Abstract
As the economic costs for combating the threat of climate change are considerable, accurate priorities have to be set and economic efficiency must be sought. On this basis, this report aims at examining the Swedish and Norwegian opportunities and potential for geologic storage of carbon dioxide from biomass, or BECCS (Bio Energy with Carbon Capture and Storage). So-called biogenic carbon dioxide is part of the renewable carbon cycle. Carbon dioxide is extracted from the atmosphere into trees and crops as they grow, and is released when they are combusted or decompose. Therefore, biogenic carbon dioxide does not contribute to the increase of greenhouse gases in the atmosphere. On the contrary, these emissions may become part of the solution to the climate problem. When carbon dioxide that has been captured from the atmosphere by biomass is stored geologically, a flow of carbon from the atmosphere into the underground is created. With a scientific term, this is called negative emissions, or permanent carbon dioxide sinks. Since we already today have a level of 390 ppm of carbon dioxide in the atmosphere, and this level is rising by 2 ppm per year, negative emissions are vital if we are to achieve climate targets such as 350 or 400 ppm. Due to the large amount of biomass that is processed in the pulp industry as well as the use of biomass for energy production, there are several and large point sources of biogenic carbon dioxide emissions in Sweden. The 61 largest Swedish plants are together emitting more than 31 million tons of biogenic carbon dioxide per year. In Norway, these industries are significantly smaller with the major point emissions of biogenic carbon amounting to less than 2 million tons per year. Because of this the continued analysis focuses on Swedish emissions. However, there are very good opportunities for carbon dioxide storage in the Norwegian part of the North Sea. This is not the case in Sweden. Suitable conditions for carbon dioxide storage are limited to the very south of Sweden. The storage potential in the Norwegian formations is equivalent to thousands of years of Swedish biogenic emissions. Using existing technology, carbon dioxide from Swedish biogenic sources can be separated and shipped by boat to Norwegian storage formations. Storage in the North Sea has been successfully tested for more than ten years and carbon dioxide is shipped by boat across the Baltic Sea already today. At a cost of 700-900 Swedish crowns (approx. Euro 75-95) per ton, 27.5 million tons of carbon dioxide from Swedish biogenic sources could be stored annually by 2020. The potential amount increases to 30.0 million tons per year by 2030, while the cost is estimated to decrease by several hundred crowns per ton. There is are also a possibility to achieve costs below 500 crowns (approx. Euro 45) per ton already by 2020 for the smaller amounts of carbon dioxide of 400 000 to 2 million tons which can be captured from ethanol production and black liquor gasification. From an international perspective, the costs of climate action in Sweden are relatively high. In this report we compare BECCS with three earlier studies to put the costs and potentials into context. Compared with the measures presented in a report by Svenskt Naeringsliv and management consulting firm McKinsey, BECCS is a larger measure than all other Swedish measures combined. In addition, the technology allows for fulfillment of the climate goals of both political coalitions, and this at a cost of less than one thousand crowns per ton. In comparison to a study published by the think tank Fores, it is deemed unlikely that BECCS in Sweden could be financed by the European Union emission trading scheme. However, it is a very competitive method for achieving domestic climate targets. The cost of BECCS falls below today's gasoline tax and is far below the future costs of carbon dioxide emissions in the transport sector. Compared with the costs of alternative measures to reduce emissions of carbon dioxide in the transport sector, BECCS can save 20-50 billion crown s per year according to Fores' calculation method. The third study that we have included in our comparison is a report released by IVA (the Royal Swedish Academy of Engineering Sciences), in which a path to zero emissions by 2043 is outlined for Sweden. When BECCS is introduced into the model, Sweden can reach net zero emissions already by 2030. Thereafter, a number of measures in combination with BECCS can make Sweden achieve net negative emissions, i.e. that Sweden as a nation is removing carbon dioxide from the atmosphere. Finally, it should be noted that there are currently no measures, initiatives or incentives to exploit BECCS technology in Sweden. If we are to achieve the necessary climate goals, reach them faster and with the best economic efficiency, serious and determined investments in BECCS in Sweden are needed soon