Carbon Capture and Storage (CCS) plays an essential role in virtually all modelled pathways limiting warming to 1.5°C or 2°C, particularly for heavy industries like cement and steel, in addition to waste incineration. Transporting and storing CO₂ in the volumes necessary to contribute to the decarbonisation of EU industry will require an extensive network of cross-border pipelines, shipping terminals, non-pipeline transport and geological storage sites. 

However, while CCS projects globally have doubled from 30 to 70 installations between 2020 and 2025, Europe’s CO₂ transport and storage market remains nascent. The absence of a harmonised EU regulatory framework governing ownership, third-party access, and tariff structures creates fragmentation, delays investment, and risks Europe falling behind on CCS deployment. 

The forthcoming EU legislative initiative on CO₂ markets and transport infrastructure offers a timely opportunity to address these challenges. This position paper outlines the key areas where EU regulation must deliver impact to unlock a well-functioning, competitive CO₂ market that accelerates industrial decarbonisation while ensuring fair access, cost efficiency, and investment certainty across Member States. These recommendations are based on Bellona Europa’s two publications: Building blocks for a well-functioning market for CO₂ and A well-functioning competitive and fair European CO₂ market for Climate.  

Read more in our position paper