The high mitigation cost of clean innovations, warrants policy support for increased uptake. This study applies optimization techniques to investigate the impact of market-based policies in generating sufficient demand pull to trigger cost reduction under uncertainty. A novel Stochastic Market Potential Optimization model (SMPOM) is developed to maximize the cost difference between the initial cost of a technology and the new cost using a market-based policy. The model is applied to a case study of carbon capture and storage (CCS) in 32 integrated steel plants in Europe. Results show policy induced demand pull can reduce the mitigation cost of CCS.