Research development

Canada calls for carbon capture research, development and demonstration projects

REGINA, Sask. – A healthy environment and a healthy economy go hand in hand, and nowhere is this clearer than in from Canada clean energy future. The government of Canada invest to make Canada a leader in new technologies that will build a strong and resilient economy, create sustainable jobs and fight climate change.

Today, the Honorable Jonathan Wilkinson, Minister of Natural Resources, announced a $81.5 million call for expressions of interest support research, development and demonstration (RD&D) projects in the field of carbon capture, use and storage (CCUS). CCUS technologies prevent gases from heavy industries like steel and cement from polluting the air, helping to fight climate change. The call will include three entries to advance CCUS technologies: Capture, Storage and Sequestration, and Utilization. Applications are now open for RD&D projects on carbon capture.

Funded under the Energy Innovation ProgramThe carbon capture RD&D projects selected under this call will help emissions-intensive industries identify, develop and test technologies at competitive costs and energy efficiency levels, which they could implement implemented to capture their CO2 emissions. Projects are expected to reduce harmful emissions in these sectors, provide clean air and water and healthy communities, while helping Canada achieve its goal of achieving a net zero economy by 2050.

The call for expressions of interest for carbon capture RD&D projects will remain open until October 3, 2022. Inputs for carbon storage and sequestration and utilization RD&D projects are expected to be launched in the coming year.

The International Energy Agency has been clear: carbon capture, use and storage is an important emissions reduction technology that can be applied across the entire energy system. The government of Canada is committed to accelerating the development of technologies that will help build a clean energy future while creating new opportunities for Canadian workers and industries.

As part of Budget 2021, the federal government is investing $319 million in research, development and demonstrations to advance the commercial viability of CCUS technologies. These funds will support businesses, universities, non-profit organizations, government and public laboratories. Additionally, through its 2030 Emissions Reduction Plan and 2022 Budget, the government has reaffirmed its commitment to developing a CCUS strategy to Canada and proposed a refundable investment tax credit worth $2$0.6 billion over five years, starting in 2022-23, to encourage the development and adoption of CCUS technology to help industries on their journey to net zero emissions.

Quotation

“Many of the technologies needed to reach our goal of net zero emissions by 2050 are still in various stages of development, including decarbonization solutions such as CCUS. The government of Canada invests in innovative clean energy R&D projects to help grow the economy, fight climate change and create good jobs for Canadian workers.

The Honorable Jonathan Wilkinson
Minister of Natural Resources

Fast facts

  • This is the second CCUS Innovation Support Call, the first focused on Initial Engineering and Design (FEED) studies for large-scale projects. Thanks to this initial call, 11 projects were selected for funding in April 2022representing a total investment of up to $50 million:
    • Canadian Natural Resources LimitedOil Sands CCUS Pathways to Net Zero, Calgary, AB
    • Cenovus Energy Inc.CO2 Capture at Dee Valley Thermal, Calgary, AB
    • Cenovus Energy Inc.Minnedosa CO Ethanol Plant2 Sequestration, Calgary, AB
    • Improve Energy Inc.improve the technical feasibility of the Central Alberta Carbon Sequestration Center, Calgary, AB
    • NorthRiver Midstream Inc.McMahon Energy Complex – Hydrogen, Calgary, AB
    • Strathcona Resources Ltd.Recirculation of combustion gases and carbon capture in a semi-closed Lindbergh cycle, Calgary, AB
    • SvanteCarbon Capture Technology for Suncor’s Fluid Catalytic Cracker Flue Gases, Calgary, AB – directed by Carlos Alberto Giraldo Sierra
    • Vault 44.01 Ltd.Hinton Pulp BECCS for FEED Negative Emissions Study, Calgary, AB
    • Whitecap Resources Inc.Regina Area CCUS Center, Calgary, AB
    • City of Medicine HatCMH CO2 Capture and project Clear Horizon, Medicine Hat, Alta.
    • SAF+ Consortium Inc.SAF+ e-fuel, Montreal, Quebec
  • Funding for projects selected under the FEED call is subject to successful due diligence and signature of an agreement.
  • Increased use of CCUS functionality in combining all credible pathways to reach net zero by 2050, including all 1.5°C pathways developed by the Intergovernmental Panel on Climate Change of the Nations United and the International Energy Agency.