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The Environmental Constrains of Net-Zero

Latest ERP report highlights the environmental challenges facing Carbon Capture, Utilisation & Storage (CCUS) and Hydrogen.

Why are environmental constraints on CCUS processes – production, transportation, storage and use of carbon dioxide – and the production, storage, transportation and use of hydrogen important? Can we deploy these technologies at scale in the UK and protect our communities and wildlife? Could our air, land and water be affected? Can we move and store carbon dioxide and hydrogen safely and for the long term? This report looks to raise important environmental considerations associated with these questions:

  • What are the main environmental challenges associated with CCUS and Hydrogen?
  • Do environmental constraints represent a fundamental barrier to deployment of CCUS and Hydrogen at scale?
  • How can we ensure environmental considerations are key to strategic decisions about the potential role of CCUS and Hydrogen?
  • How do we listen to and respond to public concern about CCUS and Hydrogen?

The report recommends:

  1. Consider whether water resource and quality issues will limit the deployment of CCUS at scale.
  2. Put safety of the public and the environment first.
  3. Be open and transparent about risks, including solvents.
  4. Calculate total efficiency of the complete CCUS process.
  5. Calculate the total expenditure (Totex) cost of CCUS.
  6. Demonstrate carbon dioxide storage is safe and permanent.
  7. Proactive and visible public engagement.

Conclusions:

As with many emerging technologies, Hydrogen and CCUS provides exciting opportunities and pose new challenges too. The UK Government and the Climate Change Committee both see a significant role for hydrogen and CCUS in the journey to Net Zero by 2050. To ensure this opportunity is grasped, then collectively the industry, government, and regulators must explore both the benefits and risks the technology brings at the earliest opportunity. We are facing a climate emergency and an ecological emergency – it is essential that new technologies are deployed to both deliver decarbonisation and protect people and wildlife too. Investors, regulators, and the public are hungry for assurance that new technologies:

  • will be fit for the future when deployed at scale.
  • they can operate within the environmental constraints a future climate brings.
  • and most importantly, human health is prioritised.

By resolving these questions in a prompt, open and transparent way then developers can build investor confidence and public acceptance of the technology which will be needed to improve the prospects of a smooth energy transition towards Net-Zero.

Immediate Need for Substantial Investment in Energy Storage

With the transition towards Net-Zero, our reliance on weather dependant energy generation will leave a significant gap in the UK’s energy supply without continuing to use existing fossil fuel reserves.

Increasingly the UK’s electricity supply is reliant upon gas and diesel reciprocating engines to plug the gap when renewable generation is limited due to weather conditions. Short-term engine operating cycles of less than ten minutes result in very low electrical efficiencies and high levels of localised air pollution.

Market uncertainty has slowed the roll-out of battery energy storage assets which are required to replace gas and diesel engines in Fast Response Contracts. Battery energy storage technology (Li-ion) is currently limited to operating periods of less than 2 hours and are generally unable to access around 50% of the installed capacity due to technical constrains.

Reduced renewable energy generation in excess of 2 hours is reliant on gas and diesel reciprocating engines due to CCGT and Nuclear power generation availability at short notice. Further increases of up to 8GW in electrical demand by 2030 is expected due to the forecasted growth in electric powered vehicles. Electrical storage using pumped hydro in the UK has lacked investment and electro-mechanical technologies are still in their infancy, lacking industry and government focus.

Around 80% of the UK’s heat demand is currently supplied by natural gas which is unlikely to be compatible with the Government’s ‘Net-Zero 2050’ target. The expected growth in heat pump deployment for hot water and space heating will add significant electrical demand on the system particularly during periods of low solar electrical energy availability. Although the efficiency of heat pumps is well proven, retrofitting this technology within older properties will require further investment in improving insulation and heat storage.

Contributing ERP Members to this report: –

ABB

ARUP

Atkins

Worcester Bosch

Carbon Trust

Committee on Climate Change

Department for Business Energy and Industrial Strategy

Department for Transport

EDF Energy

Energy Saving Trust

Energy Systems Catapult

ERA

Wales and West Utilities

Environment Agency

EPSRC

Hitachi

Innovate UK

National Grid

National Infrastructure Commission

Origami Energy

Turquoise International

Scottish Enterprise

Welsh Government

UKERC

University of Cambridge

Ofgem

Contributing Non-ERP Members to this report:

University of Birmingham