Carbon Capture, Usage and Storage

Public Accounts Committee Closed Inquiry
Opened: 31 Oct 2024 Closed: 3 Apr 2025 Parliament page
Carbon Capture, Utilisation and Storage (CCUS) technology involves the capturing of CO2 emissions and their permanent storage underground. In 2021, the Government set out an ambition in its Net Zero Strategy for four CCUS clusters capturing 20 to 30 million tonnes of carbon per annum by 2030. The Department for … Read more
11 Recommendations
15 Conclusions
1 Report
1 Oral session
3 Letters
1 Event
Activity timeline 7 events
6 May
2025
Report published
7 Feb
2025
Report published
27 Jan
2025
Correspondence
20 Jan
2025
Correspondence
19 Dec
2024
Correspondence
12 Dec
2024
Oral evidence
12 Dec
2024
Formal meeting (oral evidence session) · The Grimond Room, Portcullis House
Oral evidence sessions 1 session
12 Dec 2024
View on parliament.uk
Ashley Ibbett · Department for Business, Energy and Industrial Strategy Jeremy Pocklington CB · Ministry of Defence Paro Konar · Department for Energy Security and Net Zero Steve Field · HM Treasury
Title HC No. Published Items Response
8th Report - Carbon Capture, Usage and Storage HC 351 7 Feb 2025 26 Responded
Recommendations & Conclusions
4 results
Clear
7 Conclusion Not Addressed
8th Report - Carbon Capture, Usage…
Department and Treasury agree CCUS funding limits but recognise substantial contingent liabilities
A major factor in the failure of the second CCUS competition was the lack of agreement between the Department and HM Treasury on funding limits.15 The Department told us that this time it had agreed an affordability envelope with HM … Read more
Government Response
The government's response provides a general introduction to the CCUS programme, previous attempts to launch CCUS, the current approach, funding announcements and signed contracts with the first two projects. It does not directly address the conclusion about the Department and HM Treasury agreeing on funding limits.
HM Treasury
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13 Conclusion Not Addressed
8th Report - Carbon Capture, Usage…
Government announced £21.7 billion funding for the first five Track 1 CCUS projects
In early October 2024, the government announced £21.7 billion of funding, over 25 years, to support the first five projects in Track 1 of its CCUS programme.43 In early December 2024, the Department signed contracts with two projects in the … Read more
Government Response
The government's response provides a general introduction to the CCUS programme, previous attempts to launch CCUS, the current approach, funding announcements and signed contracts with the first two projects. It does not directly address the conclusion about the funding announcement for Track 1 projects.
HM Treasury
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15 Conclusion Not Addressed
8th Report - Carbon Capture, Usage…
Department and Treasury acknowledge further funding required for later CCUS programme stages
The Department and HM Treasury have acknowledged that further funding will be required for the programme’s later stages, such as Track 1 expansion and Track 2 (which includes two more clusters).51 The Department told us that it is in “detailed … Read more
Government Response
The government responds to a different recommendation (3) than the conclusion being made (15).
HM Treasury
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20 Conclusion Not Addressed
8th Report - Carbon Capture, Usage…
Value for money assessments do not fully mitigate unsuitable carbon capture project risks
When selecting which clusters to proceed with and which projects to select within each cluster, the Department assessed value for money against five criteria: deliverability; economic benefits; costs; carbon savings; and learning. Once the shortlist of Track 1 projects had … Read more
Government Response
The government responds to a different recommendation (4a) than the conclusion being made (20).
HM Treasury
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Government Response AI assessment · 26 of 11 classified
Accepted 16
Acknowledged 6
Not Addressed 4
Total 11 recs + 15 conclusions
Correspondence 3 letters
27 Jan 2025 To committee Letter from the Permanent Secretary of the Department for Energy Security and Net Zero relating to a response on contingent liabilities on Carbon Capture projects, 21 January 2025
Parliament page
20 Jan 2025 To committee Letter from the Permanent Secretary of the Department for Energy Security and Net Zero relating to contingent liabilities on Carbon Capture projects, 14 January 2025
Parliament page
19 Dec 2024 From committee Letter to the Permanent Secretary of the Department of Energy, Security and Net Zero relating to contingent liabilities on Carbon Capture projects - following the Committee's inquiry on 12 December 2024, 19 December2024
Parliament page