Analysis of Policy Incentives for Selection of CCS Technologies

Chao Huang; Xiao Qin Li; Li Fei Chen

doi:10.4028/www.scientific.net/AMR.869-870.967

Paper Titles

Identification Studying on the Low-Carbon Agriculture Development Status Quo of Huanggang City, Hubei Province
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Research of the Strategy and Planning for Low-Carbon Logistics Development
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Study on Carbon Footprint of Container Transportation System
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Measurement and Evaluation of the Low-Carbon Port Logistics and Region Sustainable Development of Tianjin
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Analysis of Policy Incentives for Selection of CCS Technologies
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Establishment of Low-Carbon Evaluation Index System for Container Terminals
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Path Selection of Low-Carbon Traffic Development in Qingdao
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Green Campus Culture Construction of Green University
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Research on Decoupling Relationship between Shanghai Industrial Economic Growth and Carbon Emissions
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HomeAdvanced Materials ResearchAdvanced Materials Research Vols. 869-870Analysis of Policy Incentives for Selection of CCS...

Analysis of Policy Incentives for Selection of CCS Technologies

Abstract:

This paper studies the effect of policy incentives on investment strategies of carbon capture and storage (CCS) technologies. We establish CCS investment models based on real options theory for investment value evaluation of CCS, which consider CO₂ price, policy incentives and different CCS technologies that include the old existing CCS technology and the new one. We evaluate CCS investment option values and calculate the change of CCS investment values and thresholds due to the variation of CO₂ price and policy incentives. We conclude that the optimal strategy is investing in the new CCS technology when there are enough policy incentives, otherwise, it is optimal to firstly invest in the old existing CCS technology and then upgrade to the new one.