KonKraft on how Norway can achieve net-zero CO2
Aiming to reduce GHG (greenhouse gas) emissions within the industry by -40% in 2030, with the figure dropping even further no near zero by 2050. In addition, oil and gas companies will be driving a 50% reduction in emissions from maritime transport and fishing.
To achieve this, the report proposes a combination of carbon capture technology (two plants in operation by 2024), expansion of Norway’s offshore wind capabilities and the utilisation of hydrogen (two gas-fired hydrogen power stations by 2030 and use as shipping fuel by 2025).
Leaders in carbon reduction
“The expertise and technological innovativeness in the Norwegian petroleum industry, its operators, suppliers and the maritime sector, are part of the solution to the global challenges of the 21st century,” said the report.
Always sitting comfortably outside of the top 15 countries in terms of carbon emissions, Norway’s long-term commitment to achieving a more sustainable economy has been successful, although KonKraft emphasises that there is always more to do.
“Nevertheless,” the report says, “this is not enough. The Norwegian petroleum industry sees the need for a change of pace in the work to reduce global warming.”
“The oil & gas sector will work to ensure that this strong position is further developed and that Norway takes a leading role in developing floating wind farms as well as securing larger market shares for bottom-fixed offshore wind power.”
Investing in sustainability
Equinor, one of the oil and gas leaders in Norway, has made several pledges to solidify its dedication to offsetting carbon within the industry.
Described on the company’s website, Equinor states that it will reduce net carbon intensity by at least 50% by 2050, whilst simultaneously investing in renewable energy tenfold and striving to make its global operations carbon neutral by 2030.
“Equinor’s strategic direction is clear. As part of the energy industry,” says Eldar Sætre, President and CEO, “we must be part of the solution to combat climate change and address decarbonisation more broadly in line with changes in society.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.