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Proceedings from the 2012 CCS cost workshop: 25-26 April 2012, California, US
Proceedings from the 2012 CCS cost workshop: 25-26 April 2012, California, US

1st April 2013

Topic(s): Public engagement, Economics, Carbon capture, use and storage (CCUS)

The third meeting of the Expert Group on CCS costs was held on April 25-26 2013 and hosted by the Electric Power Research Institute in Palo Alto. The current understanding of the costs of CCS was presented at that meeting and the agreed outcomes for the Group to take forward are included in this document. 
This work program consists of efforts to improve both the transparency of CCS cost calculations and the broader challenges associated with conveying messages around costs to the broader community. 
The meeting focused on a number of issues including considering guidelines and recommendations developed by a Task Group for a costing method and nomenclature that could be broadly adopted to produce more consistent and transparent cost estimates for CCS applied to electric power plants; along with how to evaluate emerging process as well as transport, storage and utilization. 
Topics discussed over the two days included: 

  • What are the main reasons for the reported costs of CCS demonstrations being significantly higher than the numbers in published CCS cost studies? 
  • What information would be useful to have from demonstration projects to help improve the published cost estimates? 
  • Should transport and storage form part of the work program to harmonize cost methods and nomenclature? And if so, what cost elements can be harmonized? 
  • How should ‘enhanced oil recovery’ storage operations be incorporated in harmonization efforts for storage? Alternatively, do the cost categories vary compared to saline formations? 
  • What types of methodologies are used to estimate costs for emerging processes? 
  • What kind of information should be reported in order to understand ‘what lies behind’ economic evaluations of emerging processes? 
  • How is the mix of commercially proven and modifications to commercially proven technologies best handled in terms of estimating equipment costs? 
  • How can uncertainties and risks be assessed in relation to estimated costs?

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