A tried and tested technology CCS stands for Carbon Capture and Storage. CCS is a well- known technology, that has been used in other countries for many years, but it has most often been used to increase oil extraction. Instead, the technology will now be used in Denmark to deposit the CO2 where it came from – the deep underground. The work has begun A number of conditions must be in place before a CO2 cap- ture and storage can be established in Denmark. In the Cli- mate Agreement of 2020, it was decided that CCS must be an essential piece in achieving Denmark's climate policy goals. The Danish Energy Agency has since worked to make CCS possible in Denmark. With the political agreement on a CCS strategy, the Danish Energy Agency can accelerate further and is currently work- ing on the following, among other things: Build the framework for the rules that make it possible to grant permits for geological storage of CO2 in the Danish underground.
Amend the legislation and regulations so that the frame- work for constructing and operating capture plants for municipal utility companies - for example, waste-to-ener- gy plants - becomes clear. Investigate environmental and natural impacts for the ar- eas where underground geological storage may become relevant. Therefore, the Danish Energy Agency has initiated a strategic environmental assessment (SME) of the plan for tendering for storage in the western part of the North Sea. The financing behind the political agreement The political agreement on CCS from December 2021 allocat- ed 16 billion DKK for CO2 in 2024-2048, where the funds were to be split in two phases. After two initial rounds of market dialogue, the Energy Agency published the material for the first tender round in early 2022, where Vestforbrænding ap- plied for prequalification. With this tender, the Danish Energy Agency seeks to enter into a contract with one operator. A subsidy totaling an estimated 8 billion DKK will be award for capturing and storing CO2 from flue gas from combustion.
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