28-9-2023 (TOKYO) The Japanese government and Malaysia’s state oil company, Petronas, have entered discussions on the potential export of carbon dioxide (CO2) emitted in Japan to storage sites in Malaysia, as part of their collaborative efforts to combat climate change. This agreement sets the stage for similar talks with other Asian nations in the future, according to Norihiko Saeki, director of Japan’s Ministry of Economy, Trade and Industry (METI) carbon capture and storage (CCS) policy office.
METI, along with Japan Organization for Metals and Energy Security (JOGMEC) and Petronas, signed a memorandum of cooperation (MoC) on CCS with the objective of commencing CO2 shipments from Japan as early as 2028. Saeki emphasized that no specific numerical targets for the amount of CO2 to be transported have been set, but rather the focus is on establishing a regulatory framework that enables private companies to make investment decisions regarding CCS.
Carbon capture and storage involves the removal of CO2 emissions from the atmosphere, followed by their underground storage or re-use. It is seen as a crucial technology in the fight against climate change. Earlier this year, Japan outlined a long-term roadmap for CCS, which included a target of achieving an annual CO2 storage capacity of 6-12 million tonnes by 2030.
Fatih Birol, the executive director of the International Energy Agency, addressed the Asia CCUS Network conference via video remarks, highlighting the global need for greater efforts in the field of carbon capture, utilization, and storage (CCUS). While there are over 500 CCUS projects worldwide, including in China, Indonesia, Japan, and South Korea, Birol emphasized that much more work is required to meet climate objectives. According to analysts, one of the challenges hindering progress is the lack of transportation and storage networks for CCUS projects.
Rystad Energy, a leading energy research and consulting firm, reported that based on planned carbon capture projects, over 90 million metric tons per annum of CO2 will need to be transported by the end of the decade, necessitating the establishment of 48 terminals to handle the import and export of the gas. This underscores the infrastructure requirements and the scale of the global effort needed to address carbon emissions effectively.
