What CCUS Projects Can Bring to the Energy and Industrial Sectors in Mexico?
Proceedings of the 15th Greenhouse Gas Control Technologies Conference 15-18 March 2021
12 Pages Posted: 8 Apr 2021
Date Written: April 6, 2021
Over the last decade, Mexico has put in place several actions for reducing its greenhouse gas emissions. As a country where petroleum, manufacturing and heavy industry play a critical role in the economy, carbon removal technologies are essential for sustainable development and meet climate commitments. Technology innovation and sustainable planning represent an unprecedented opportunity to comply with national climate and economic objectives.
Mexico's current NDC and its mid-century strategy consider implementing commercial CCUS projects to meet its decarbonisation goals towards 2030 and 2050, respectively. CCUS is a critical technology in the national decarbonisation pathways for significant industries. Since 2014, national institutions have worked together in developing and implementing the activities of Mexico's CCUS roadmap. Nonetheless, this process still faces several challenges related to public funding, regulation and stakeholders engagement. The enactment of ambitious climate commitments and the efforts to embrace CCUS have not been sufficient to raise awareness about the urgency to integrate low-carbon technologies to decarbonise Mexico's economy.
At a national level, Mexico has an enormous opportunity to boost CCUS through enhanced oil recovery (EOR). Worldwide, projects success has been associated with EOR activities since they provide benefits. Another advantage is that Mexico can develop CCUS industrial clusters in regions near oil fields, bringing together multiple stakeholders and encouraging them to work. Although the perspective is for CCUS to be implemented by 2030, it is necessary to explore the potential impacts -positive or negative- at this stage.
The present work analyses CCUS technology's role as part of the national climate strategies in the energy and the industrial sectors to comply with the NDCs. It explores the potential GHG and non-GHG effects of CCUS implementation. Mexico's study case can provide insights into the challenges along the projects' causal chain in emerging economies where the technology is still in an early stage of adoption.
Keywords: CCUS; decarbonisation; energy; industry; climate policy
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