Energy & Science

Norway Warned of Perils of $2.6 Billion Carbon Capture Plan

  • Profitability hinges on 10-fold rise in CO2 price, report says
  • Norway’s parliament plans to decide on CCS project this autumn
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Norway’s plan for a full-scale carbon capture and storage project could end up a financial disaster, according to a new report that includes an increased cost estimate for the venture.

The likely cost of building and operating the project over 10 years -- most of which would be funded by the government -- could be as much as 25 billion kroner ($2.6 billion), according to an independent reportBloomberg Terminal published by the government on Thursday. That’s 8 billion-kroner more than estimated by a previous study, although that only covered five years of operations.