In the absence of immediate, rapid, and unprecedented reduction in global demand for carbon intensive energy and products, the capture and permanent storage of billions of tonnes of carbon dioxide (CO2) annually will be needed before mid-century to meet Paris Agreement goals.
In the first part of this webinar, Professor Myles Allen from the University of Oxford and consultant Margriet Kuiyper will propose that a cost-effective transition can occur by mandating an increasing stored fraction of carbon through a progressive Carbon Takeback Obligation (CTBO) placed on fossil carbon producers and importers. Compared to a global carbon price, an upstream CTBO has potential advantages of simple governance, speed, and controllability; equivalent carbon prices under a CTBO are reliably capped by the cost of direct air capture and storage, and by ensuring deployment keeps pace with continued fossil fuel use. When combined with other measures to reduce CO2 emissions in the near-term, a CTBO could deliver a viable pathway to achieving net-zero emissions consistent with 1.5°C by mid-century.
In the second part, Martin Towns of bp and Arthur Lee of Chevron will introduce a recent paper from the Oil and Gas Climate Initiative on the CTBO concept in relation to Article 6 of the Paris Agreement, looking at how these obligations could create tangible and predictable demand for carbon storage units and unlock a flow of funds to build storage capacity.
Myles Allen is Director of the Oxford NetZero Institute and Professor of Geosystems Science at the University of Oxford. He was a Coordinating Lead Author on the Intergovernmental Panel on Climate Change Special Report 1.5C.
Margriet Kuijper is an independent consultant on carbon capture and storage (CCS), carbon dioxide removal and climate policy. She worked for Shell for 30 years in climate change and CCS; and now leads a multi-stakeholder study investigating the potential of a Carbon Takeback Obligation.
This webinar is part of a series on CCS sponsored by SPE Gaia, IOGP, OGCI and Ipieca, sharing knowledge and good practice around the scaling up of this technology, including key issues, environmental responsibility, financial incentives, policy, and liability concerns.