Carbon Centric: Predictable, stable policy needed to scale CCS and carbon removal

Key highlights
  • Proposed 2027 budget would cut Enova funding to about NOK 4.1 billion, with NOK 3 billion allocated to the Climate and Energy Fund, down from NOK 6.6 billion in 2026.
  • The Government seeks authority to sign agreements worth NOK 26.1 billion to purchase international emission reductions (ITMOs) under Article 6.
  • Frontier has committed nearly USD 2 billion to buying and investing in carbon removal in the voluntary market and supports rights-based, stable policy frameworks.
  • More than 170 Norwegian companies have committed to Science Based Targets (SBTi), creating rising demand for permanent carbon removal.

Zero Conference highlights

CCS featured repeatedly at the Zero Conference. A dry-ice demonstration from CO₂ captured at Carbon Centric's Rakkestad facility underlined that carbon capture is moving from concept to industry. Prime Minister Jonas Gahr Støre and several panels focused on how to scale from pilots and one-off projects to wider deployment. Major Norwegian firms including TINE, Norsk Hydro and Avinor presented SBTi-aligned ambitions.

Policy and funding tensions

The Government has shelved work on a rights-based reverse CO₂ tax for bio-CCS and proposed cutting Enova's funding for 2027 to about NOK 4.1 billion (NOK 3 billion to the Climate and Energy Fund), down from NOK 6.6 billion in 2026. At the same time it seeks authority to commit NOK 26.1 billion to purchase ITMOs, signalling a shift toward buying international reductions.

Investor and industry signals

Speakers including Danny Broberg of Frontier, who says the firm has committed nearly USD 2 billion to carbon removal, urged continued work on rights-based support. Carbon Centric's CCO Kenneth Juul argued Enova is essential to building a CCUS industry and needs strengthened, long-term mandates because its programmes de-risk projects and require multi-year predictability.

Call to action

Conference conversations stressed that Norwegian businesses must develop purchasing strategies now: there are still too few domestic buyers of carbon removal. CCS and carbon removal are central to policy, but policymakers must deliver long-term, predictable frameworks aimed at building capacity at home.

Source: Carbon Centric

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