Carbon capture infrastructure development faces mounting pressure as European industrial emitters increasingly demand government backing for decarbonisation investments, according to ECOLOG chief commercial officer Jasper Heikens.
The evolving landscape of carbon capture, utilisation and storage (CCUS) infrastructure remains heavily dependent on policy support mechanisms, with major industrial players seeking concrete commitments before proceeding with carbon capture investments. This challenge emerges as developers work to establish strategic CO2 collection and liquefaction hubs across Europe.
ECOLOG, currently developing three significant CO2 export terminals, is spending "90% of our time" on terminal development and emissions volume aggregation, says Mr Heikens. The company’s portfolio includes a floating liquefaction unit in Greece and land-based terminals in Korea and the Netherlands, positioning itself as an infrastructure orchestrator between emitters and storage sites.
"We’re kind of in the middle between the sequestration site and the emitter," Mr Heikens explains. "We’re sometimes having to be an orchestrator, like the glue getting everyone together and facilitating the development of the full supply chain."
However, major industrial emitters are pushing back on decarbonisation costs. These companies have indicated government support is crucial for maintaining European operations.
The situation is particularly acute given current market conditions. High energy prices and decarbonisation requirements are driving concerns about European de-industrialisation, with multinational companies evaluating their continued presence in the region. Mr Heikens cites examples of international chemical companies considering facility mothballing in Europe while maintaining production elsewhere.
This industrial stance creates a complex challenge for infrastructure developers, who must secure committed CO2 volumes to establish viable terminals while emitters await clear policy frameworks and financial support mechanisms. The situation highlights the intricate balance between industrial competitiveness, environmental goals, and infrastructure development in Europe’s evolving carbon capture landscape.
Industry stakeholders are now calling for enhanced dialogue between policymakers, emitters and infrastructure developers to address these challenges, particularly through forums such as the EU’s DG CLIMA and national bodies such as the UK’s Department for Energy Security and Net Zero.
source: riviera news