September 2024
Sustainable Insights
UAE Pioneers Carbon Capture for Sustainable Global Leadership
The UAE is emerging as a global leader in the fight against climate change, placing a significant focus on Carbon Capture, Utilization, and Storage (CCUS) technologies. As the world grapples with the rising threats of global warming, CCUS is increasingly recognized as a crucial technology for reducing carbon dioxide (CO2) emissions, particularly in industries where decarbonization is challenging, such as steel, cement, and energy production.
The potential of CCUS to mitigate climate change is substantial, especially as global carbon emissions continue to rise despite international efforts to curb them. The Intergovernmental Panel on Climate Change (IPCC) has highlighted that achieving the goals of the Paris Agreement, which aims to limit global temperature rise to 1.5°C, requires not only drastic reductions in emissions but also the deployment of technologies that can remove CO2 from the atmosphere. CCUS, which involves capturing CO2 emissions at their source, transporting them to a storage location, and either storing them underground or repurposing them for industrial use, is one of the most promising solutions available today.
Understanding CCUS and Its Importance
CCUS is a multi-step process designed to address CO2 emissions from industrial activities and power generation.
The technology involves three main stages:
• Capture: CO2 is captured from the emissions produced during industrial processes, such as steel and cement manufacturing or hydrogen production.
• Transport: The captured CO2 is then transported via pipelines or ships to a storage or utilization site.
• Storage or Utilization: Finally, the CO2 is either permanently stored in deep geological formations underground or utilized in industrial processes, such as in the production of plastics, biofuels, or concrete.
CCUS is distinct from simple carbon storage in that it offers the potential to not only reduce emissions but also turn CO2 into a valuable resource. This approach, often referred to as Carbon Capture, Utilization, and Storage, or CCUS, enables industries to convert captured CO2 into new products, helping to close the loop and support the transition toward a circular economy. CCUS plays a key role in reducing emissions from hard-to-abate sectors, which account for a significant portion of global greenhouse gas emissions. Heavy industries such as steel, cement, and chemicals are difficult to decarbonize because their emissions are not just a result of energy consumption but also a byproduct of the industrial processes themselves. CCUS offers a solution by capturing the CO2 at its source and either storing it or utilizing it in a way that prevents it from entering the atmosphere.
Moreover, CCUS can be retrofitted to existing industrial plants and power stations, allowing them to continue operating while dramatically reducing their carbon emissions. This makes it an attractive option for countries and industries that are looking for ways to meet their emissions reduction targets without shutting down critical industrial infrastructure.
The UAE's Leadership in CCUS: ADNOC's Role
The United Arab Emirates (UAE) has placed sustainability at the core of its long-term strategy for economic and industrial development, and CCUS is a key component of this strategy. The Abu Dhabi National Oil Company (ADNOC) is spearheading some of the most ambitious CCUS projects in the world, including the Habshan Carbon Capture, Utilization, and Storage project, which is one of the largest in the Middle East and North Africa (MENA) region.
ADNOC’s commitment to CCUS is part of a broader carbon management strategy that seeks to reduce the carbon intensity of its operations and help the UAE meet its ambitious climate targets. The Habshan project will capture and permanently store 1.5 million metric tons of CO2 annually in deep geological formations, equivalent to removing more than 500,000 gasoline-powered cars from the road each year.
The captured CO2 will be stored in reservoirs deep beneath the earth’s surface, utilizing cutting-edge CO2 capture and reinjection technologies. The project is part of ADNOC’s efforts to triple its carbon capture capacity to 2.3 million metric tons per year by 2030. This is a significant step towards the UAE’s goal of achieving Net Zero by 2045.
In addition to its work on the Habshan project, ADNOC has been a leader in carbon capture for years. In 2016, the company opened its first carbon capture, transportation, and storage facility at Al Reyadah in Abu Dhabi. The facility has the capacity to process up to 800,000 metric tons of CO2 per year, captured from the emissions produced at Emirates Steel Arkan, another major industrial player in the UAE. This early investment in CCUS technology laid the foundation for ADNOC’s current expansion into more ambitious projects, such as the Habshan initiative.
CCUS in the Global Energy Transition
As the world accelerates efforts to transition to clean energy, CCUS is increasingly seen as a critical tool in the global push to reduce emissions. The International Energy Agency (IEA) has emphasized that it is virtually impossible to reach net zero without the widespread adoption of CCUS. This is because even with the rapid expansion of renewable energy sources like wind and solar, there are certain sectors and processes particularly in heavy industry—that will continue to produce CO2 emissions for the foreseeable future.
In addition to decarbonizing industrial sectors, CCUS is also essential for the production of low-carbon hydrogen, which is seen as a key fuel for the clean energy transition. Hydrogen has the potential to decarbonize sectors such as transportation, particularly heavy-duty vehicles like trucks and ships, as well as industries that require high temperatures for manufacturing processes. CCUS can help produce blue hydrogen, which is hydrogen produced from natural gas with the associated CO2 emissions captured and stored.
CCUS is also being used to remove CO2 from the atmosphere in what is known as direct air capture (DAC). This emerging technology captures CO2 directly from the air and stores it underground. While still in its early stages, DAC could play a critical role in balancing emissions that are difficult to eliminate through other means.
The UAE’s Commitment to Sustainability & Climate Action
The UAE’s leadership in CCUS is part of a broader commitment to sustainability and climate action. The country is investing heavily in renewable energy, low-carbon fuels, and nature-based solutions to mitigate climate change. ADNOC, for example, sources 100% of its grid power from nuclear and solar energy, making it the first major oil and gas company in the world to decarbonize its operations at scale through such an agreement.
In addition to its work in carbon capture and renewable energy, ADNOC is also advancing nature-based solutions, such as planting mangroves in the UAE to absorb CO2 from the atmosphere. Mangroves are highly effective at sequestering carbon and play an important role in the UAE’s overall climate strategy.
The UAE’s commitment to sustainability was further underscored during COP28, held in Dubai, where the UAE Consensus was negotiated and drafted. This ambitious plan seeks to accelerate the energy transition and reduce greenhouse gas emissions by 2030. One of the key aspects of the UAE Consensus is the call for the tripling of renewable energy and doubling energy efficiency by 2030. CCUS was recognized as a critical technology in this transition, particularly for fossil fuel dependent economies like the UAE that are looking to reduce emissions while maintaining energy security.
The global stocktake at COP28 called for a massive scaling up of renewable energy and energy efficiency, but it also acknowledged the important role that CCUS will play in the coming decades. The International Energy Agency has projected that CCUS will need to capture 1.5 gigatonnes of CO2 by 2030 and 6.3 gigatonnes by 2050 if the world is to meet its emissions reduction targets.
Positioning UAE as the Leader
The UAE’s strategic focus on AI and sustainability exemplifies its dedication to creating an environmentally friendly future. By positioning itself as a global leader in AI driven sustainable development, the UAE is setting a benchmark for other nations facing similar challenges, ensuring a greener, more sustainable future for all. As the UAE continues to push the boundaries of AI innovation, its dedication to ethical AI practices sets a powerful example for other nations. By prioritizing transparency, inclusivity, and societal well-being, the UAE is not only advancing its own technological capabilities but also contributing to the global effort to harness AI for the greater good. The country’s vision of becoming an ethical AI superpower is rooted in the belief that technological progress must go hand in hand with responsible governance, ensuring that the benefits of AI are shared equitably across the globe.
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