Carbon capture and storage (CCS) technologies are very much needed to reduce one-third of the world's global carbon dioxide emissions, according to a report from the Boston Consulting Group.
"CCS technology offers substantial benefits, but high cost and uncertainty have been a major roadblock so far in applying it. A carbon market price of €30 ($47.8) per ton, combined with worldwide subsidies, could offset the cost. Because of the long-term payback, private companies and government authorities need to begin promoting the development of CCS today."The consulting group said an initial subsidy of €100 billion would proceed CCS development as the carbon price stabilized.
The effort for CCS technology development has just begun, according to BCC Research. The market research firm estimated the market for CCS technologies last year was worth $88.7bn.
BCC estimated the market to increase to over $236.3bn by 2012 with compound annual growth rate of 22%.
"By 2025 more than 10 billion metric tons of CO2 will need to be captured each year and CO2 emissions will still continue to grow. A global infrastructure that will ultimately cost more than $15 trillion will need to be installed over the next century to accomplish that ever increasing annual task."