WB CCS Conference - Sandton Tim I. B. Lund Royal Norwegian Embassy - Pretoria Two perspectives • The view from Norway • The view from SACCSC Norwegian CCS policy – Ambitious goals for broad deployment of CCS; – All new gas fired power plants with CCS; – Facilitates R&D on CCS, cooperates closely with industrial actors and provides public funding; – Public CCS spending 2009+2010: 800 million USD; – International CCS activities (but small compared to Renewables support) Storage • The Sleipner field (North Sea): 1 million tons/CO2stored annually since 1996 (due to CO2 tax); • The SnøhvitField: 700.000 tons/CO2 stored annually (Barents Sea); • In Salah (with Statoil). Capture • Technology Centre Mongstad (TCM) to develop, test and qualify CCS technologies; • World’s largest demo plant of this kind; • Partners so far: The Norwegian State (Gassnova), Statoil, Shell and Sasol; • Two sources of flue gas and two technologies being tested: Amine and Chilled Ammonia technologies + others? • Capture capacity: 100,000 tons CO2; • Start-up 2011/2012; • To be followed by large scale capture plant; • Final decision in 2016. Strong CCS cluster • • • • Oil and Gas companies; Universities; Research institutions; Consultants and third party service providers; Many learning and cooperation opportunities. SACCSC Persepctive After 2,5 years: • CCS firmly on the agenda in SA (DoE but also other departments); • Key projects under way; • Capacity building needed at all levels; • Public engagement not started. Must be done early and right. But: • Regional work important (ref. energy system). Key role for WB. • • • • Geology (no storage – no project); Regulatory and institutional; Cross border issues; Financing; SACCSC Persepctive, Cont. • SACCSC is the CCS competence Centre in SA: Use the SACCSC network, competence and systems to support key SA priorities; Create synergies regionally and South-South; Avoid duplication of efforts. • SACCSC seeks to leverage international financial support: Avoid duplication of efforts; Financing needs will increase as we move from studies to testing. Conclusion • WB involvement in CCS in SA and the region very welcome; • We look forward to the results of WB work. Thank you tim.lund@mfa.no Key messages DG Magubane: • IRP confirms CCS role in SA Energy system and CC ambitions; • SANEDI now listed as a new company – Key role on CCS • 2011 DoE strategic plan: CCS Regulatory framework • DoE-WB list of activities presently being discussed (?) • 2nd CCS Week in October 2011. CCS will figure prominently at COP17 in Durban (Energy pavillion?) WB, Ruth Kagia: • Bold CC promise in Copenhagen based on LTMS; • Issue is not Why but How. • 15% of electricity for light; • • • • WB, Natalia K: WB Energy financing BUSD 13 last year CSP increasingly important for WB; CCS Regional study: • • • • Legal and institutional framework Techno-economic ass. Of CCS in Power system Climate finance Finance of CCS project Key messages, Cont. SAPP, Musara Beta: • Hydro in North; Thermal in South. Demand in South (SA). SAPP est. in 1995; • SAPP: 74,3% Coal. 20,1% Hydro (SA is 82,5% of installed capacity). • New Plans, 2025: 42% Coal, 32% Hydro, 22% Diesel (excl. Grand Inga). • EE: 2010, 750MW (target was 1400MW); • Cannot evacuate power from North to the South (bottleneck); • Coal: 74%56%; Hydro: 20%26; Wind&Solar:0%0,5% (needs power-pooling and interconnectors) • SAPP pt focuses on RE; SA is looking at biomass for coal fired power stations. EA, Sean McCoy: CCS Technology Road Map (2009) • pt not on target – non OECD countries must be involved (2020, need 50-50); • CCS not just clean coal: Synfuel (Coal fired power 40%); • 5 trillion USD needed 2010-2050! (125 BUSD/year). 11% of Blue map incremental investment. • Sleipner, Snøhvit, In Salah, Rangely, Weyburn • 50% of planned projects are EOR; Key messages, Cont. GCCSI, Alice Gibson: • Asset lifecycle model; • Slides on status of CCS projects globally: • Cost estimates are now 20-30% higher than 2-3 years ago; • Public engagement is key! DECC: James Godber • CEM, Abu Dhabi-April 2011 COP17; SACCSC, BB • SA needs tech and fin support (COP15); • “We want a complete and legally binding agreement” • 2016 Test injection (10,000t) • SA #13 in CO2 globally; Synfuel (SASOL / PetroSA app. 30 mt CO2/yr); Eskom, B.McColl Key messages, Cont. • • • Regional aspects key (ref. SAPP, RERA, etc.); Leverage internal (+ int. funds) for int. cooperation. Need money and decide on its use! Public engagement. Key in SA. • Norway RE support 10x that of CCS (2011 1,600 MNOK?) • Zuma signing: Sasol, Eskom, SANBI or DEA, SARI