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THE ENVIRONMENTAL AND SOCIAL IMPACTS OF CARBON CAPTURE AND STORAGE _____________________________________________________

INTERNATIONAL WORKSHOP ON CARBON CAPTURE AND STORAGE IN THE POWER SECTOR: R&D PRIORITIES FOR INDIA, New Delhi 22-23 Jan 2008. THE ENVIRONMENTAL AND SOCIAL IMPACTS OF CARBON CAPTURE AND STORAGE ________________________________________________________________________. Dr Murari Lal

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THE ENVIRONMENTAL AND SOCIAL IMPACTS OF CARBON CAPTURE AND STORAGE _____________________________________________________

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  1. INTERNATIONAL WORKSHOP ON CARBON CAPTURE AND STORAGE IN THE POWER SECTOR: R&D PRIORITIES FOR INDIA, New Delhi 22-23 Jan 2008 THE ENVIRONMENTAL AND SOCIAL IMPACTS OF CARBON CAPTURE AND STORAGE ________________________________________________________________________ Dr Murari Lal Advisor & Head (EHS) Reliance Energy Limited, NOIDA January 23, 2008

  2. Greenhouse Gases, Climate Change & CCS Technology • Since the industrial revolution we have seen an increase in greenhouse gas emissions that has caused the global climate to change. In the case of carbon dioxide this is around 30% more than pre-industrial levels. • This increase in greenhouse pollution is due to our continued reliance on energy technologies based on fossil fuels - a legacy of the industrial age. • Alternative technologies that produce fewer greenhouse gases have, therefore, been at the forefront of the debate on climate change. • Carbon capture and storage is the newest and perhaps the most controversial of those technologies currently being investigated.

  3. What is CCS? • Geo-sequestration is one option for trapping CO2 emissions from gas or power plants. But not everyone agrees – ABC (Australia) • Recycled geological structures to reduce CO2– Independent (S. Africa) • Carbon dioxide storage holds limited promise: Approach could halve industrial emissions by 2050 – Nature

  4. G8 Plan of Action 14. We will work to accelerate the development and commercialization of Carbon Capture and Storage technology by: (a) endorsing the objectives and activities of the Carbon Sequestration Leadership Forum (CSLF), and encouraging the Forum to work with broader civil society and to address the barriers to the public acceptability of CCS technology; (b) inviting the IEA to work with the CSLF to hold a workshop on short-term opportunities for CCS in the fossil fuel sector, including from Enhanced Oil Recovery and CO2 removal from natural gas production; (c) inviting the IEA to work with the CSLF to study definitions, costs, and scope for ‘capture ready’ plant and consider economic incentives; (d) collaborating with key developing countries to research options for geological CO2 storage; and (e) working with industry and with national and international research programmes and partnerships to explore the potential of CCS technologies, including with developing countries.

  5. IPCC Special Report - presented at COP/MOP1 Although a number of technical issues dealing with storage safety, monitoring and longevity are still outstanding, the public acceptance of geological storage is probably the overriding issue - Royal Society of Chemistry

  6. US Hopes to reverse oil decline by burying CO2–Reuters, March 13, 2006 / US Says CO2 Injection could quadruple oil reserves, Reuters, March 4, 2006 • U.K. Favors `Clean' Fossil Fuel Over Nuclear Power, Morley Says–Bloomberg, Sept 26, 2005 • “Nuclear plants are expensive and if you're looking at the energy mix, then at the moment I think you'll probably get more value from investment in clean coal.”– Elliot Morley, MP • UK's clean coal energy solution: Un-mined coal in Wales could be the answer to Britain's energy crisis –BBC News, Oct 12, 2005 • It seems like absolutely amazing science fiction... but it's already being done in Algeria and elsewhere, and highly productively - Huw Irranca-Davies, MP

  7. Workers at a power plant GreenhouseGas Grave Despite the critics, massive geo-sequestration projects are already underway in Australia…Is burying hundreds of tonnes of carbon dioxide underground - a novel way to reduce greenhouse gas emissions or a large-scale attempt at sweeping them under the rug? Renewable energy would reduce our dependence on coal

  8. CO2 Storage Potential

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  12. Projects on Social and Political Aspects of CCS • AGS – National opinion polls and stakeholders • CCP/CCP2 – Regulatory and regional assessments • Manchester/Tyndall – Focus groups and media • CATO – Informed preferences • CSIRO – Regional opinion poll and stakeholders • CMU/SFU/Calgary – Focus groups and national poll • WRI – Regulatory and policy gaps • DOE Regional partnerships – Media and stakeholders • ACCSEPT – Legal, regulatory and stakeholder analysis • C2S2RN – Loose network of groups working on CCS

  13. India’s Environment & CCS India's large reserves of coal are a major asset to the country, accounting for 70 percent of India's current production of electricity. However, excessive use of this form of energy production—especially without the use of strategies to mitigate its effects—will continue to cause the quality of the country's air, land, and water resources to deteriorate. The "Business as Usual" Scenario without significant changes in power sector policy in India will produce 775 million metric tons of CO2 emissions per year by the year 2015 (as compared with 1,000 million metric tons per year now produced by power generation in the entire European Union). However, India will be producing SO2, NOX, particulate emissions, and ash at three times the current levels and Ash disposal facilities around power plants will require 1 square meter of land per person.

  14. India’s Environment & CCS Currently the power sector in India is on the verge of fundamental and significant reforms (a more liberal system with market prices, competition, a greater role for the private sector, and commercial incentives) that have profound implications for environmental management. It has been suggested that, in India, carbon emission from thermal power plants can be brought down from 0.73 tonnes per megawatt hour (MWh) of electricity generated to 0.49 tonnes per MWh through greater efficiencies. During this time of transition, it is critical to determine how best to take advantage of the technological innovations and opportunities it presents to protect our environment and avert threats to public health.

  15. Carbon Capture & Storage • Advanced technologies will play a critical role in achieving significant greenhouse gas reductions. • The adoption of advanced technology such as carbon capture and sequestration has to be made economically attractive. • The dynamic factors that influence technology adoption and diffusion include technology, regulatory policy and framework, business cycles, industry structure, and corporate strategy. • The regulatory and legal frameworks that may affect adoption include underground injection regulation, relevant international and national laws, treaties and guidelines, property rights, and liability concerns.

  16. CCS – Is there a viable Choice for India? Should investors in new coal-based power generation pre-design their facilities so as to be carbon dioxide “capture-ready”? Is it commercially viable to pay an upfront premium to pre-engineer the power plant such that the investor has the option - i.e. the right, but not the obligation - to retrofit carbon dioxide capture equipment in the future? These questions provide the investor with three choices: • Build a pulverized coal-fired power plant today (lowest initial investment, but highest cost to retrofit with CO2 capture). • Build a standard Integrated Coal Gasification Combined Cycle (IGCC) power plant • Build an Integrated Coal Gasification Combined Cycle (IGCC) power plant with pre-investment to ease retrofit to CO2 capture (highest initial investment, but lowest cost to retrofit with CO2 capture).

  17. Key Concerns about Carbon Capture & Storage • Doubts as to whether CO2 storage can really be made permanent. While oil and gas fields are reasonably well understood over periods of a few decades, the long-term performance of seals and the character of other formations such as saline aquifers / deep sea (biology & impacts) is much less well understood. CO2 would need to be trapped permanently - meaning at a minimum for tens of thousands of years (long-term liability for the storage site). • Continuing our dependence on fossil fuels. There are many other problems associated with fossil fuels, from the exploitation of developing countries to health problems from air pollution, from oil spills to the propping up of dangerous regimes. Even if carbon capture and storage helps solve the climate problem, it may delay the uptake of renewable energy sources that offer a more sustainable future. • Health effects. Slow leakage through soils and catastrophic leaks from pipelines can all affect human and ecosystem (acidification and pCO2 impacts)health. Carbon dioxide in high concentrations asphyxiates.

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  19. Feedback and Comments are welcomed !

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