First injection and full ramp up at the Moomba carbon capture and storage (CCS) project marks a major milestone for Australia's rollout of this crucial net zero technology.
Australian Energy Producers Chief Executive Samantha McCulloch said the Santos and Beach Energy Moomba joint venture demonstrates the Australian oil and gas sector is driving progress to net zero, deploying proven technologies to cut emissions today.
"At Moomba, Santos has proven what the industry has long known - that CCS is real and it works. It's a first for onshore in Australia," she said.
"Australia is now host to two of the largest CO2 storage projects in the world, with Moomba and Chevron's Gorgon project storing emissions equivalent to taking one million cars off the road each year."
Around the world, there are more than 50 large-scale CCS projects in operation, with a further 550 under development.
"This global momentum for CCS is essential for achieving climate goals, with the International Energy Agency, the Intergovernmental Panel on Climate Change and CSIRO all clear that there is no pathway to net zero without CCS," Ms McCulloch said.
"CCS is particularly important for manufacturing, because without it industries like fertiliser and chemical production, iron and steel, and cement, will find it harder and more expensive to reach net zero."
In Australia, between two and 20 Moomba-scale CCS projects need to be built each year between now and 2050 to reach net zero, according to the Net Zero Australia study.
"Australia has a comparative advantage in CCS, with world class geology, industry experience, and strong links with regional trading partners looking to collaborate on CCS," Ms McCulloch said.
"Scaling up CCS is an opportunity not just to reduce emissions but to create new jobs and attract new investment."
However, CCS continues to be kept on the sidelines of energy and climate policies in Australia.
"Australia is increasingly out of step with the rest of the world in failing to provide meaningful policy support for this critical technology," Ms McCulloch said.
"If Australia is going to reach net zero, while managing cost of living pressures for Australian households and businesses, we need to take a technology-neutral, least-cost approach to emissions reductions, and this includes CCS."
