India’s Carbon Capture Policy Aims to Cut Emissions from Coal Plants
05 Feb 2024
India,
the world’s third-largest emitter of greenhouse gases, is planning to launch a
carbon capture policy that will allow it to reduce its emissions while still
using its abundant coal resources. The policy, which is expected to be unveiled
later this year, will provide incentives for companies to capture, recycle, and
store their carbon dioxide emissions underground.
The policy is part of India’s efforts to balance its energy security and
climate goals, as it faces increasing pressure from the international community
to take more ambitious action to curb global warming. India has pledged to
achieve net-zero emissions by 2070, and to increase its share of renewable
energy to 40% by 2030.
However,
India also relies heavily on coal for its electricity generation, as it has the
world’s fourth-largest coal reserves. Coal accounts for about 70% of India’s
power mix, and is expected to remain the dominant source of energy for the
foreseeable future. India also plans to expand its coal production and
consumption, as it aims to meet the growing demand from its 1.3 billion
population and its fast-growing economy.
A Potential Solution for Coal
Emissions
Carbon
capture, or carbon capture and storage (CCS), is a technology that involves
capturing the carbon dioxide emitted from burning fossil fuels, such as coal,
and injecting it into underground reservoirs, such as depleted oil and gas
fields. This prevents the carbon dioxide from entering the atmosphere and
contributing to climate change.
Carbon
capture is seen as a potential solution for reducing emissions from coal
plants, as well as from other industries, such as cement, steel, and chemicals.
According to the International Energy Agency (IEA), carbon capture could
account for 15% of the global emissions reductions needed by 2050 to limit
global warming to 1.5 degrees Celsius above pre-industrial levels.
However,
carbon capture is also a costly and complex technology, which requires a lot of
infrastructure, investment, and regulation. There are currently only 26
large-scale carbon capture projects operating or under construction worldwide,
capturing about 40 million tonnes of carbon dioxide per year. This is far below
the IEA’s target of capturing 7.6 billion tonnes of carbon dioxide per year by
2050.
India’s Plans and Challenges for
Carbon Capture
India’s
carbon capture policy is being drafted by Niti Aayog, the government’s think
tank, in consultation with various stakeholders, such as the power ministry,
the coal ministry, the environment ministry, and the industry associations. The
policy is likely to include financial and regulatory incentives, such as tax
breaks, subsidies, carbon credits, and mandatory targets, for companies to
adopt carbon capture.
According
to Rajnath Ram, the energy adviser at Niti Aayog, the policy will focus on the
power sector, which accounts for 42% of India’s total emissions. He said that
70% of the emissions from the power sector can be captured and recycled through
carbon capture. He also said that the policy will benefit from India’s existing
infrastructure and expertise in enhanced oil recovery (EOR), which is a
technique that uses carbon dioxide to extract more oil from aging wells.
However,
India also faces many challenges in implementing carbon capture, such as the
high cost, the low efficiency, the lack of storage sites, and the public
acceptance. According to a study by the Council on Energy, Environment and
Water (CEEW), a Delhi-based think tank, the cost of carbon capture in India
ranges from $30 to $60 per tonne of carbon dioxide, which is higher than the
global average of $25 to $50 per tonne. The study also found that India has a
limited potential for carbon storage, as most of its coal plants are located
far from suitable geological formations.
Moreover,
India has to deal with the social and environmental impacts of carbon capture,
such as the displacement of communities, the contamination of water sources,
and the risk of leakage. India also has to convince the public and the
policymakers that carbon capture is a viable and sustainable option, and not a
way to justify the continued use of coal.