CCS Policy Scoping Document - plenary presentation given by Matthew Billson at the UKCCSRC Cardiff Biannual Meeting, 10-11 September 2014

1. CCS Policy Scoping Document
UKCCSRC Biannual Meeting
Cardiff, Sept 2014
Matthew Billson
Office of CCS, DECC

2. 2
Technology development
Industry
Time
Investment
Government

3. Ashley Ibbett, DECC
High-level principles for HMG intervention to support CCS – reducing levels of support through phases to full commercialisation
Phase 1
Peterhead / White Rose
Phase 2
Transition phase
Phase 3
Full commercialisation
HMG contribution to FEED costs
Yes
No
HMG contribution to construction costs
Yes*
No
HMG risk sharing during construction
Yes*
No
HMG risk sharing during operation
Yes*
No
CfD
Yes*
In principle, subject to decision†
In principle - all low carbon technologies compete on price†
Notes:
* Subject to negotiations, Final Investment Decisions by consortia and Government, an assessment of affordability and value for money; and state aid approval
† Without prejudice to future allocations from the current Levy Control Framework; or future decisions on the next Levy Control Framework period
Subject to decision†
Time
Investment
Government
Industry

4. Ashley Ibbett, DECC
High-level principles for HMG intervention to support CCS – reducing levels of support through phases to full commercialisation
Phase 1
Peterhead / White Rose
Phase 2
Transition phase
Phase 3
Full commercialisation
HMG contribution to FEED costs
Yes
No
HMG contribution to construction costs
Yes*
No
HMG risk sharing during construction
Yes*
No
HMG risk sharing during operation
Yes*
No
CfD
Yes*
In principle, subject to decision†
In principle - all low carbon technologies compete on price†
Notes:
* Subject to negotiations, Final Investment Decisions by consortia and Government, an assessment of affordability and value for money; and state aid approval
† Without prejudice to future allocations from the current Levy Control Framework; or future decisions on the next Levy Control Framework period
Subject to decision†
161
113
92.0
0
20
40
60
80
100
120
140
160
180
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
At present
early 2020s
late 2020s
Levelised cost of electricity at point of FID
(£/MWh, real 2012 money)
Cost Reduction Task Force 2013
UK installed CCS capacity
(GW) DECC Delivery Plan

5. 5
Ashley Ibbett, DECC

6. 6
R&D &
Innovation
__________________
Chapter 14

7. 7
R&D &
Innovation
__________________
Chapter 14
Responses: 23 Oct 2014
occs@decc.gsi.gov.uk
https://www.gov.uk/government/publications/ccs-policy-scoping-document