Two newly published IEF reports on carbon management in the Middle East and North Africa region will support countries in expanding the deployment of carbon capture, use and storage (CCUS) and achieving their climate goals, according to the Secretary General of the IEF.
Published in collaboration with the Circular Carbon Economy Regional Collaboration, the reports explore opportunities and challenges for expanding the role of CCUS in the MENA region through the lenses of regulatory frameworks and market growth.
“The IEF is pleased to contribute to the development of carbon management technologies by providing member governments with objective research on regulatory systems and market growth of carbon capture use and storage,” said Joseph McMonigle, Secretary General of the IEF.
CCUS deployment must reach at least 5.6 Gigatons of CO2 by 2050 globally from 40 million tons today to meet the Paris Agreement and UN Sustainable Development Goals, according to the IEF.
The newly published report “CCUS Regulatory and Policy Landscape: A Global and MENA Perspective” found that there was a wide divergence of CCUS regulatory maturity between countries.
It found that many MENA countries including Saudi Arabia and the UAE have a well-established track record and have an opportunity to become leaders in the deployment of CCUS solutions. The report says they can achieve this by developing regulatory and incentive frameworks, promoting research and development, strengthening policy dialogue, and facilitating regional integration.
Regulatory frameworks relate to industry operations, environment, and public safety, as well as financing and investment frameworks. Market mechanisms include subsidies, tax relief and credits, emission trading systems, voluntary carbon markets, and carbon taxes in certain OECD economies.
The report entitled “Market Assessment for CCUS in MENA Region” found that the cost of CCUS is projected to decline significantly due to technological advancements, economies of scale and standardization. It highlights the importance of regional collaboration to bring CCUS projects to fruition at the required scale for cost reductions to materialize.
Governments and industry can facilitate investment in CCUS technologies and scale deployment by enhancing collaboration in the MENA region and beyond, the two reports found.
The publication of these reports follows the launch of the Carbon Management Challenge at COP28 climate conference. Supported by the IEF and with 20 participating governments, the challenge seeks to advance carbon management at gigaton scale to address our shared climate challenge.
