Carbon Capture Technology: Promise, Progress, and the Data Behind CCUS

The Case for Carbon Capture

Even in the most optimistic clean energy scenarios, carbon capture, utilization, and storage (CCUS) is considered essential for reaching net-zero emissions by 2050. The IEA estimates that CCUS must capture 6 Gt of CO2 annually by 2050 — up from approximately 45 Mt today.

CCUS addresses emissions from sectors that are difficult to decarbonize through electrification alone: cement, steel, chemicals, and heavy industry.

Current State of Global CCUS

As of early 2026, the global CCUS project pipeline includes:

• Over 500 projects in various stages of development
• 45 Mt/year of operational capture capacity across 40+ facilities
• $10+ billion in announced investments since 2022
• 130+ countries have included CCUS in their nationally determined contributions (NDCs)

The largest operational CCUS facilities include:

| Facility | Location | Capture Capacity | |----------|----------|-----------------| | Quest | Alberta, Canada | 1.2 Mt CO2/year | | Gorgon | Western Australia | 4.0 Mt CO2/year | | Sleipner | North Sea, Norway | 1.0 Mt CO2/year | | Boundary Dam | Saskatchewan, Canada | 1.0 Mt CO2/year | | Century Plant | Texas, USA | 8.4 Mt CO2/year |

Cost Analysis

CCUS costs vary significantly by application:

• Natural gas processing — $15-25/tonne CO2 (lowest cost, most mature)
• Power generation — $40-80/tonne CO2
• Cement production — $60-120/tonne CO2
• Steel production — $50-100/tonne CO2
• Direct Air Capture (DAC) — $250-600/tonne CO2 (highest cost, most scalable)

The US 45Q tax credit provides $85/tonne for geological storage and $180/tonne for direct air capture, making many CCUS projects economically viable for the first time.

Direct Air Capture: The Frontier

Direct Air Capture (DAC) technology removes CO2 directly from the atmosphere, regardless of the emission source. While currently expensive, DAC is attracting massive investment:

• Climeworks' Mammoth plant in Iceland — the world's largest DAC facility, capturing 36,000 tonnes CO2/year
• 1PointFive (Occidental) is developing a 500,000 tonne/year DAC hub in Texas
• Carbon Engineering (now part of 1PointFive) has developed large-scale DAC technology

The US Department of Energy's Regional Direct Air Capture Hubs program is funding four large-scale DAC projects totaling $3.5 billion.

Government Policy Support

Major policy frameworks supporting CCUS include:

• United States — Enhanced 45Q tax credits ($85-180/tonne), DOE funding programs
• European Union — Net-Zero Industry Act with CCUS targets, Innovation Fund
• United Kingdom — Carbon capture, usage and storage cluster program with 8 industrial clusters
• Norway — Northern Lights project providing CO2 transport and storage as a service
• Canada — Investment tax credit for CCUS at 37.5-60%

CO2 Emissions Data Context

Our CO2 emissions data across 56 countries provides context for understanding where CCUS deployment is most needed. Countries with high per-capita emissions and significant industrial bases — including the United States, Australia, Saudi Arabia, and Russia — stand to benefit most from CCUS deployment.

The data also shows that while renewable energy is reducing power sector emissions, industrial emissions remain stubbornly high in most countries, reinforcing the case for CCUS in hard-to-abate sectors.

New Data Available

We have updated our data platform with the latest CO2 emissions indicators across all 56 tracked countries. Combined with energy intensity and electricity generation data, analysts can now assess the potential for CCUS deployment at the country level.

Explore emissions and energy data for 56 countries on energtx.com.