The UK government has announced a substantial investment of nearly £22 billion in carbon capture and storage (CCS) projects over the next 25 years, aiming to bolster the country's efforts to achieve net zero climate goals.

This funding is expected to create around 4,000 jobs and attract billions in private investments, particularly in the Merseyside and Teesside regions.

The carbon capture sector is projected to generate 50,000 jobs and protect an additional 100,000 jobs in industrial areas, according to Offshore Energies UK.

Despite its potential, CCS technology remains controversial in the UK due to its unproven commercial viability, yet ministers view it as essential for decarbonizing hard-to-abate sectors.

Chancellor Rachel Reeves emphasized the importance of this capital investment, criticizing the previous government's failure to secure contracts for similar projects.

The Climate Change Committee has praised the funding, highlighting its significance in meeting national climate targets amidst rising energy prices influenced by global conflicts.

While industry representatives, including those from Equinor, have welcomed the announcement, environmentalists caution that reliance on untested technologies could hinder progress towards climate neutrality.

Critics, including Greenpeace, argue that the focus on CCS could detract from essential renewable energy initiatives, labeling the technology as costly and challenging to implement on a large scale.

Some experts advocate that the £22 billion investment would be better allocated to proven renewable energy technologies and improvements to the national grid.

A National Audit Office report suggests that past government decisions have undermined confidence in CCS technology, indicating a need for a more robust approach.

Although 27 CO2 storage licenses have been issued, experts warn that over 100 will be necessary by 2050 to meet climate objectives, underscoring the challenges ahead.

Businesses involved in the carbon capture initiative have expressed support for the government's commitment, viewing it as a pivotal moment in the transition to a clean energy economy.