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Unlocking carbon capture and storage potential: Policy incentives, economic challenges, and infrastructure integration for CO2 transport AITranslate

1.Energy Safety Research Institute, Department of Chemical Engineering, Swansea Univrsity, Swansea SA1 8EN, UK
2.School of Economics and Management, Harbin Engineering University, Harbin 150001, China
3.School of Management, Swansea University, Swansea SA1 8EN, UK
4.Birmingham Business School, University of Birmingham, Birmingham B15 2TY, UK
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Abstract AITranslate

As countries accelerate efforts to meet carbon neutrality targets, carbon capture and storage (CCS) is gaining renewed attention as a critical mitigation strategy. This review provides a structured synthesis of global CCS policy evolution, highlighting how incentive mechanisms have shifted from generic subsidies toward hybrid approaches integrating carbon pricing, green finance, and legal risk-sharing. Building on this, the paper introduces a policy classification framework that categorizes instruments into market-based tools, command-and-control regulations, and institutional support, offering analytical coherence for future cross-country comparisons. Beyond the industrial and power sectors, the review foregrounds an often-overlooked CCS application: addressing residual emissions in hard-to-abate sectors such as transportation. We emphasize the strategic role of CO2 transport infrastructure–including pipelines, shipping routes, and port retrofitting–and introduce a dedicated section analyzing its cost-leveraging effects, infrastructure integration models, and life-cycle trade-offs. By embedding a life-cycle assessment (LCA) perspective, we demonstrate how different transport modes shape both economic and carbon efficiency. Drawing on case studies from the U.S., EU, and China, we distill key governance lessons and identify the enabling conditions for scaling up CCS deployment. The paper also highlights governance gaps related to cross-border infrastructure coordination, carbon market integration, and just siting. Overall, this review contributes to literature on CCS governance and infrastructure transitions by offering a replicable analytical structure, expanding the scope beyond capture technology, and linking fragmented insights into an integrated policy roadmap for large-scale CCS commercialization.

KeyWords AITranslate

carbon capture and storage (CCS) carbon neutrality policy incentive mechanisms economic viability climate policy CO2 transport

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Basic Information:

DOI:10.23919/CHAIN.2025.000015

Chinese Library Classification Number:

Citation Information:

As countries accelerate efforts to meet carbon neutrality targets, carbon capture and storage (CCS) is gaining renewed attention as a critical mitigation strategy. This review provides a structured synthesis of global CCS policy evolution, highlighting how incentive mechanisms have shifted from generic subsidies toward hybrid approaches integrating carbon pricing, green finance, and legal risk-sharing. Building on this, the paper introduces a policy classification framework that categorizes instruments into market-based tools, command-and-control regulations, and institutional support, offering analytical coherence for future cross-country comparisons. Beyond the industrial and power sectors, the review foregrounds an often-overlooked CCS application: addressing residual emissions in hard-to-abate sectors such as transportation. We emphasize the strategic role of CO2 transport infrastructure–including pipelines, shipping routes, and port retrofitting–and introduce a dedicated section analyzing its cost-leveraging effects, infrastructure integration models, and life-cycle trade-offs. By embedding a life-cycle assessment (LCA) perspective, we demonstrate how different transport modes shape both economic and carbon efficiency. Drawing on case studies from the U.S., EU, and China, we distill key governance lessons and identify the enabling conditions for scaling up CCS deployment. The paper also highlights governance gaps related to cross-border infrastructure coordination, carbon market integration, and just siting. Overall, this review contributes to literature on CCS governance and infrastructure transitions by offering a replicable analytical structure, expanding the scope beyond capture technology, and linking fragmented insights into an integrated policy roadmap for large-scale CCS commercialization.

quote

GB/T 7714-2015 [1] Nan Liu, Yuqing Zhan, Rui Tan, et al. Unlocking carbon capture and storage potential: Policy incentives, economic challenges, and infrastructure integration for CO2 transport[J]. Chain, 2025, 2(3): 211-226. DOI:10.23919/CHAIN.2025.000015.
MLA [1] Nan Liu, et al., "Unlocking carbon capture and storage potential: Policy incentives, economic challenges, and infrastructure integration for CO2 transport." Chain, vol. 2, no. 3, 2025, pp. 211-226, https://doi.org/10.23919/CHAIN.2025.000015.
APA [1] Nan Liu, Yuqing Zhan, Rui Tan, Guoqing Zhao, & Jianing Song. (2025). Unlocking carbon capture and storage potential: Policy incentives, economic challenges, and infrastructure integration for CO2 transport. Chain, 2(3), 211-226. https://doi.org/10.23919/CHAIN.2025.000015
IEEE [1] Nan Liu, Yuqing Zhan, Rui Tan, Guoqing Zhao, and Jianing Song, "Unlocking carbon capture and storage potential: Policy incentives, economic challenges, and infrastructure integration for CO2 transport," Chain, vol. 2, no. 3, pp. 211-226, 2025, doi: 10.23919/CHAIN.2025.000015. keywords: {carbon capture and storage (CCS);carbon neutrality policy incentive mechanisms;economic viability;climate policy;CO transport}