Baringa advises pioneering carbon capture and storage project Net Zero Teesside
9 January 2023
Net Zero Teesside is a carbon capture, utilisation and storage (CCUS) project, based in Teesside in the North East of England. In partnership with local industry, it aims to fully decarbonise a cluster of carbon-intensive businesses by as early as 2030.
Net Zero Teesside is currently led by the Oil and Gas Climate Initiative (OGCI) Climate Investments and has direct project support from five of OGCI’s members: BP, ENI, Equinor, Shell and Total. The project plans to store up to 6 million tonnes of carbon dioxide emissions each year, equivalent to the annual energy use of up to 2 million homes in the UK.
The project includes a combined cycle gas turbine (CCGT) facility with carbon capture usage and storage (CCUS) to provide low carbon power. The carbon transportation and storage infrastructure built to enable this will facilitate the decarbonisation of local industry, by gathering industrial CO2, compressing it and storing it under the North Sea.
Baringa has been working with OGCI Climate Investments to create a robust commercial evidence base to support the development of this first-of-a-kind project.
We have provided economic and technical insights into the potential role and value of a CCGT with CCUS plant in two parts. Firstly, to assess the potential dispatch profile and margins of such a CCGT with CCUS plant under different electricity market scenarios. Secondly, to assess the system value and services that CCGT with CCUS technology can provide to the broader power market under different future scenarios.
We have extensive experience in determining the role that technology will play in the transition to a decarbonised economy, from CCUS to green hydrogen, and in helping clients build robust business cases for new low carbon investments.
Contact David Kane to discuss how Baringa can support you in determining the role and value of technology in the energy transition.
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