E.ON proposes Thames CO2 capture network

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LONDON (Reuters) - E.ON’s UK unit proposed on Tuesday a pipeline network in the Thames and Medway Estuaries to capture, transport and store 85 percent of carbon emissions the region is expected to emit after 2016. E.ON said it would be most cost effective to start carbon capture and storage (CCS) there as it included Greater London, Britain’s largest power consumer, whose demand was expected to grow to 13,500 megawatt by 2015.

The region includes Kingsnorth, where E.ON plans to construct Britain’s first coal-fired plant in more than 20 years. It would have a maximum capacity of 1,600 megawatts, possibly equipped with CCS.

Its rival RWE is also planning to build a new coal-fired power generator at Tilbury in the region.

E.ON said nine major power generators in the Thames Cluster, including Kingsnorth and Tilbury B, were emitting a total of 30 million tonnes of carbon dioxide per year at present.

Though the emissions were likely to drop to 28 million tonnes after 2016, in part due to decommissioning of old plants, CCS could reduce them to 4 million tonnes, with cuts of 16 million tonnes at Kingsnorth and Tilbury alone, it said.

“There are two projects for new coal-fired stations at Kingsnorth and Tilbury that afford the opportunity to capture 16 million tonnes of CO2 per annum,” E.ON said.

“It is believed both (CCS) projects are significantly advanced and would enable early capture and storage of CO2 in the North Sea,” E.ON said.

Both E.ON and RWE also are members of the three consortiums taking part in the government competition for UK’s first demonstration CCS project.

E.ON said the nine sites were located within an area of about 700 square kilometres, making it feasible to collect the emissions for onward transportation to depleted oil and gas fields in the North Sea, such as Hewett.

There was sufficient storage at Hewett Field to absorb over 60 years of carbon emissions from the Thames Cluster, it said. The new pipeline would be mostly offshore, which would also allow to minimise the environmental effects.

An E.ON spokesman declined to comment on possible investment needed to set up such pipelines.

Ernst & Young said in February Britain’s power industry needed to invest at least 234 billion pounds by 2025 to secure supply and meet its target for carbon emission targets, including 2 billion for CO2 transport infrastructure.

Followings is the list of nine power plants in the region E.ON included in the study:

Location and owner

Kingsnorth, E.ON

Tilbury B, RWE

Barking, Barking Power

Medway, Scottish and Southern Energy

Damhead Creek, Spain’s Iberdrola

Coryton, Intergen

Rye House, Iberdrola

Grain, E.ON

Grain CHP E.ON

Enfield, E.ON

Littlebrook, D RWE

(Reporting by Nao Nakanishi)