Carbon Capture Utilisation and Storage Programme

DESNZ and HM Treasury should: should ensure that the criteria for considering value for money, ahead of deciding whether to proceed with government support for the Track-1 projects, consider the follow-on benefits that will be achieved by launching a new technology in the UK.

Ref Page 13, 25a · Implemented 2025

DESNZ and HM Treasury should: consider which sectors of the UK economy are most reliant on CCUS to decarbonise and what viable alternative means of decarbonisation may be available for the UK to achieve net zero

Ref Page 13, 25b · Implemented Q3 2025-26

DESNZ and HM Treasury should: in light of the outcome of Track-1 negotiations and prior to commencing negotiations on Track-1 expansion, consider what actions government needs to take to sustain investor confidence in the CCUS programme. This might include agreeing and communicating indicative funding available for Track-1 expansion and Track-2.

Ref Page 13, 25c · Implemented Q3 2025-26

DESNZ should: identify lessons from its Track-1 negotiations, particularly relating to business models, resourcing and maintaining competitive tension, and ensure that these are carried over to its subsequent work on Track-1 expansion and Track-2

Ref Page 13, 26d · Implemented 09/2025

DESNZ should: ensure it maintains sufficient oversight of the progress of Track-1 projects during construction and operation so that it can identify early any issues arising that impact on the CCUS programme?s objectives, such as delays to construction or lower-than-planned injection capacity, and so that it can draw technical and commercial lessons that can inform projects in later stages of the programme

Ref Page 13, 26e · Implemented 09/2025

DESNZ should: ensure that the scale and timing of these next steps are achievable, given the resources available to it and, in turn, whether this enables the CCUS programme to achieve the emissions reductions required under Carbon Budget 6.

Ref Page 13, 26e · Implemented 09/2025