Target policies to enable CCUS deployment at gas-fired power plants
Governments should consider complementary policies to support CCUS deployment at gas-fired power plants, such as:
- Carbon pricing programmes and emission reduction regulations to incentivise investment in low-emission generation sources.
- Capital grants to projects to reduce high upfront costs.
- Feed-in tariffs and contracts for difference for CCUS-equipped gas-fired plants to provide operators with greater revenue stability and certainty.
- Other policy incentives, such as tax credits and public procurement requirements.
Simultaneous support for CO2 transport and storage infrastructure is also vital, and governments can play a key role in identifying and funding strategic CO2 transport networks and storage sites.