CCUS projects bring financial risks
US CCUS sector weighs risks and rewards
Many projects look attractive on paper but come with multiple risks for financiers and developers, say speakers at Washington forum
Recent enhancements to the 45Q tax credit regime have transformed the economics of CCUS in the US, but the reality on the ground remains one of multiple risks and complex business models as project financiers and industrial emitters attempt to deploy the technology at scale. The Inflation Reduction Act raises the potential level of 45Q tax credits available to CCUS projects to up to $85/t of CO₂ from up to $50/t previously. It also extends the construction start date deadline for qualifying projects from January 2026 to January 2033 and allows tax credits to be paid directly in cash. “The Gulf Coast in particular, where you have the opportunity to build large-scale hubs very close to e
Also in this section
30 November 2023
Negative pricing has become more frequent in European energy markets, and GB markets are now experiencing a similar increase
29 November 2023
Preparations underway for inclusion of cement, aluminium and steel producers in world’s largest compliance market by 2030
28 November 2023
European Commission earmarks cross-border projects for funding and fast-tracks carbon management strategy as pressure grows to kickstart CCS sector
27 November 2023
Progress in decarbonisation but significant challenges lie ahead
