Today the ITRE committee voted on the Net Zero Industry Act, and with the earlier ENVI committee vote on the 20th of September, the Parliament concluded its position on articles pertaining to carbon capture and storage, which the two committees shared competency on. These mostly positive parliament votes help set societal terms for the development of crucial CO2 storage for the EU industry, instead of leaving it to the petroleum industry alone.
- Both committees keep the crucial obligation placed on oil and gas producers to develop much-needed CO2 storage injection capacity. This will be vital in spurring climate action in a timely manner.
- Both committees highlight the importance of transportation within the CCS value chain, calling for supporting text to ensure the logistics of connecting an emitter to a storage site are efficiently mapped and managed.
- The target of 50 Mtpa of storage injection capacity is recognised as a viable target for the deadline of 2030, highlighting the role CCS will play in EU climate ambition.
- The ITRE position expands to an obligation from being placed on oil and gas “producers” to “sellers”. This is too unclear on whom exactly the responsibility falls on, potentially diluting the obligation. Moving forward in the legislative process, further clarity is necessary.
- ENVI committee looks to increase the storage injection capacity target by 10 Mt but does so with the inclusion of the EEA. The implementation of EU laws in the EEA risks delays in storage development as well as potential monopolistic tendencies with the concentration of said storage capacities.
With the Parliament’s support and reinforcing the much-needed obligation, alongside a solid injection capacity target, the focus is now on the Council to continue the widespread support for legislation that supports a crucial decarbonisation pathway. These parliament votes help set societal terms for the development of crucial CO2 storage for the EU industry, instead of leaving it to the petroleum industry alone.
“The Parliament has carried forward what the Commission proposed as an appropriate allocation of responsibility. The obligation on oil and gas producers to develop storage injection capacity helps address a key bottleneck of the CCS value chain in climate-relevant timelines” – Aravind Dhakshinamoorthy, Policy Analyst CCS
Read our press release: Bellona EU Press Release_NZIA_2510