Carbon capture and storage (CCS) is viewed as a critical tool for cutting industrial CO2 emissions, but sceptics argue it may keep fossil fuels in the mix for too long. With the European Commission gearing up to introduce new measures, the spotlight on this technology is growing. In our next insights, we will examine how key EU Member States are responding to CCS and what it could mean for Europe’s energy and industrial future.

Today we will focus on the French revised National Energy and Climate Plans (NECP) to see how one of the first countries to join the European Union is integrating this critical technology into its climate strategy. We will discuss Europe’s energy future with top industry and policy names at the EnerGreenDeal Conference on 12 December 2024 in the Egmont Palace, Brussels. Registrations are now open on the event’s page.

Carbon Capture and Storage (CCS) plays a critical role in France’s plan to achieve its climate neutrality objectives, particularly for industries where low-carbon alternatives are unavailable in the medium term. This applies to sectors like cement, chemicals, and metallurgy, where emissions are intrinsically tied to production processes. In these cases, CCS complements energy efficiency and emission prevention efforts by capturing residual emissions that cannot otherwise be mitigated.
France plans to implement CCS in the industrial sector as early as 2027, and projections suggest that CO2 capture could reach between 4 and 8.5 million tonnes per year by 2030, expanding to 30 to 50 million tonnes by 2050, including biogenic CO2 emissions. In its third National Low-Carbon Strategy (SNBC 3), the French government aims to capture 6.6 million tonnes of CO2 by 2030, with significant contributions from the primary metals, chemical, and non-metallic minerals sectors.

The French government sees CCS as an essential component of its overarching climate strategy, embodied by the ‘France 2030’ investment plan. This initiative supports the development of low-carbon technologies across industries with an overall budget of €4.5 billion, earmarked for decarbonising the industrial sector. In 2024, a new support scheme will be launched, aiming to finance large-scale decarbonisation projects, including the installation of CO2 capture units for geological storage.
While France currently lacks geological CO2 sequestration capacity, studies initiated in early 2024 aim to assess its potential. The ‘France 2030’ plan is expected to invest €25 to €30 million into these studies, with a focus on seismic campaigns and injection tests to improve the country’s understanding of CO2 storage in its subsoil. At the same time, the French government is considering various transportation methods for captured CO2, including pipelines, rail, barge, or truck, to support the development of an efficient CCS infrastructure.

The ‘France 2030’ plan includes several “Strategies Nationale d’Accélération” (SA) which outline the steps needed to advance key low-carbon technologies. These strategies are part of the broader goal to align industrial, social, and economic players around France’s carbon neutrality objectives. The French “Decarbonation of Industry” strategy supports the scaling and industrialisation of decarbonization technologies, including CCS and energy efficiency measures. Another important component is the support for decarbonised hydrogen production, which is critical to reducing emissions in energy-intensive sectors like steel and chemicals.

Despite the ambitious targets, several challenges remain. CCS technologies are still emerging and not profitable without public financial support in the short term. To address this, the French government is preparing a tender process, set to begin later this year, to support the installation of CO2 capture units in industries where decarbonisation alternatives are limited.
France is also exploring bilateral agreements with countries like Denmark and Norway for the export of CO2, providing an alternative solution until the country develops its own sequestration capacity. However, the French government aims to optimize energy costs associated with CO2 transportation and develop domestic storage solutions, reinforcing its sovereignty and minimising reliance on external infrastructure.

As Europe charges toward its climate goals, the role of carbon capture and storage (CCS) is becoming a pivotal piece in the puzzle. With countries ramping up efforts to decarbonise, CCS could be the game-changer that bridges the gap to net-zero. This glimpse into the current NECPs shows that while progress is being made, the road ahead is full of both challenges and untapped potential.
Stay tuned for our next deep dive, where we’ll explore Germany’s bold moves in the CCS arena, and how the EU’s powerhouse could set the stage for the future of clean energy in Europe.