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CCS demonstration in developing countries: priorities for a financing mechanism for carbon dioxide capture and storage

1st April 2011

Topic(s): Carbon capture, use and storage (CCUS), Project financing

Existing financing for carbon capture and storage (CCS) is grossly insufficient to enable demonstration projects in developing countries. The few available funds are either spread over the full array of low-carbon technologies, or fall short of the magnitude or the mandate needed to propel commercial-scale CCS demonstrations forward. Current carbon offset mechanisms are not sufficient to spur CCS deployment in developing countries in today’s context either. Overall, existing CCS financing mechanisms help grow capacity, but their support is insufficient to leverage enough funding from capital markets to implement projects in a non-OECD context.

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CCS demonstration in developing countries: priorities for a financing mechanism for carbon dioxide capture and storage

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