C-Zero Markets and Drax have signed a contract to sell carbon dioxide removal credits from Drax’s first bioenergy with carbon capture and storage (BECCS) facility in the United States.
Drax First BECCS Project
Under the deal, C-Zero will buy serval thousand metric tonnes of carbon removals from Drax’s first BECCS project at $300 per tonne. Drax aims to deliver 12 million metric tonnes of Carbon Dioxide Removals (CDRs) annually by 2030 through BECCS.
“It’s great to be one of the first companies to get a deal done in this new market for carbon removals and particularly satisfying to secure the certificates from Drax’s first BECCS project.
Drax is one of the leading players in this space, and it has been great to work with them on process, compliance, and sustainability. This is fundamental to us as a business and to the clients we are supporting.”
Mike Ridler, Director of C-Zero Markets
Organisations use carbon dioxide removals (CDRs) to balance their hard-to-abate carbon emissions, achieve a net zero and, in some cases, a negative carbon status. Organisations are increasingly seeking carbon credits that are more durable and less risky, such as those produced by carbon removal technologies, to achieve their decarbonisation goals.
“Investment in BECCS projects and the trade in the certificates and evidence is essential for the UK to achieve its goal of capturing 5m t/y of CO2 using engineered greenhouse gas removals technology (GGRs).”
Bruce Brown, Director of Compliance Markets at C-Zero
Mike Ridler, Director of C-Zero Markets, commented,
“I’m thrilled that the partnership with Drax will help solve the other half of the climate equation with carbon removal. This will be a crucial development in the market for our clients and us; we are already receiving huge interest.”
“This market will evolve quickly, and being involved from the start is a game changer for us and, more importantly, our clients.”
Marc Bradbrook, Director of Business Development of Drax, added,
“Drax aims to be a global leader in BECCS – delivering renewable energy and carbon removals while becoming a major player in this potentially trillion-dollar market.”
“While the CDR market is still in early stages, the clear demand that we are seeing for removals alongside the progressive policies being developed in the US to support BECCS is enabling the investment needed to spur this vital new sector of the economy.”
“We hope this deal with C-Zero will demonstrate the continued growth of the sector and spur other companies to invest now to support the development of this vital market.”
The C-Zero BECCS team will focus on industrial carbon capture, waste, Carbon Capture, Usage and Storage (CCUS)-enabled hydrogen, power with CCUS, and engineered GGRs.
Access to the BECCS market will be integral to the service C-Zero will offer their clients to support net zero emissions targets, which require them to purchase carbon offset credits to compensate for the emissions they cannot cut themselves.
Therefore, this deal is essential and puts C-Zero and its client base ahead of the curve with this new, exciting, and developing opportunity.
Notes to Editors.
C-Zero supports companies and organisations with renewable energy and emission reduction solutions as they navigate the pathway to net-zero carbon by 2040.
To help businesses and organisations reduce and offset their carbon emissions.
At C-Zero, we work with companies to enable them to realise their decarbonisation strategies and targets. Our diverse team has decades of experience understanding climate risks and opportunities in specific sectors.
C-Zero’s focus has always been to achieve the highest emission reduction standards, based on work by the Climate Group and International Emissions Trading Association (IETA).
Our Carbon Offsets are real, quantifiable, additional, and permanent project-based emission reductions.
Drax has agreed to a Memorandum of Understanding with C-Zero Markets about selling carbon dioxide removal credits from Drax’s first US BECCS facility.
- C-Zero intends to buy 2,000 metric tonnes of carbon removals from Drax’s first US bioenergy with carbon capture and storage (BECCS) project for $300 per tonne.
- Drax will deliver 12 million metric tonnes of carbon dioxide removals (CDRs) annually using BECCS by 2030.
Click the link here to read the full Drax communication regarding this exciting development.
C-Zero has reacted quickly to market opportunities for their clients in securing 2000 metric tonnes of carbon capture credits in a ground-breaking partnership with renewable energy giant Drax.
As well as being the biggest renewable power generator in the UK, Drax is home to the largest decarbonisation project in Europe. Its ground-breaking negative emissions technology, Bioenergy with Carbon Capture and Storage (BECCS), captures and permanently stores carbon dioxide from bioenergy generation.
Drax’s carbon removals technology uses sustainably sourced biomass and, when deployed, will permanently remove four million tonnes of CO2 outside the UK by 2030.
This C-Zero service is integral to their client’s net zero emissions targets, which require them to purchase carbon offset credits to compensate for the emissions they cannot cut themselves.
This initiative from C-Zero is ahead of the curve predicted by National Grid’s Net Zero Future Energy Scenarios (FES), which aims to deploy BECCS by 2028 and predicts rapid increases in capacity in the 2030s.
Prime for Carbon Capture
The UK is prime for Carbon Capture and Storage, with Drax planning two 600+ megawatt (MW) biomass units, upgraded with carbon capture technology by 2030. They will deliver 40% of the negative emissions from BECCS, which the UK Climate Change Committee indicates will be needed in 2050 for the UK to reach net zero.
Furthermore, according to the British Geological Survey, there are 70 billion tonnes of potential CO2 storage space around the UK, making this partnership between Drax and C-Zero an essential service in the C-Zero portfolio.
Mike Ridler, Director of C-Zero Markets, commented on the partnership with Drax.
“It’s been a bit of time in the making, but I’m thrilled that the partnership with Drax will help solve the other half of the climate equation with carbon removal.
This will be a crucial development in the market for our clients and us; we are already receiving huge interest.
This market will evolve quickly, and being involved from the start is a game changer for us and, more importantly, our clients.
This will be a global market with the legislation in North America whilst closer to home, the UK “Track 1” Power-BECCS application has been submitted, and shortlisted projects will be announced shortly.”
The team from C-Zero will attend the Biogas Expo at the NEC on Stand A509 on March 29 / 30, where they will be available to discuss how Carbon Capture and Storage can impact your Net Zero aspirations.
The World Biogas Expo will be back in 2023. It’s the world’s leading trade expo solely dedicated to the anaerobic digestion and biogas industry, providing the latest market and technology news, sector by sector, as well as a platform for industry professionals from the UK and overseas to network, share experiences and do business.
Attendance at the event is completely FREE, but you do need to book in advance. Sign up at www.biogastradeshow.com.
Come and join us on 29-30 March 2023, Hall 8, NEC Birmingham.
You will be able to visit us at stand A509
We look forward to seeing you!