The Nordic countries are climate forerunners and have strong potential in harnessing carbon dioxide removal (CDR) and utilization (CCU) technologies. But although many projects are currently underway, policy is lagging behind — CLC calls for Nordic governments to strengthen their cooperation and develop comprehensive national strategies to support the deployment of CDR and CCU markets.
The need for carbon removals is immense. On a global level, we would need 7-9 Gt annual removal capacity to reach climate neutrality, an amount equal to the current thermal coal market. Due to long lead times, we cannot afford to wait to start deploying carbon dioxide removal (CDR) and utilization (CCU). But what role can the Nordic countries play in accelerating this process? And what policy measures are essential in scaling up the CDR industry in the Nordics? As a part of the Climate Neutral Nordics project funded by the Nordic Council of Ministers, CLC has produced a report to answer these questions.
The most relevant removal and utilization technologies are bioenergy with carbon capture and storage (BECCS), direct air capture and storage (DACCS), biochar and various forms of carbon capture and utilization (CCU). The Nordic countries host a significant number of projects in various stages of development, but without sufficient policy measures many of these are at risk to remain unrealized.
Some Nordic countries have initiated support policies for CDR, most notably subsidy funds distributed via reverse auction in Denmark and Sweden. In general, however, the policy environment remains insufficient, and industry actors are calling for more work to be done, both nationally and on the EU level.
Based on comprehensive background work and interviews with Nordic industry and government representatives, CLC calls for clear and ambitious national removal strategies and targets, financial support for both CDR and CCU as well as strengthened Nordic cooperation in transportation and storage.
CLC Recommendations for Nordic and EU policymakers
- Create ambitious, separate targets for removals and emissions reductions
- Prepare clear national strategies for carbon removals and utilisation
- Secure demand and provide early-stage support for removals
- Support CCU technologies alongside CDR to secure the synthetic fuel and material market
- Strengthen Nordic cooperation to support cross-border value chains
- Ensure business cases for different solutions when EU-level compliance markets are introduced
- Support the recognition of biogenic CO2 and mixed-source projects at the EU level
Read the full report here.
More information:
Juha Turkki Development Director +358 45 346 1925 juha.turkki@clc.fi
