Examine the relevance of Carbon Capture, Utilisation and Storage (CCUS) for India’s net-zero pathway. Also discuss the challenges and the strategy India should adopt. (10M, 150 Words)

Carbon Capture, Utilisation and Storage (CCUS) refers to technologies that capture carbon dioxide emissions from industrial sources, transport them, and either utilise or store them in geological formations. With India committing to Net Zero emissions by 2070, CCUS is gaining policy attention as a transition tool for decarbonising hard-to-abate sectors.

Relevance of CCUS for India:

1.     Decarbonising Hard-to-Abate Sectors:

• Industries like cement and steel contribute significantly to emissions.
• Cement alone accounts for nearly 7% of global CO₂ emissions.
• Renewable energy transition alone cannot eliminate process emissions.

2.    Maintaining Industrial Competitiveness: Mechanisms such as the EU Carbon Border Adjustment Mechanism (CBAM) penalise carbon-intensive exports. CCUS can help Indian industries remain globally competitive.

3.    Supporting Energy Transition:

• Allows continued use of fossil fuels during transition phases.
• Enables production of low-carbon hydrogen and cleaner electricity.

4.    Emerging Global Climate Tool:

• Around 45 CCUS facilities globally capture nearly 50 million tonnes of CO₂ annually.
• Global requirement is estimated at 1 billion tonnes capture capacity by 2030.

India’s Current Status:

1. India has launched CCU testbeds in the cement sector under PPP models.
2. National Centres of Excellence established at IIT Bombay and JNCASR Bengaluru.
3. Budgetary support of ₹20,000 crore allocated for CCUS deployment.
4. Pilot projects underway by companies such as Tata Steel, NTPC, ONGC, and Dalmia Cement.

Challenges associated with CCUS:

1.     High Economic Costs: CCS-based electricity may cost almost twice as much as renewable energy with storage.

2.    Limited Capture Efficiency: Many projects capture only about 50% CO₂, far below effective mitigation levels.

3.    Fossil Fuel Lock-in Risk: Nearly 80% of CCUS projects globally are linked to enhanced oil recovery, which prolongs fossil fuel usage.

4.    Infrastructure Constraints: India lacks mapped geological storage reservoirs and CO₂ transport infrastructure.

5.    Environmental Risks: Potential leakage from storage sites can undermine emission reduction efforts.

Strategy India should adopt:

1. Selective Deployment: Use CCUS mainly for hard-to-abate sectors such as steel, cement, and chemicals.
2. Prioritise Renewable Energy: Expand solar, wind, green hydrogen, and electrification as primary decarbonisation pathways.
3. Develop Storage Atlas: ONGC and GSI should map potential storage sites such as depleted oil fields like Bombay High.
4. Promote R&D: Invest in Direct Air Capture (DAC) and Bioenergy with CCS (BECCS) and leverage international climate finance and partnerships.
5. Pilot-Based Scaling: Begin with small, high-efficiency demonstration projects before large-scale deployment.

Conclusion:

CCUS can serve as a complementary climate technology and is essential for India to achieve sustainable industrial decarbonisation while aligning with global climate commitments and the 1.5°C pathway.

‘+1’ Value Addition:

• CCUS may contribute 15% of global emission reduction by 2070 as per IEA estimates.
• Current global CCUS captures only 50 MT CO₂/year vs 1 GT needed by 2030.
• India launched 5 CCU testbeds in cement sector to convert CO₂ into construction materials.
• Bombay High identified as a potential large-scale CO₂ geological storage site.
• CCUS increases energy use by 10–40%, raising cost and efficiency concerns.

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