Track-1
HyNet North West
North West England and North Wales. Anchor emitters: Stanlow refinery, Essar hydrogen, Kellogg's, Pilkington Glass. Storage at Liverpool Bay depleted gas reservoirs.
CCUS
Four clusters, two billion tonnes of storage, and a 2030 delivery test.
Great Britain's Carbon Capture, Utilisation and Storage programme targets 20-30 million tonnes of CO₂ captured per year by 2030. Four industrial clusters lead: HyNet North West, East Coast Cluster, Viking CCS, Acorn. The UK Continental Shelf holds roughly 2 billion tonnes of storage in saline aquifers and depleted reservoirs. This route traces who captures, how it moves, and where it ends up.
09Route 9 of 12 · Energy vectorsAfter this route you will be able to
- Describe the cluster model and the difference between Track-1 and Track-2 deployment.
- Name the four industrial clusters, their lead developers, and their initial capture targets.
- Explain how UK CO₂ transport and storage is funded (Dispatchable Power Agreement, Industrial Carbon Capture contract, Transport and Storage Regulatory model).
- Identify the storage reservoirs in each cluster and their containment track record.
- Make a reasoned call on the ceiling of UK CCUS deployment.
4 October 2023Track-1 cluster funding announced · £20 bn over 20 years
The 2023 funding announcement committed public money to CCUS for the first time at programme scale.
On
Track-1 status was awarded to HyNet North West and the East Coast Cluster. Viking CCS (Humber) and Acorn (Scotland) were made Track-2 candidates. The funding mechanism is a set of tailored contracts: Dispatchable Power Agreement for power generation with CCS; Industrial Carbon Capture contract for industrial emitters; Transport and Storage Regulatory model for the pipeline and storage infrastructure itself.
The open question is not technology. CO₂ injection into saline aquifers has been operational at Sleipner (Norwegian North Sea) since 1996, injecting about 1 Mt/year for nearly three decades. The open question is whether UK clusters can deliver on the 2030 capture targets at the cost levels the contracts assume.
CCUS works in principle. Is the 2030 target achievable as a delivery plan, or does the programme need reshaping for a later milestone?
The answer depends on whether the four clusters can hit first capture between 2027 and 2030. Each cluster is a different combination of emitters, pipeline, and reservoir.
Section 01 · The four clusters
HyNet, East Coast, Viking, Acorn.
Each cluster is anchored by a small number of industrial emitters, a dedicated CO₂ pipeline, and one or more offshore storage reservoirs. Emitters within the cluster share infrastructure and risk.
Track-1
East Coast Cluster
Teesside and Humber. Anchor emitters: Net Zero Teesside power (BP+Equinor), Keadby 3 power, multiple Teesside industrials. Storage at Endurance saline aquifer in Southern North Sea.
Track-2
Viking CCS
Humber-based. Anchor emitters: multiple Humber industrials, Harbour Energy storage operator. Storage at Viking gas field (depleted reservoir, infrastructure re-use potential).
Track-2
Acorn
Scotland (Aberdeenshire). Anchor emitters: Mossmorran NGL, Grangemouth industrials. Storage at Goldeneye depleted gas field and Acorn regional saline aquifer.
Track-1 = awarded 2021, first operations 2027-28. Track-2 = awarded 2023, first operations 2028-30. Each cluster must reach Final Investment Decision before construction begins.
Section 02 · The economics
Capture costs £70-150 per tonne, depending on source.
The cost of capturing CO₂ varies by source. Pure CO₂ streams (hydrogen, ammonia, ethanol) are cheapest. Dilute streams (cement, steel, gas power plants) are expensive. The UK programme has to make both work to hit 2030.
Capture costs fall into three bands. Concentrated streams (hydrogen production, ammonia, fermentation) yield pure CO₂ and capture for £30-70 per tonne. Power generation (gas CCGT with post-combustion capture) is roughly £70-120 per tonne. Diffuse industrial (cement kilns, steel, glass) is £120-200 per tonne.
Transport and storage costs are roughly uniform: £15-25 per tonne for pipeline transport, £10-15 per tonne for injection and monitoring. The cluster model amortises fixed infrastructure across emitters.
The Industrial Carbon Capture contract pays captured CO₂ at a negotiated strike price per tonne, indexed against a reference carbon price. Where the ETS price sits below the strike, the contract pays the difference; where ETS rises above strike, the government keeps the gap. The mechanism guarantees a floor, shares upside risk.
Storage operators must provide continuous monitoring of injected CO₂ for a minimum of 20 years after injection cessation. Liability for long-term stewardship transfers to the Crown (in the case of the UK) after this period, subject to satisfactory monitoring reports.
Energy Act 2008, Part 1, and the CO₂ Storage Regulations 2010
Section 03 · The 2030 delivery call
Push for full 2030, slip to 2032, or rescope to industrial-only.
The programme is under delivery pressure. Each realistic option trades cost against timeline and scope.
Check your understanding
Three questions on what you have just read.
Key takeaways
- Four clusters: HyNet and East Coast (Track-1), Viking and Acorn (Track-2). Each has dedicated pipeline and storage.
- 2030 capture target is 20-30 Mt/yr. UK storage capacity is roughly 2 Gt across saline aquifers and depleted reservoirs.
- Capture cost ranges £30-200/tonne depending on source concentration. Transport and storage adds ~£25-40/tonne.
- Long-term CO₂ stewardship transfers to the Crown after a 20-year monitoring period.
- The delivery question is not technology but timeline. First capture 2027 is tight; 2028-29 is realistic.
References
- DESNZ: CCUS cluster sequencing
Cluster selection process, Track-1 and Track-2 decisions.
Primary policy reference.
- NSTA: Carbon storage licensing
CO₂ storage site licensing, reservoir assessments.
Regulatory source for offshore storage.
- DESNZ: CCUS business models
DPA, Industrial Carbon Capture contract, Transport and Storage Regulatory model.
Contract mechanism reference.
- Climate Change Committee
CCUS pathway analysis, residual emissions profile.
Independent pathway source.
- Storage of Carbon Dioxide (Licensing etc.) Regulations 2010
Monitoring period, long-term stewardship transfer.
Statutory stewardship framework.
The next route covers interconnectors. The physical and commercial links that let GB trade electricity with France, Norway, the Netherlands and Ireland.