DNV secures multi-year agreements to accelerate major carbon capture and storage initiatives in the UK.

UK Government Announces Funding for Carbon Capture Projects

The UK government has announced significant funding for carbon capture and storage (CCS) projects, aiming to bring 4,000 good jobs and billions of private investment into communities. This funding is a crucial step towards unlocking local employment opportunities, particularly in the Teesside area and beyond.

Two major projects based in the North East of England, Net Zero Teesside Power (NZT Power) and the Northern Endurance Partnership (NEP), will receive the majority of the funding. NZT Power, a joint venture between bp (75%) and Equinor (25%), aims to be the world's first gas-fired power station with carbon capture and storage. NEP, a joint venture between bp (45%), Equinor (45%), and TotalEnergies (10%), will provide the carbon dioxide transportation and storage infrastructure for three Teesside-based carbon capture projects, including NZT Power.

The funding supports the development of NEP's infrastructure, including onshore CO2 gathering networks, compression facilities, and offshore pipelines. The Northern Endurance Partnership includes Equinor, Shell, TotalEnergies, and National Grid, supporting the development of the CO2 transport and storage infrastructure for the Teesside projects.

In addition to the Teesside projects, the funding also supports the Acorn CCS project in Aberdeenshire and the Viking project in Humberside. The UK government has committed up to £21.7bn for 25 years to support Track-1 CCS projects, including NZT Power.

DNV Inspection, a division within DNV, has secured separate three-year contracts to support two UK carbon capture and storage projects. The contracts reflect the trust that major industry players are placing in DNV to help future-proof the infrastructure underpinning net-zero. DNV will deliver site inspection, quality assurance, and quality control services for both NZT Power and NEP.

Mariagrazia Silva, Regional Operations Manager Europe at DNV Inspection, stated that the selection marks a major milestone in DNV's growth within the UK's low-carbon energy sector. Mohamed Houari, Global Managing Director of DNV Inspection, added that the contracts demonstrate the confidence that major players have in DNV's ability to help decarbonise the energy sector.

The funding is part of the UK's government's latest spending review and is expected to ignite growth in industrial heartlands and power up the rest of the country. The UK government has also allocated a separate funding stream worth £9.4bn for CCS, which includes support for NEP's infrastructure development.

Chancellor Rachel Reeves stated that this game-changing technology will bring good jobs and billions of private investment into communities, powering up the rest of the country and helping the UK achieve its net-zero target. The funding is a significant step towards a greener and more sustainable future for the UK.