Regulations for carbon capture, utilization and storage: Comparative analysis of development in Europe, China and the Middle East
173 Resources, Conservation & Recycling
35 Pages Posted: 23 Jun 2021
Date Written: June 22, 2021
The development of the carbon capture, utilization and storage (CCUS) supply chain will require the establishment of a regulatory and legal regime, both at the international and domestic level, to manage risks at various parts of the supply chain and to support technology investment. Within this regulatory and legal framework, the regional and domestic regime has been identified as a crucial factor that could facilitate or inhibit the creation of a CCUS supply chain at a larger scale. According to the relevant literature, policy backing for CCUS has been supported in several countries and jurisdictions which represent both the source and sink of carbon dioxide. To evaluate the legal and regulatory developments which underpin the global matching of CO2 sources and sinks, this article reviews and critically analyzes the legal and regulatory systems to address various challenges facing the CCUS development in Europe, China and the Middle East, because these jurisdictions have good representations, as sinks and sources of CO2, in developing the CCUS supply chain. These challenges include ensuring regulatory clarity to support CCUS development, integration of CCUS in the portfolio of climate change mitigation to create an enabling environment to improve the financial viability of CCUS, and ensuring consistency with international law. The findings of this article suggest that the regulatory systems in the three regions face various challenges and this article proposes some regulatory changes that are necessary for facilitating the CCUS supply chain at the domestic and regional level.
Keywords: Carbon capture, utilization and storage; Legal and regulatory system; Middle East; Europe; China
JEL Classification: K32
Suggested Citation: Suggested Citation