Real options analysis of CO2 transport and storage in the UK continental shelf under geological and market uncertainties and the viability of subsidies for market development
File(s)
Published version
Author(s)
Nie, Z
Korre, A
Elahi, N
Durucan, S
Type
Conference Paper
Abstract
Carbon capture and storage (CCS) stakeholders focusing on transport and storage aspects need to consider a wide range of risks and uncertainties, categorised as market, regulatory, geological and technical risks and uncertainties. This paper presents a real options based investment decision making framework which has been designed to consider these, optimise flexibility at network infrastructure level, and appraise the viability of subsidies for market development, so that investors or regulators can confidently and quantitatively evaluate incentives that can support CCS deployment at large scale. The paper describes the models developed for this purpose and demonstrates the application of the modelling framework for a realistically designed UK North Sea CO 2 storage network.
Date Issued
2017-08-18
Date Acceptance
2016-11-14
Citation
Energy Procedia, 2017, 114, pp.6612-6622
ISSN
1876-6102
Publisher
Elsevier
Start Page
6612
End Page
6622
Journal / Book Title
Energy Procedia
Volume
114
Copyright Statement
© 2017 The Authors. Published by Elsevier Ltd. This is an open access article under the CC BY-NC-ND license
(http://creativecommons.org/licenses/by-nc-nd/4.0/).
(http://creativecommons.org/licenses/by-nc-nd/4.0/).
Sponsor
Natural Environment Research Council (NERC)
Engineering & Physical Science Research Council (EPSRC)
Grant Number
NE/H01392X/1
EP/K035967/1
Source
13th International Conference on Greenhouse Gas Control Technologies, GHGT-13
Publication Status
Published
Start Date
2016-11-14
Finish Date
2016-11-18
Coverage Spatial
Lausanne, Switzerland