Urgent action is needed to increase UK content in the emerging carbon capture sector, according to a new report published by the Nuclear AMRC.
The new CCUS supply chain intervention strategy was published on behalf of the CCUS Council, the government-backed group for engaging and steering the UK’s carbon capture, usage and storage (CCUS) sector.
The report, led by the Nuclear AMRC as part of the High Value Manufacturing Catapult, concludes that there is a significant opportunity to increase UK manufactured content in the CCUS sector, contributing to economic growth and creating export opportunities while helping to achieve the UK’s transition to net zero greenhouse gas emissions. It draws on existing market research, and adds new analysis on the UK manufacturing supply chain’s capability and readiness to support this rapidly growing market.
With targeted development, UK manufacturers can supply all parts of a carbon capture plant. However, the UK needs to act quickly to establish its capability, competence and capacity in domestic projects if the national supply chain is to drive down costs and compete in the much larger global market.
To ensure the supply chain is ready to support CCUS deployment to meet government targets for 2035 and beyond, the report recommends the establishment of a Fit For CCUS (F4CCUS) programme. Based on the Nuclear AMRC’s established Fit For Nuclear and Fit For Offshore Renewables programmes, F4CCUS would strategically develop existing manufacturing businesses to match to CCUS sector requirements.
“If we are to exploit domestic and international opportunities, we must act now to ensure the UK supply chain is fit and ready to deliver for the national developments,” said Andrew Storer, CEO of the Nuclear AMRC. “We really hope the results can inspire a coherent overall approach to CCUS supply chain initiatives, ensuring the UK delivers CCUS to help achieve net zero and provide significant economic impact in key regions in the UK. Therefore, we recommend launching the F4CCUS programme to enable the UK supply chain to seize the opportunity.”
The report is the first key output of the CCUS Council’s supply chain working group, chaired by Dame Judith Hackett.
“This report clearly shows the scale of opportunity for UK manufacturing in the supply chain for CCUS, but if we are to make the most of it we must act quickly to raise awareness and build capability and capacity,” Hackett commented. “We need clear signals from Government to create confidence and this can be done by backing the proposal to establish a Fit For CCUS programme.”
The report was welcomed by government and CCUS bodies.
Energy and Climate Change Minister Greg Hands said: “I welcome this report which outlines the opportunities presented by CCUS technologies for supply chain companies, creating economic growth and export potential, while helping achieve the UK’s commitment to net zero.”
James Smith CBE, co-chair of the CCUS Council, said: “We need an ambitious vision for a low carbon industrial revolution, creating tens of thousands of skilled, satisfying and well-paid jobs throughout the UK. Time is of the essence to grasp this unique chance to be world leaders in crucial low carbon technologies.”
Ruth Herbert, CEO of the CCSA trade association, said: “We are entering a critical period for CCUS deployment and the recommendations in today’s report build on the CCSA’s report Supply Chain Excellence for CCUS, setting out further details on how the UK can maximise the significant economic opportunities that a strong CCUS industry represents.
“The UK has unique advantages, skills and expertise – in both CCUS and hydrogen – and as the first CCUS clusters move ahead, there is not a moment to lose if the UK supply chain is to capture its share of this vital net-zero industry.”
- Download the report: CCUS supply chain intervention strategy