UK Carbon Capture Scheme Collapsing

(Longannet Power Station, Scotland) The carbon capture scheme for Longannet station encompasses the storage of coal plant CO2 emissions under the sea.

Eco-cultists praise the scheme but, unfortunately, it's expensive and ScottishPower says it's pulling out unless more wheelbarrows of taxpayer largess are delivered.

It is understand (sic) the Department of Energy and Climate Change (Decc) is unwilling to increase funding of the £1 billion carbon capture and storage (CCS) experiment to make it commercially viable for ScottishPower.

CCS involves forcing liquefied carbon dioxide into subsea rocks, with the gas eventually dissolving to become fizzy water.

Professor Stuart Haszeldine of Edinburgh University, whose research has helped shape the scheme, said the power firm wanted to be paid as much for the electricity generated under CCS as other clean energy such as from windfarms - some £100 per megawatt hour - rather than the lower rate paid for the "dirty electricity" Longannet currently produces, of around £60 a megawatt hour.

Prof Haszeldine, whose post is sponsored by ScottishPower, said: "Things are in a difficult position. There is definite concern because negotiations have taken a long time.

"They are still proceeding, but going to a higher and higher level as they become more protracted."

The academic said ScottishPower was nervous about committing to the project without securing more guaranteed income in the face of impending tough European pollution laws.

Environmental campaigner group WWF Scotland said: "We have heard it is on a sticky wicket and this is not just scaremongering - there is a good chance of it not happening." WWF director Dr Richard Dixon said: "This news is deeply worrying. If the UK truly wants to lead the development of this technology, we do hope that all those involved can find a way to make this project happen."

In conclusion, carbon capture projects are seemingly societal luxuries, financially unsupportable in times of austerity.

Meanwhile, the European Climate Exchange continues to trade carbon capture contracts under the EU mandated cap-and-trade system but the money-losing Chicago Climate Futures Exchange (CCFE) has ceased activity on U.S. emissions contracts. Launched in 2004, the CCFE is due to close early next year.