The UK’s North Sea Transition Authority Issues 20 Carbon Storage Licenses
19th May 2023
The UK Government’s North Sea Transition Authority (NSTA) has issued carbon storage licenses in the North Sea for the first time, awarding 12 companies with 20 licenses. This move builds on the government’s £20 billion budgetary commitment to drive CCS projects across the UK to support climate targets.
Issued licenses include offshore sites by Aberdeen, Teesside, Liverpool and Lincolnshire, with the first injection of CO2 expected to occur within the decade. Once developed, the storage sites will have the potential to curb around 10% of the UK’s emissions by storing a potential 30 million tonnes of captured CO2 per year.
The NSTA notes that a number of factors contributed to the final selection process, including geological storage types, proximity to existing infrastructure, along with industrial clusters that will need CO2 storage to reach their decarbonisation targets.
The NSTA initiated the carbon storage licensing round in June 2022. A storage licensee also requires a lease from the Crown Estate/Crown Estate Scotland (as applicable) before undertaking storage activities.
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