Economics at your fingertips  

The economics of CCS: Why have CCS technologies not had an international breakthrough?

Tunç Durmaz

Renewable and Sustainable Energy Reviews, 2018, vol. 95, issue C, 328-340

Abstract: Eleven years on since the United Nations' Intergovernmental Panel on Climate Change was awarded the Nobel Peace Prize in recognition of its efforts in combating climate change, fossil fuels remain the most dominant global energy source. As the total replacement of fossil fuel energy is not expected to take place immediately in the near future, the International Energy Agency has repeatedly declared carbon capture and sequestration (CCS) as a key technology for mitigating climate change. However, CCS lacks the scale required for substantial reduction in carbon dioxide emissions from fossil fuel power generation. Even though CCS is one of the key technologies for mitigating climate change, why has this technology not had an international breakthrough? To shed light on this question, this paper employs a simple model of energy generation, scrutinizes the economic drivers of CCS based on the analytical results, and discusses the possible obstacles that can prevent a widespread rollout of the technology. This is followed by a state-of-the-art in literature pertaining to the economics of CCS, and a discussion that points to a dichotomy between the economic theory and reality. The study concludes with some policy suggestions and directions for future research.

Keywords: Carbon capture and storage; Renewable energy; Fossil fuels; Climate change; Environmental Policy; State-of-the-art (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This journal article can be ordered from
http://www.elsevier. ... 600126/bibliographic

Access Statistics for this article

Renewable and Sustainable Energy Reviews is currently edited by L. Kazmerski

More articles in Renewable and Sustainable Energy Reviews from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

Page updated 2019-03-31
Handle: RePEc:eee:rensus:v:95:y:2018:i:c:p:328-340