CCS Frequently Asked Questions

What is carbon capture and storage?
Is CCS a safe and viable technology?
What kind of results do you expect this funding will help Alberta achieve?
Why is the government investing in carbon capture and storage?
What is enhanced oil recovery?
How does CCS encourage value-added development in Alberta?
How will this money be allocated? What are the next steps?

What is carbon capture and storage?

Carbon capture and storage (CCS) is a scientifically proven technology to reduce greenhouse gas emissions by permanently injecting and sealing them in deep underground rock formations.  CCS is supported as a safe and viable climate change solution by groups including the United Nations Intergovernmental Panel on Climate Change and the International Energy Agency.  The same unique geology that developed the abundance of hydrocarbon resources in Alberta also makes it ideally suited for permanent storage of emissions through CCS. 

Is CCS a safe and viable technology?

Experience in Canada and around the world has shown that CCS can be done safely and produce positive environmental results. In Alberta, the CO₂ will be injected kilometres deep into an empty rock formation. It will be injected, sealed and monitored by experts to ensure there is no leakage or impact on public safety or the environment.

Since 2000, more than ten million tonnes of CO₂ has been successfully injected into a depleting oil field near Weyburn, Saskatchewan without adverse effects.  Other CCS projects are being pursued around the world in a variety of countries including Norway, the United Kingdom and Australia.

What kind of results do you expect this funding will help Alberta achieve?

An investment in three to five large-scale projects has the potential to permanently store up to five million tonnes of CO₂ per year by 2015, which is the equivalent of one million cars off the road each year.   

Why is the government investing in carbon capture and storage?

A provincial investment in CCS is essential in helping to meet the goals of Alberta’s Climate Change Strategy to reduce emissions, while also allowing the economy to continue to grow and provide jobs for Albertans.

This economic growth, as well as the potential for value-added industries and enhanced oil recovery through CCS, also provide significant taxes and energy royalties, which are invested into priority programs for Albertans, such as health care and infrastructure. Albertans have said clearly they expect government to find a balance between development and protection of the environment.

This provincial investment is intended to accelerate the development of projects and encourage the necessary investment from industry to make CCS viable in Alberta. 

What is enhanced oil recovery?

Injecting carbon dioxide (CO₂) into existing conventional oil fields could increase recoveries from those fields by an estimated 500 million to two billion barrels.  Enhanced Oil Recovery (EOR) will create new opportunities for the province’s conventional oil sector, resulting in increased royalties for Albertans.

How does CCS encourage value-added development in Alberta?

CCS projects will encourage new value-added projects to proceed in Alberta (rather than in jurisdictions without emissions targets) on the basis that they will be able to meet the province’s emissions standards for large industrial facilities. Value-added projects such as bitumen upgraders, gasoline refineries and petrochemical facilities provide sustainable jobs for Albertans.

How will this money be allocated? What are the next steps?

Two projects (Shell Quest project and TransAlta's Pioneer Project) have been selected and the companies have signed Letters of Intent (LOI's).  Discussions are ongoing with other project proponents for the remaining funds.

Return to the CCS fund information.