Is carbon capture and storage (CCS) in Scotland's future uncertain? This is the question on everyone's mind, especially with the Acorn CCS project facing significant hurdles. It's a critical technology in tackling greenhouse gas emissions, but is it actually viable? Let's dive in.
Technical problems, funding issues, and the loss of key industrial sites have cast a shadow over the Acorn project in Aberdeenshire. Storegga, a major stakeholder, is even putting its share up for sale. But project leaders insist this isn't a sign of wider problems.
But here's where it gets controversial... The North Sea Transition Authority (NSTA) has launched a new round of license applications for storing carbon dioxide in the seabed, offering 14 new locations in Scottish and English waters with a storage capacity of two gigatonnes of CO2.
The Acorn project aims to capture emissions from high-polluting industrial sites, transporting them via old gas pipes. Grangemouth refinery's closure and the upcoming shutdown of the Mossmorran chemical works have significantly reduced the available carbon dioxide from Scottish sites. Professor John Underhill from Aberdeen University's Energy Transition Institute notes that Storegga's decision to reduce its stake suggests investor confidence isn't what it used to be. He does, however, believe that carbon storage can work effectively.
Acorn is jointly owned by Storegga, Shell, and Harbour Energy, each with a 30% stake, while North Sea Midstream Partners holds the remaining 10%. Shell remains involved, but Storegga's decision to seek a buyer has raised eyebrows. The Department for Energy Security and Net Zero (DESNZ) is working to secure a buyer, aiming to create thousands of jobs and drive industrial renewal in Scotland.
The project focuses on the depleted Goldeneye gas field, connected to the St Fergus gas terminal. Acorn also explored neighboring storage sites, with one ruled out and the other reduced in size. Nic Braley, Acorn's general manager, believes the remaining areas still offer ample storage space, crucial for decarbonizing Scottish industries and enabling growth in technologies like sustainable aviation fuels.
The now-closed Grangemouth refinery was never a major carbon dioxide source for the project, with the neighboring Petrochemicals works being the larger contributor. Other potential emission sites exist, some even accessible by ship. Apollo Engineering in Aberdeen has diversified into low-carbon energies, including CCS technologies, which now account for about 50% of their business. They see CCS as vital for the energy transition.
In the spring, the Chancellor announced £9.4 billion in capital funding for the first two CCUS projects in England. Energy security minister Ed Miliband confirmed £200 million would be allocated to the Acorn project. Professor Stuart Haszeldine of Edinburgh University believes Acorn is one of the best-evaluated projects globally but is struggling with the speed of government funding. The UK government states that the money will be available in the 2026/27 financial year.
The Climate Change Committee considers CCUS a vital component in decarbonizing the UK by mid-century. However, some environmental groups, like Friends of the Earth Scotland, view it as unproven technology that allows the oil and gas industry to continue as usual. For businesses in north-east Scotland, low-carbon technologies like CCUS and hydrogen are essential for a successful energy transition. The Acorn project was named to create 'mighty oaks,' but its progress has been slow.
What do you think? Is the Acorn project, and CCS in general, a viable solution for Scotland's future, or is it a misplaced hope? Share your thoughts in the comments below!
