A cooperative approach for joint BECCS and CCS deployment ☆
Emma JAGU a,b,c * Olivier MASSOL a,b,d,e
20 May 2020
Abstract
Bio-Energy with Carbon Capture and Storage BECCS) and Carbon Capture and Storage (CCS) are recurrently depicted as critical technologies to limit global warming to 2°C.
However, their current diffusion remains slow as a series of social and economic barriers inhibit their up-scaling. In the present research, we focus on one of these economic barriers: the provision of a joint BECCS/CCS transportation infrastructure connecting the industrial sites equipped with BECCS and CCS capabilities to the dedicated storage sites. We apply cooperative game theoretic notions to: (i) examine the conditions needed for its construction to be decided, and (ii) determine the threshold CO2 value needed to build such a shared infrastructure. We apply this modeling framework to a large contemporary joint BECCS/CCS project in Sweden. Our results indicate that sustainable and incentive compatible cooperation schemes can be implemented in the Swedish case if the value of CO2 is high enough; it should reach 120€/tCO2 or more, depending on negative emissions
accounting scenarios.These findings position pragmatic policy recommendations for local BECCS deployment.
Keywords: Carbon Capture and Storage; BECCS; CO2 transport network
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☆ We are indebted to Pascal Da Costa and Filip Johnsson for insightful comments and suggestions. Remaining
errors are, of course, our responsibility. This research has been supported by the Chair “Carbon Management and
negative CO2 emissions technologies towards a low carbon future (CarMa)”.
a IFP Energies nouvelles, 1-4 av. de Bois-Préau, F-92852 Rueil-Malmaison, France.
b Center for Energy Economics and Management, IFP School, 228-232 av. Napoléon Bonaparte, F-92852 Rueil-Malmaison,
France.
c LGI, CentraleSupélec, Université Paris Saclay, 9 ter rue Joliot-Curie, 92190 Gif-sur-Yvette, France
d Department of Economics, City, University of London, Northampton Square, London EC1V 0HB, UK.
e Climate Economics Chair, Palais Brongniart, 28 place de la Bourse, F-75002 Paris, France.
* Corresponding author. E-mail address: emma.jagu@ifpen.fr
