Planning and constructing CO2 capture facilities typically takes more than five years and costs approximately $1 billion for a facility capable of capturing 1 million tonnes of CO2 per year. In addition to this, the CO2 must be transported to an underground storage site, with long-term monitoring for permanent storage.Like any technology, CCS technology continues to evolve, and the first generation of CCS projects are now providing valuable insights and lessons that can help with lowering the cost and improving the performance of the next wave of projects. New CCS technologies are being developed using a variety chemical and physical processes to capture CO2 with a goal of reducing the size and cost of carbon capture facilities in the years ahead.
Why does CO2 have to be removed from industrial emissions, can’t all the exhaust just be put underground?
Industrial exhaust, also known as flue gas, contains a variety of chemicals based on the specific industrial processes taking place at a facility. Emissions are regulated to protect human safety and the environment, including acceptable limits for all components. Carbon dioxide is typically less than 15 per cent of any flue gas. The CO2 is pressurized and injected for permanent storage, and separated from other chemicals, water and impurities.The presence of other chemicals could impact the geologic formations used for CO2 storage. As well, if the entire flue gas stream were to be stored, much more underground storage space would be needed.
Are CO2 pipelines safe? What happens if they leak?
Pipelines are the primary method of transporting captured CO2 to storage sites. In the U.S, CO2 has been transported via pipelines since 1972 and in Canada since 2000, with a high degree of safety measures in place. Transporting CO2 via pipeline is similar to the pipelining of other commodities like oil and natural gas, except that CO2 does not ignite during a leak. Pipelines are typically buried underground and are designed to withstand earthquakes, wildfires, and flooding. All pipelines are subject to strict safety and operating regulations set out by federal and provincial governments. Pipeline operators are required to have detailed emergency response plans in place, which are developed in collaboration with local first responders.
How do we know it is safe to put so much CO2 underground?
The process for storing CO2 underground is well understood and has been safely used for decades in the oil and gas industry, as well as at existing CCS sites around the world. Underground CO2 storage uses natural geologic processes to trap compressed CO2 in porous rock formations approximately one kilometre below the surface. The CO2 is contained below impermeable ‘cap rock’ formations - layers of impermeable rock to prevent the CO2 from migrating up the formation - that help ensure it remains underground indefinitely. Over time, trapped CO2 in saline aquifers returns to a mineralized state.
Does storing CO2 pose a risk to groundwater, soil or human health?
Carbon dioxide is in the air we breathe, the carbonated beverages we drink and even in some of the foods we eat. High quantities of CO2 can be hazardous to people, however, which is why capturing, transporting and storing CO2 is subject to strict regulation and oversight. Each storage site has a measurement, monitoring and verification plan in place, detecting the CO2 movement beneath the surface, so operators can respond to any changes in behaviour quickly.
Who is responsible for CO2 storage sites when a project ends?
When a company finishes putting CO₂ safely underground, the site’s liability transitions from the operator to the Government of Alberta. This transition occurs after the site meets all regulatory closure criteria, including successful CO₂ injection and monitoring, sealing of injection wells, and implementation of post-closure monitoring plans that typically last at least 10 years. Once these requirements are met and regulatory approvals are obtained, the province assumes responsibility for the long-term liability of the site. CCS operators pay into the Post-Closure Stewardship Fund to offset costs associated with the long-term monitoring and maintenance of the site.
What jobs and benefits do CCS projects generate for communities?
CCS projects are large-scale developments that create significant direct and indirect jobs, generate economic activity in communities, and keep important industries running over the long term. The world’s first CCS facility on a power plant located in southeast Saskatchewan employed a workforce of 1,700 people during peak construction and has been operational for nearly a decade. The facility employs process engineers, facility operators, technical and maintenance personnel, and more.
An edited version of this column originally appeared in the Edmonton Journal on Aug. 7, 2024.