CO₂ leakage is a risk for CCS
Broker launches insurance against carbon leakage
London-based Howden says new product can boost bankability of CCS projects by addressing key risk
London-based broker Howden has launched an insurance facility covering leakage of CO₂ from commercial-scale CCS projects in a move designed to help unlock investment by addressing one of the sector’s key risks. The insurance facility, which Howden says is the first of its type, provides cover for environmental damage and loss of revenue arising from the sudden or gradual leakage of CO₂ from CCS projects into the air, land and water. Leakage could lead to CCS projects being unable to fulfil emission reduction commitments made against offsets or allowances issued in cap-and-trade markets. The insurance product is also designed to support the development of a commercial insurance market for lea
Also in this section
1 April 2026
Emerging industry must work with policymakers to convince a broader pool of investors to buy into its long-term potential
12 March 2026
Role of world’s largest carbon cap-and-trade market under scrutiny as war in Iran threatens to drive EU energy costs to unsustainable levels
10 March 2026
Europe urgently needs to bring more projects to FID, as CCS investors warn they might divert capital to faster-growing regions
9 January 2026
A shift in perspective is needed on the carbon challenge, the success of which will determine the speed and extent of emissions cuts and how industries adapt to the new environment
