New life for a familiar technology?
ScottMadden, Inc., one of North America’s leading management consulting firms specializing in energy, recently released its latest edition of The ScottMadden Energy Industry Update (EIU). Themed, “Everything Counts … In Large Amounts,” this Energy Industry Update explores the variety of methods needed to approach the ambitious clean energy and decarbonization targets that states and utilities are setting, including renewed interested in carbon capture, utilization, and storage (CCUS).
After a relative lull in discussions about its role in decarbonization, CCUS is being reconsidered for power and industrial applications in both the public and private sectors. As complete decarbonization appears prohibitively expensive, some energy industry leaders—with U.S. incentives—are placing measured bets on CCUS technology development to enable both carbon reduction and energy security through fuel diversity.
The beneficial use of CO2, including enhanced oil recovery, is seen as a potential added value for CCUS. However, technology improvements are needed to drive down CCUS costs. One developer is testing the Allam Cycle in a demonstration gas-fired power plant with the goal of producing emissions-free power at comparable cost to that of a gas-fired combined-cycle power plant.
Policy enablers in the United States, such as CCUS tax credits, are encouraging such technology development, including its use in industries with significant CO2 waste streams. Supportive policies, such as the 45Q tax credit, beneficial use of residual carbon, and a potential cost of carbon, could also aid in expanding use of this technology.
“CCUS is increasingly seen as another arrow in the decarbonization quiver that some jurisdictions are pursuing,” says Greg Litra, partner and director of research at ScottMadden. “Historically seen as a high-cost solution to carbon emissions reduction, the electric industry will watch with interest to see if technology improvements can drive costs out of CCUS.”
For a deeper look into CCUS technology developments, expanded incentives, and breakthroughs on the horizon, access our latest Energy Industry Update.
If you were not able to join our Energy Industry Update webcast, the complimentary recording and presentation is now available. Hear what our industry experts have to say about the potential loss of carbon-free generation and its implications, the iconic duck curve, and energy imbalance market developments.
About ScottMadden’s Energy Practice
We know energy from the ground up. Since 1983, we have served as energy consultants for hundreds of utilities, large and small, including all of the top 20. We focus on Transmission & Distribution, the Grid Edge, Generation, Energy Markets, Rates & Regulation, Enterprise Sustainability, and Corporate Services. Our broad, deep utility expertise is not theoretical—it is experience based. We have helped our clients develop and implement strategies, improve critical operations, reorganize departments and entire companies, and implement myriad initiatives.
About ScottMadden, Inc.
ScottMadden is the management consulting firm that does what it takes to get it done right. We consult in two main areas—Energy and Corporate & Shared Services. We deliver a broad array of consulting services ranging from strategic planning through implementation across many industries, business units, and functions. To learn more, visit www.scottmadden.com | Twitter | Facebook | LinkedIn