Decarbonizing Today

Edmonton Global Host Avash Timsina sits down with Enhance Energy’s Candice Paton to discuss stacked geology CCUS, public perceptions of CCUS, the effect government incentives and regulations have on the advancement of CCUS, and more. 

What is Decarbonizing Today?

Explore the Edmonton Region's role in solving the global climate crisis.

Well, my name's Candace Patton.

I'm a vice president for corporate affairs at enhance, and I

work with a company that operates large scale carbon

capture utilization and storage projects in Central Albert.ta.

It I probably makes sense to tell you a little bit about enhance.

We've got our start in 2007 in Alberta,

and we've been developing a stacked to geology, carbon

capture, utilization and storage system that connects large

emitters in the Edmonton region, Alberta Industrial Heland to

our storage facility down in Central Alberta end.

And so we can help those large emitters ensure

that their CO2 emissions are captured, transported,

and then stored in Alberta's geology permanently and safely

and generate carbon credits..

You mentioned a stack to geology system,

so enhance energy's current CCUS project in

Central Alberta, which is a part of a stack to geology

system, which is a leading edge project in CCUS.

So my question is, how has the provincial

government industrial and regulatory

ecosystem impacted this project?

Yeah, the regulatory system and what the province

has set up for enhance and any CCS project in this province has been really important.

As I mentioned, we got our start in 2007, which is

the same year that the Alberta government brought in the very first

carbon pricing system in the country.

It's called the tier program now and it sets a

a price on carbon emissions that applies to large industrial facilities.

And that gives them the incentive to actually reduce emissions by

taking action like carbon capture and storage.

And so our project really got its inception

when those types of programs and those regulations started to incentivize

emissions reductions technologies.

Yeah, incentives from the government and

others really helps drive that approach to adopting new technology.

So uh to my second question, so um collaboration.

between industry, government, and other stakeholders

are really essential for any projects, including

CCUS, uh, to not just succeed but to tribe.

What insights can you share about uh building

these partnerships and how crucial are they for

achieving a long-term environmental and economic goals?

This is a really important part of any CCS

project, because of course it involves multiple players.

You'll have your large emitter partner or the source of the CO2.

And without that partner taking action,

uh there is no CO22 store in the geology.

Of course, you might need to transport those emissions and having a transportation partner is really important.

And then, of course, how to unlock the value in

these projects really comes from when you can demonstrate that

you have captured and stored permanently that CO2 emission.

So it enhance, we operate in Central Alberta.

We can permanently store emissions deep in

Alberta's geology, and then we have a rigorous process that

verifies that those emissions have in fact been properly contained.

When we do that, we're able to create a

carbon credit, which backstops the value in the whole system.

That's really what unlocked the investments in the industrial heartland

area near Edmonton with our large emitter partners.

The Northwest Redwater sturgeon refinery has a

carbon capture system built into it right from its first design.

And then a nutrient fertilizer facility

at Redwater is one of our other upstream emitter partners.

and they are actually an example of a brownfield facility

that's been operating for many decades in Alberta and was able to retrofit

their project to capture carbon emissions.

Right.

Yeah, a lot of stakeholders are involved in this.

It's not a one person job.

um we have you have transportation, what you store.

And you mentioned a good point about uh how suitable this location

is for uh sequestrating that carbon.

So what do you say are some of the misconceptions about CCU

uh as an industry that strives for broader adoption of technology?

Yeah, it's an important question because it enhance

one of the things that we value most is being a trusted partner

um that can do this safely and with public confidence.

It's a really important part.

One of the things I hear a lot about CCS is that it's new and,

you know, we need to study it a lot more before it'll be a viable technology.

But I always like to say that we've been injecting CO2

into the ground in various geology or geologies

for many, many decades around the world.

And so there is actually a significant amount of experience.

When I think about Alberta, um the Edmonton region, Central

Alberta, even down into Calgary, we have such a wealth of

expertise in this area that we've built from our oil and gas sector.

We use the same skills, the same regulations,

the same requirements all go into a CCS project, just like an oil and gas project would use.

And so I think about a lot of our operation staff.

They've had careers in the oil and gas industry that they're now

able to bring into a new industry in CCS use

those same skills and expertise and actually point in a in a slightly different way.

So the the idea that this is something new, I

do like to challenge because it's been built on the expertise

we've had in this province for a long, long time.

The other thing that I hear a lot is that CCS

is a technology.

And what I also like to explain to people is that it's not just one technology.

It's a suite of technologies.

It represents the capture side and there's many different ways of doing that.

There's many different types of emissions that we can start thinking

about, whether it's hydrogen or petrochemicals or the agriculture

sector or the oil and gas sector, there's different

types of technologies that will be used to integrate with those systems.

And then there's also transportation opportunities.

There's different ways of storing and permanently sequestering emissions from the atmosphere.

And so it is actually a suite of techniques and

methods used to make the whole system come together.

Right.

Our region seems to have more literacy

in terms of energy and CCUS.

So uh still a lot of uh awareness

needs to be happened and I'm sure enhanced is playing a big role in that as well.

So how do you see technologies like CCUS

balancing economic growth with the need for substantial emission reductions?

what lessons can other regions learn from our

from our reasons model or Alberta's model?

Sure, the Alberta carbon trunkline project, which includes

the large emitters, the pipeline itself, which is owned and operated

by wolf carbon solutions, and then enhances Clive sequestration facility that does the storage.

All of those pieces need to work together to make this project happen.

And so the trunk line's a neat piece of infrastructure that's quite foundational in the province.

And it was the whole project really

benefited from some of those early incentive programs in the government,

both at the provincial and federal levels, to help get CCS off the ground.

And so, again, early in Alberta's

CCS journey, this project was able to receive federal

and provincial funding that enabled the trunk line

to be built much larger than would be necessary than just for our project.

And now that represents a real foundational piece of infrastructure

in the province that has additional capacity.

And so what's exciting for storage operators like

enhance or large emitters that want to capture their emissions in

the future, new entrance will have a lower

barrier entry in this space than we would have experienced, you know, a decade ago.

An enhance has had a positive

impact on every industry and with more than five million tons

of CO2 emissions permanently stored at their project,

So looking ahead, what excites you the most about

the future of CCUS and and its potential

to contribute to both sustainable economic

growth and immediately that global climate targets.

What excites me most about CCS and Alberta is

that we have the right skills, the right expertise and the right geology

to do this safely and and with public confidence, communities,

stakeholders and right holders all will need to be involved in this.

And it's an important technology that serves a real industrial need.

We want Alberta to continue to be at

the leading edge of industries, whether that's in in

different clean tech sectors, where that's traditional oil and gas,

whether that's agriculture, and being competitive globally means

also being competitive on emissions reductions, and we can continue to do

that because of the strengths we've built and we continue to build in CCS.

I think it's a real way forward for the province.

Right.

What should industry, government, uh and regions

around the world uh prioritize as they their

own carbon management strategies?

I think it's important to prioritize some of the policy certainty around CCS.

Of course, emissions reductions are only

going to happen when we're incentivized to do so, when there's a public will to do so.

And we need that to be in place.

And that comes with things like

um partnerships, you know, between large emitters and sequestration hubs.

It comes to government programs thinking about how

CO2 emissions can be quantified and then turned into carbon

credits to unlock value for these projects to be investable.

It's thinking about carbon credit markets and how they can

be healthy to support a thriving ecosystem.

And then lastly, really around sort of the safety and security.

Our regulatory and system in Alberta is is very, very strong.

They work hard to to build that public confidence and

show us that this can be done very safely and confidently.

So I think, you know, prioritizing those types of things are really going to allow the sector to take off.

Yeah, and and you lost few words on this

conference today and what you have seen so far.

It's always such a pleasure to gather in Edmonton and and

bring some of the brightest minds around CCS together to have these conversations.

Thank you so much for having me.

Absolutely.

Thank you so much for being here.