"EKI and similar providers play a pivotal role in catalyzing change within the carbon offset market. By spearheading awareness campaigns, fostering collaborations, and championing technological innovations, they are instrumental in making Carbon Capture, Utilization, and Storage (CCUS) solutions more accessible and effective in combating the pressing issues of climate change."
Q. Could you elaborate on the services provided by CCUS solution providers, such as EKI Energy Services Ltd., in advising and facilitating investment for corporates and investors aiming to achieve NetZero and carbon neutrality commitments?
CCUS services are gaining traction globally as a pivotal solution in the fight against climate change. Providers in the carbon offset market, including EKI Energy Services Ltd., are actively engaged in tracking and promoting the development of CCUS technologies, particularly in regions like the Indian subcontinent.
CCUS services encompass a range of activities including strategic advisory, project development, investment facilitation, and commercialization support to foster innovation and accelerate the adoption of CCUS solutions on a mass scale, contributing to global efforts to mitigate carbon emissions and combat climate change.
Strategic Advisory: This involves providing expert guidance and recommendations to stakeholders on strategic decisions related to CCUS initiatives. By providing strategic guidance, CCUS services help stakeholders navigate the complex landscape of carbon capture, utilization, and storage technologies, ensuring informed decision-making and effective implementation. It includes assessing the regulatory landscape, identifying market opportunities, and advising on policy frameworks to support the successful implementation of CCUS projects.
Project Development encompasses the planning, design, and execution of CCUS projects from inception to completion. It involves conducting feasibility studies, assessing technological options, securing necessary permits and approvals, and overseeing project execution to ensure successful implementation.
Investment Facilitation is guidance and simplification of funding and financing opportunities for CCUS projects. It includes connecting project developers with potential investors, navigating financial instruments and incentives available for CCUS initiatives, and assisting in the development of business cases to attract investment.
Commercialization Support: This entails supporting the integration of CCUS technologies into existing industrial processes and commercial applications. It includes providing technical expertise, conducting pilot projects to demonstrate feasibility, and facilitating partnerships with industries to deploy CCUS solutions at scale. These services play a crucial role in advising and facilitating investment for corporates and investors, especially those operating in industries with significant carbon emissions such as petroleum, natural gas, and metallurgy. The goal is to support these entities in achieving their NetZero and carbon neutrality commitments by leveraging high-quality removal credits generated through CCUS projects.
Providers like EKI and others in the carbon offset market are instrumental in driving awareness, facilitating partnerships, and advancing technological advancements to make CCUS more accessible and impactful in addressing the challenges of climate change.
Q. What role do CCUS technologies play in achieving Sustainable Development Goal 13 (Climate Action) and how do they contribute to global efforts to limit temperature rise and combat climate change?
CCUS technologies help reduce greenhouse gas emissions by capturing CO2 emissions from industrial processes, power plants, and other sources before they are released into the atmosphere. By capturing and storing CO2 with scientifically proven permanency of storage or utilizing it for various industrial processes, CCUS technologies remove or prevent significant amounts of CO2 from entering the atmosphere, thereby reducing the overall concentration of greenhouse gases and mitigating climate change.
They also enable the utilization of captured CO2 for various purposes, including enhanced oil recovery (EOR), carbon-negative concrete production, and the production of synthetic fuels and chemicals. By utilizing CO2 as a valuable resource in these applications, CCUS technologies promote circular economy principles and reduce reliance on fossil fuels, thus contributing to sustainable development and climate mitigation.
CCUS technologies play a critical role in enabling the decarbonization of hard-to-abate sectors such as cement, steel, and chemicals production, which are significant contributors to global carbon emissions. By capturing and storing CO2 emissions from these sectors, CCUS technologies facilitate the transition to low-carbon and net-zero emission pathways, aligning with the objectives of Sustainable Development Goal 13 and global climate action initiatives.
They provide a viable pathway to significantly sequester or reduce carbon emissions, promote sustainable development, and contribute to achieving the objectives of Sustainable Development Goal 13 by limiting temperature rise and advancing global climate action efforts.
Q. How do you perceive the safety and efficacy of CO2 storage methods, particularly in geological formations, and what measures are in place to ensure the security and integrity of these storage sites?
Geological storage of CO2 involves injecting captured CO2 deep underground into suitable geological formations, such as basalt rock formation, depleted oil and gas reservoirs, saline aquifers, or unmineable coal seams, where it is securely stored over long periods.
In such a situation, a thorough geological assessment, risk assessment, and appropriate regulatory frameworks among other factors play and important part in ensuring safety of these sites. Geological Assessment: Thorough geological assessment is conducted to identify suitable storage sites with characteristics such as porosity, permeability, and caprock integrity conducive to safe and secure CO2 storage.
Site Characterization: Detailed site characterization studies are conducted to understand the geological structure and integrity of the storage formations, including potential risks such as fault lines or geological anomalies that could compromise storage security. Injection Monitoring: Continuous monitoring systems are implemented to monitor CO2 injection and migration within the storage formation, ensuring that injected CO2 remains confined and does not leak into surrounding groundwater or surface ecosystems.
Caprock Integrity: Caprock formations, which act as natural seals to prevent CO2 leakage, are carefully assessed to ensure their integrity and effectiveness in containing injected CO2 over time. Risk Assessment: Robust risk assessment methodologies are employed to identify and mitigate potential risks associated with CO2 storage, including seismic activity, induced seismicity, and leakage pathways.
Regulatory Frameworks: Stringent regulatory frameworks and monitoring protocols are established to govern CO2 storage operations, ensuring compliance with safety standards and environmental regulations. Some of the specific measures are already in place for the safety part like implementation of standards in well construction and design to prevent leakages, monitoring and verification (geophysical surveys, groundwater monitoring, etc) of the storage sites, emergency handling procedures, among others.
Q. Looking towards the future, how do you envision the role of CCUS technologies in transitioning towards a low-carbon economy and addressing emissions from hard-to-abate sectors like heavy industry and power generation?
By capturing CO2 emissions from industrial processes and power plants, CCUS technologies enable the continued use of fossil fuels in hard to decarobonization application, with a gradual reduction while significantly reducing emissions, thereby supporting the transition to a low-carbon economy. These are basically the sectors where complete and sudden decarbonization won’t just pose a threat to the industry as a whole but also impair the functioning of the world. Which is why the industries like power generation are still heavily reliant on the burning of fossil fuels and subsequent thousands of tonnes of emissions. While these emissions cannot be avoided completely, CCUS technology helps in managing those emissions and acts like a shock absorbing cushion, giving time to the industry to gradually decarbonize.
They complement renewable energy deployment by providing a reliable and flexible solution for addressing emissions from sectors where electrification or renewable energy integration is challenging or economically unfeasible. By capturing and storing CO2 emissions from these sectors, CCUS technologies help mitigate climate change impacts and support the achievement of climate mitigation goals.
The deployment of CCUS technologies in hard-toabate sectors drives innovation and investment in low-carbon technologies and infrastructure. By incentivizing research and development, technology demonstration projects, and private sector investments in CCUS deployment, governments and industries can accelerate the transition towards a low-carbon economy while fostering economic growth and job creation. CCUS technologies are essential for transitioning towards a low-carbon economy and addressing emissions from hard-to-abate sectors like heavy industry and power generation. By capturing and storing CO2 emissions, CCUS technologies enable the decarbonization of these sectors, support climate mitigation goals, drive innovation and investment, and enhance energy security, thereby
Q. What are some of the key technological advancements and innovations in CCUS methods that you anticipate will drive further adoption and scalability in the coming years?
Continued advancements in carbon capture technologies, including post-combustion capture, pre-combustion capture, and oxy-fuel combustion, are expected to enhance capture efficiency, reduce energy penalties, and lower the cost of capturing CO2 emissions from industrial processes and power plants. These methods are retrofit-friendly and can be applied to existing power plants and facilities, offer high purity CO2 streams. On the other hand, novel materials and chemical formulations like next-generation solvents and sorbents are being explored to enhance the efficiency and reliability of CO2 capture systems. Innovations in CO2 utilization and conversion technologies are expanding the range of applications for captured CO2, including the production of synthetic fuels, chemicals, building materials, and consumer products. Direct Air Capture technologies, which involve capturing CO2 directly from the atmosphere, are gaining attention as a complementary approach to traditional carbon capture methods, especially in urban areas grappling with pollution. Advancement in monitoring technologies in CCUS has been revolutionary and will continue to revolutionise the adoption and scalability. Geophysical imaging, satellite monitoring, and microseismic monitoring, are anticipated to improve reservoir characterization, enhance storage security, and enable real-time monitoring of CO2 migration and storage integrity. Integration of CCUS systems with other industrial processes, such as hydrogen production, biomass conversion, and mineral carbonation, is also expected to enhance overall system efficiency and economics. Integrated CCUS systems leverage synergies between different processes to optimize energy use, reduce costs, and maximize CO2 utilization or storage potential.
Q. How can policy support, regulatory frameworks, and carbon pricing mechanisms incentivize the deployment of CCUS technologies and accelerate their integration into mainstream climate mitigation strategies?
Governments can provide financial incentives such as tax credits, grants, and subsidies to encourage investment in CCUS projects, offsetting the high upfront costs associated with deployment and making carbon capture investments more attractive to industries and investors. Additionally, implementing carbon pricing mechanisms like carbon taxes or cap-and-trade systems creates a financial incentive for industries to reduce their carbon emissions, motivating them to invest in CCUS technologies as a means of avoiding carbon-related costs. Regulatory frameworks mandating emission reduction targets or the adoption of CCUS technologies further drive investment in carbon capture by compelling industries to comply with emission standards. Long-term policy stability and regulatory certainty are crucial for attracting investment in CCUS projects, necessitating the establishment of clear and consistent policies supporting carbon capture over the long term.
This in addition to international collaboration between governments, industries, and international organizations is essential for facilitating the deployment of CCUS technologies on a global scale, driving their integration into mainstream climate mitigation strategies through knowledge sharing, policy coordination, and international frameworks. Governments can also allocate funding for research and development initiatives focused on advancing CCUS technologies and reducing their costs, accelerating the development and commercialization of more efficient and cost-effective solutions.
Q. In what ways did EKI’s involvement in Vibrant Gujarat Summit achieve strategic goals and strengthen its position in the market?
EKI’s participation in Vibrant Gujarat summit aligned with its goals and bolstered its market position by showcasing its services, solutions, and technologies at a prominent event, highlighting our commitment to sustainability and net zero future. This enhanced brand visibility and reputation among industry peers, potential clients, and stakeholders, ultimately strengthening EKI’s position as a trusted and credible player in the market. Participation in Vibrant Gujarat provided EKI with valuable networking opportunities, allowing the company to connect with industry experts, decision-makers, and potential business partners.
By engaging in discussions, sharing insights, and forging strategic partnerships during the event, EKI expanded its professional network, fostered collaborations, and laid the groundwork for future business opportunities, ultimately contributing to its growth and market expansion goals. It also facilitated knowledge exchange and thought leadership within the renewable energy community with the participation of our Chairman and Managing Director, Manish Dabkara in a key panel discussion there.