Why in the News?

Carbon Capture and Utilisation (CCU) has gained attention as India advances its Draft 2030 CCUS Roadmap and aligns industrial policy with its Net Zero 2070 commitment. With India remaining the world’s third-largest CO₂ emitter and emissions concentrated in hard-to-abate sectors like cement and steel, CCU is being positioned as a key strategy to decarbonise industry while sustaining economic growth.

What is Carbon Capture and Utilisation (CCU) and how does it function within the carbon cycle?

1. Definition: Captures carbon dioxide (CO₂) from industrial flue gases or ambient air and converts it into usable products.
2. Source of Capture: Extracts carbon dioxide from cement plants, steel units, power plants, chemical industries, or through Direct Air Capture (DAC).
3. Conversion Pathways: Transforms carbon dioxide into fuels (methanol, synthetic fuels), chemicals (olefins), building materials (concrete curing), and polymers.
4. Difference from CCS: Utilises carbon for economic value instead of permanent geological storage.
5. Circular Carbon Economy: Recycles carbon within production systems, reducing fresh fossil extraction.

Why has Carbon Capture and Utilisation become a governance priority in India’s decarbonisation strategy?

1. Emission Profile: India ranks as the third-largest CO₂ emitter, with emissions concentrated in power generation, cement, steel, and chemicals.
2. Hard-to-Abate Sectors: Industrial processes remain inherently carbon-intensive despite renewable penetration.
3. Net-Zero Alignment: Supports India’s Net Zero 2070 target and Long-Term Low Emissions Development Strategy (LT-LEDS).
4. Circular Economy Transition: Converts waste carbon into economic inputs, strengthening resource efficiency.
5. Industrial Competitiveness: Enables low-carbon industrial exports amid global carbon border adjustment measures.

How does CCU reshape industrial policy and value chains in India?

1. Carbon as Feedstock: Converts CO₂ into fuels, chemicals, lightweight concrete blocks, olefins, and specialty chemicals.
2. Value Chain Creation: Integrates capture, transport, conversion, and downstream manufacturing clusters.
3. Bio-CCU Innovation: Organic Recycling Systems Limited (ORSL) leads India’s first pilot-scale Bio-CCU platform converting CO₂ from biogas into bio-alcohols.
4. Cement Sector Adoption: JK Cement collaborates on CCU to capture CO₂ for concrete applications.
5. Private Sector Participation: Ambuja Cements and Adani Group pilot Indo-Swedish CCU technologies at IIT Bombay.

What institutional and regulatory measures has India initiated to support CCU deployment?

1. Research Roadmap: Department of Science and Technology develops dedicated CCU research and development framework.
2. Draft 2030 CCUS Roadmap: Ministry of Petroleum and Natural Gas identifies projects suitable for CCU deployment.
3. Pilot Demonstration Projects: Facilitates early-stage technology validation across cement and energy sectors.
4. Cluster-Based Approach: Recognizes need for co-located industrial clusters for CO₂ transport and utilisation.
5. Policy Gap: Lacks carbon pricing, standards, certification mechanisms, and demand guarantees for CO₂-derived products.

How do international policy models shape India’s CCU strategy?

1. EU Bioeconomy Strategy: Integrates CCU into a circular economy framework for fuels, chemicals, and materials.
2. EU Circular Economy Action Plan: Links CCU to sustainability and resource efficiency goals.
3. U.S. Incentive Model: Combines tax credits and funding to scale CO₂-derived fuels and chemicals.
4. Industrial Trials: ArcelorMittal (Belgium) and Mitsubishi Heavy Industries collaborate with D-CRBN to convert CO₂ into carbon monoxide for steel and chemicals.
5. UAE Model: Al Reyadah project integrates CCU with green hydrogen for CO₂-to-chemicals hubs.

What governance and economic risks constrain large-scale CCU adoption in India?

1. Cost Competitiveness: Capturing, purifying, and converting CO₂ remains energy-intensive and expensive.
2. Market Viability: CO₂-derived products struggle against cheaper fossil-based alternatives.
3. Infrastructure Deficit: Requires reliable CO₂ transport networks and integrated industrial clusters.
4. Regulatory Uncertainty: Absence of standards and certification creates investor hesitation.
5. Demand-Side Weakness: Limited market signals reduce private capital mobilisation.

Does CCU advance constitutional environmental principles and climate accountability?

1. Article 48A: Strengthens State responsibility to protect and improve the environment.
2. Article 51A(g): Encourages responsible environmental stewardship.
3. Intergenerational Equity: Supports sustainable industrial growth without locking in emissions.
4. Polluter Responsibility: Encourages industry-led carbon management mechanisms.

Conclusion

Carbon Capture and Utilisation (CCU) bridges the gap between industrial growth and climate responsibility. It enables decarbonisation of hard-to-abate sectors while supporting circular economy and energy security objectives. However, large-scale deployment requires cost competitiveness, regulatory clarity, infrastructure development, and market incentives. Its effectiveness will depend on coordinated policy action, technological scaling, and institutional accountability aligned with India’s Net Zero 2070 pathway.

PYQ Relevance

[UPSC 2022] Discuss global warming and mention its effects on the global climate. Explain the control measures to bring down the level of greenhouse gases which cause global warming, in the light of the Kyoto Protocol, 1997.

Linkage: Carbon Capture and Utilisation (CCU) directly fits under Kyoto Protocol-based mitigation mechanisms aimed at reducing industrial greenhouse gas emissions. It represents a technology-driven control measure to decarbonise hard-to-abate sectors while aligning with global climate commitments.

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