For Immediate Release
Study citing importance of carbon capture and storage to meet state's emission
reduction targets prompts launch of California CCS Coalition
Coalition's aim is to foster deployment of carbon capture and storage technologies
SACRAMENTO, CALIF., March 10, 2010 -- Prompted by a study highlighting the
importance of carbon capture and storage (CCS) to meet California's long-term target of
reducing its greenhouse gas emissions, a group of energy companies with an interest in
advancing CCS today announced the launch of the California CCS Coalition.
Plans for the coalition began after a study published last fall confirmed California was not
likely to attain its long-term target of reducing greenhouse gas emissions without investment in
new, more efficient and lower-carbon infrastructure, including the use of CCS.
"The study confirmed what many of us already knew - that CCS is a viable solution in
reducing greenhouse gas emissions," according to the coalition's newly appointed Executive
Director Pete Montgomery. "But it also raised some flags in terms of where we go from here,"
he adds, noting legislative, regulatory and general public awareness lag behind what may be
required to ensure successful CCS implementation.
The study, "Meeting California's Long-Term Greenhouse Gas Reduction Goals" by San
Francisco-based Energy and Environmental Economics, Inc. (E3), is the first comprehensive
look at the steps necessary to cut statewide greenhouse gas emissions by the year 2050.
It looks out 40 years and concludes that achieving long-term greenhouse gas reduction
goals will require moving towards increased electrification, low-carbon power generation, and
zero-emissions technologies. To reach emission reduction targets, the report stresses a mix of
low-carbon power generation utilizing CCS, as well as wind, solar, biomass and nuclear.
"Without all of these emission reduction measures," the study states, "it will be extremely
difficult to reduce statewide emissions to the range of 85 million metric tons of carbon dioxide
equivalent by 2050."
If the electricity sector must move toward a low carbon future, by 2050, "almost all of the
state’s fleet of fossil-fuel based power plants must be replaced by some combination of
renewable energy, nuclear power and power generation with carbon capture and storage."
The report adds, “Conventional power plants built today may risk early retirement before
the end of their useful life or will need to be retrofit with CCS if California is to meet its longterm greenhouse gas reduction goal.”
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CCS is the process by which carbon dioxide, or CO2, the most common greenhouse gas,
is separated from hydrocarbons in fossil fuels such as coal, natural gas, or petroleum coke, and
then stored in deep underground formations. Among the best geologic formations in which to
store CO2 are in sufficiently depleted oil and gas reservoirs.
The coalition was created to ensure CCS is an important part of any state carbon
stabilization program with the goal being "to bring voices to the table throughout the state to
demonstrate that CCS is practical, effective and safe," Montgomery adds.
The non-profit organization's mission is to represent the interests of CCS stakeholders in
the legislative and regulatory arena and to educate key constituencies and organizations about
facts regarding CCS. This includes increasing awareness of the history and safety of the
technology, the realities surrounding geological storage and the critical importance of CCS to a
comprehensive strategy of reducing emissions of carbon into the atmosphere.
The coalition will strive to increase awareness of CCS and to inform policy makers and
the general public of CCS; encourage the deployment of CCS and incentives for low carbon
power production; establish definitions for "low-carbon power;" encourage low-carbon power
purchases by electric utilities, and more.
California CCS Coalition members to date include: Aera Energy, Chevron, Clean Energy
Systems, Hydrogen Energy California, Sempra Energy Utilities, Southern California Edison,
Shell and Western States Petroleum Association. The group hopes to attract other members, as
well.
Hydrogen Energy California, which provided funding for the E3 study, is seeking to
build California's first industrial scale hydrogen-fired power plant with CCS. Proposed for
western Kern County, it will produce low-carbon power while safely capturing and storing 90%
of its carbon dioxide emissions.
According to Jonathan Briggs, director of Americas for Hydrogen Energy California,
"California's regulatory and legislative climate should further encourage the development of new
energy technology. In particular, creating incentives for investment not just in renewable energy
technology, but also for low-carbon base load power generation, like the Hydrogen Energy
California project. The work of the coalition will be important in seeing this become a reality."
About E3
Energy and Environmental Economics, Inc. (E3) is an economics, regulatory, and
engineering consulting firm. Founded in 1993, E3’s clients include integrated utilities, local
distribution companies, owners of transmission and generation, as well as law firms, large
electricity consumers, government agencies, regulatory commissions and industry associations.
E3's work has appeared in such journals as Energy Policy, The Energy Journal, Energy-The
International Journal, Resource and Energy Economics, Energy Economics, Electricity Journal,
IEEE Transactions on Power Systems, Managerial and Decision Economics, and Journal of
Regulatory Economics. For more information, or to download the study, "Meeting California's
Long-Term Greenhouse Gas Reduction Goals," visit www.3three.com or
www.ethree.com/California_2050.html.
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About the California CCS Coalition
The California CCS Coalition is a nonprofit, educational and advocacy organization
whose mission is to represent the interests of carbon capture and storage (CCS) stakeholders in
the legislative and regulatory arena and educate key constituencies and organizations about facts
regarding CCS. Founded in 2010 and based in Sacramento, coalition members to date include
Aera Energy, Chevron, Clean Energy Systems, Hydrogen Energy California, Sempra Energy
Utilities, Southern California Edison, Shell and Western States Petroleum Association.
CONTACT:
Vicki Cho Estrada
661.312.2647
choestrada@earthlink.net
Pete Montgomery
916.468.8697
CCSCoalition@GMail.com
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