Carbon dioxide capture, utilization and storage (CCUS) technology can achieve large-scale sustainable low-carbon utilization of fossil energy, help build a low-carbon industrial system, and when combined with biomass or air sources can have negative emission effects, making it an indispensable and important component of China’s carbon neutrality technology system.
From a policy perspective, China vigorously promotes green and low-carbon development, providing a favorable policy environment for the research, development and application of CCUS technology. As early as 2013, the Chinese government issued the “Notice on Promoting Carbon Capture, Utilization and Storage Pilot Demonstrations“[1] as a special policy. The “Notice” clearly states that it will promote carbon capture, utilization and storage pilot demonstrations in areas such as “carrying out relevant pilot demonstration projects in combination with the actual situation of various carbon capture and storage process links”, “conducting carbon capture, utilization and storage demonstration projects and base construction”, “strengthening strategic research and planning formulation for carbon capture, utilization and storage development”, “promoting the formulation of carbon capture, utilization and storage related standards and specifications”, etc.
In terms of technological progress, Chinese enterprises and research institutions have actively invested and achieved breakthroughs in capture, utilization, and storage segments. For example, CPECC Southwest Branch, a subsidiary of China National Petroleum Corporation, successfully completed the commissioning of the carbon capture device in the CCUS-EGR pilot project for the Maokou Formation gas reservoir in the Wolonghe Gas Field. This project marks that China’s first demonstration project using carbon dioxide for reinjection gas drive has officially entered the practical stage. The “China CCUS Technology Development Roadmap (2024 Edition)“[2] points out that in the future, in the process of building a zero-carbon energy system, CCUS technology is the only technical means to achieve net-zero emissions from fossil energy; in reshaping zero-carbon process flows, CCUS technology is one of the feasible technical solutions for achieving deep emission reductions in carbon reduction industries; in establishing a negative carbon technology system, CCUS technology is the bottom-line technical guarantee for achieving the “carbon neutrality” goal.
Relevant Policy Requirements for Carbon Capture, Utilization and Storage Management in China
In September 2021, the CPC Central Committee and the State Council issued the “Opinions on Completely, Accurately and Comprehensively Implementing the New Development Concept and Doing a Good Job in Carbon Peak and Carbon Neutrality Work“[3]. The “Opinions” point out that by 2060, a green, low-carbon and circular development economic system and a clean, low-carbon, safe and efficient energy system will be fully established. To complete this task requires not only near-zero emissions from fossil energy power systems, but also deep emission reductions in industrial processes, as well as the use of negative emission technologies to offset remaining greenhouse gases that are difficult to reduce, further clarifying the application scenarios for CCUS technology. At the same time, the “Opinions” propose from a technical level to promote the research, development, demonstration and industrialization application of large-scale carbon capture, utilization and storage technology; from the investment field, it proposes to support investment and financing for low-carbon technology projects such as CCUS and mobilize state-owned enterprises to invest in net-zero technology research and application.
In October of the same year, the State Council issued the “Action Plan for Carbon Peak Before 2030“[4]. The “Plan” proposes “Ten Major Actions for Carbon Peak” and clarifies key tasks. Among them, it clearly states “Promoting key tasks for carbon peak in the steel industry, pointing out exploration of pilot demonstrations of hydrogen metallurgy, carbon dioxide capture and utilization integration, etc.; green and low-carbon science and technology innovation actions clearly focus on key areas such as carbon dioxide capture, utilization and storage, deepening applied basic research, concentrating efforts on low-cost carbon dioxide capture, utilization and storage technology innovation, building full-process, integrated, large-scale carbon dioxide capture, utilization and storage demonstration projects” and other specific requirements.
In June 2022, the Ministry of Science and Technology, the National Development and Reform Commission and seven other departments issued the “Implementation Plan for Science and Technology Supporting Carbon Peak and Carbon Neutrality (2022-2030)“[5]. The “Plan” proposes focusing on improving energy efficiency and reducing costs throughout the life cycle of CCUS technology, currently focusing on carbon dioxide capture and utilization technology, carrying out research and demonstration of deep coupling technology between CCUS and industrial processes; increasing research on engineering technology for the integration of CCUS and clean energy, conducting research on mineralization storage, onshore and offshore geological storage technology, striving to reduce energy consumption per unit of carbon dioxide capture by 20% compared to 2020 by 2025, and by 30% by 2030, achieving a significant reduction in capture costs. By 2025, energy consumption per unit of carbon dioxide capture will be reduced by 20%, and by 2030 it will be reduced by 30%.
Strengthening Top-level Design for Carbon Capture, Utilization and Storage (CCUS)
In November 2021, the National Energy Administration, together with the Ministry of Science and Technology, issued the “14th Five-Year Plan for Science and Technology Innovation in the Energy Sector“[6], deploying technological innovation tasks planned to be carried out during the “14th Five-Year Plan” period around efficient and low-cost CCUS technology, formulating corresponding technology roadmaps and monitoring implementation, guiding the energy industry to accelerate CCUS key core technology breakthroughs and industrialization of results. The “Plan” proposes concentrated research and development of new generation high-efficiency, low-energy consumption CO₂ capture technologies and devices to improve the economics of carbon capture systems; carrying out research on CO₂ enhanced oil recovery, CO₂ enhanced gas recovery, CO₂ synthesis of carbonates, polycarbonates and other resource and energy utilization technologies; breaking through core technologies such as CO₂ storage monitoring and leakage warning; developing carbon capture, conversion and utilization system coupling and integration technologies with various new power generation systems. At the same time, carrying out million-ton-scale post-combustion CO₂ capture, utilization and storage full-process demonstrations.
In March 2022, the Ministry of Industry and Information Technology, the National Development and Reform Commission and four other departments jointly issued the “Guiding Opinions on Promoting High-Quality Development of the Petrochemical and Chemical Industry during the 14th Five-Year Plan“[7]. The “Guiding Opinions” clearly propose carrying out pilot demonstrations for the promotion and application of carbon dioxide capture and storage technology in cement, coal chemical and other industries, fully utilizing the characteristics of high purity and low capture costs of carbon dioxide discharged from refining and coal chemical units, and carrying out demonstrations of large-scale carbon dioxide capture, storage, enhanced oil recovery and chemical production.
Playing the Leading Role of Green and Low-Carbon Standard System
In August 2019, the Ministry of Ecology and Environment promoted the establishment of a CCUS Professional Committee under the Chinese Society for Environmental Sciences to promote related technology research and exchange, and promote the promotion and application of pilot demonstrations. In 2023, the Ministry of Ecology and Environment publicly solicited voluntary greenhouse gas emission reduction project methodology suggestions from the whole society, organized evaluation and selection of submitted methodology suggestions, and will publish the best ones to improve the voluntary emission reduction project methodology system. At the same time, it proposed that in the next step, combined with the public solicitation of voluntary greenhouse gas emission reduction project methodology suggestions, it will conduct in-depth research on the scientificity and feasibility of including CCUS projects in the voluntary emission reduction trading mechanism.
In September 2022, the National Energy Administration issued documents such as the “Action Plan for Standardization Enhancement of Energy Carbon Peak and Carbon Neutrality“[8], clarifying key tasks for accelerating the improvement of relevant standard systems around CCUS in the energy field. CCUS was listed as a key support area for energy industry standard annual project establishment, and key industry standards such as “Technical Specification for Construction of CO₂ Flooding Field Gathering and Transportation Pipelines“[9], “Technical Specification for Construction of Process Pipelines in CO₂ Flooding Field Stations“[10], and “Safety Specification for CO₂ Injection in Oil and Gas Development“[11] were issued. Industry standard projects such as “Technical Specification for Welding of Carbon Dioxide Transportation Pipelines“, “Environmental Risk Control Requirements for Carbon Dioxide Geological Storage Projects“[12], and “Design Guidelines for Flue Gas Carbon Dioxide Capture Systems in Thermal Power Plants” were promoted, continuously improving standard quality and strengthening standard implementation and application.
In February 2024, the Ministry of Industry and Information Technology compiled and issued the “Guidelines for Building a Carbon Peak and Carbon Neutrality Standard System in the Industrial Field“[13], orderly promoting standard development in key areas including carbon emission accounting and carbon capture and utilization.
Accelerating the Construction of CCUS Standard System
In December 2021, the Chinese Society for Environmental Sciences released China’s first CCUS field group standard “Carbon Dioxide Capture, Utilization and Storage Terminology“[14] (T/CSES 41-2021). In March 2025, the National Technical Committee for Environmental Management Standardization held review meetings for four national standards under preparation: “Carbon Dioxide Capture, Transport and Geological Storage – Vocabulary – Common Terms“[15], “Carbon Dioxide Capture – Part 1: Performance Evaluation Methods for Post-combustion Carbon Dioxide Capture in Power Plants“[16], “Carbon Dioxide Capture, Transport and Geological Storage – Geological Storage“[17], and “Carbon Dioxide Capture, Transport and Geological Storage – Carbon Dioxide Storage for Enhanced Oil Recovery“[18], affirming the scientificity, rationality and operability of the technical content of the standards. These four national standards are important components of the CCUS standard system. The formulation of standards will provide technical guidance for the entire chain of carbon dioxide power plant capture, carbon dioxide enhanced oil recovery, and geological storage, helping to guide and promote the standardized development of the CCUS industry.
Actively Promoting Carbon Capture, Utilization and Storage (CCUS) Demonstration Applications
The climate investment and financing pilot work carried out by the Ministry of Ecology and Environment in collaboration with relevant departments includes CCUS demonstration projects in the scope of climate investment and financing project support, cooperates with the carbon reduction support tools established by the People’s Bank of China to make CCUS a key area of carbon reduction technology, and includes CCUS projects in the “Green Bond Supported Project Catalog“[19] to guide and promote financial institutions to provide more favorable financial services for CCUS technology development and project demonstrations. Four batches of the “National Key Promotion Catalog of Low-Carbon Technologies“[20] have been successively released, vigorously promoting CCUS technology promotion and application, and making CCUS technology one of the important technologies for promoting synergistic efficiency in pollution reduction and carbon reduction in the industrial field. In February 2024, the Ministry of Ecology and Environment, together with the Ministry of Science and Technology and three other departments, jointly issued the “Implementation Plan for National Key Low-Carbon Technology Collection and Promotion“[21], and is currently carrying out the collection and screening work for the fifth batch of low-carbon technology catalogs.
In regional fiscal subsidy policies, the Shenzhen Municipal Development and Reform Commission issued the “2023 Strategic Emerging Industry Special Fund Project Application Guide (First Batch)“[22], and the Beijing Municipal Bureau of Economy and Information Technology, together with the Beijing Municipal Bureau of Finance, issued the “2022 Beijing High-end Industry Development Fund Implementation Guide“[23], clearly subsidizing CCUS project investments in the form of grants or rewards, with reward amounts accounting for 20% and 25% of total investment respectively, and maximum caps of 10 million yuan and 30 million yuan respectively.
Summary of Current Carbon Capture, Utilization and Storage Policy Trends in China
At the policy level, with the establishment of the carbon peak and carbon neutrality “1+N” policy system, the CCUS policy system has also taken initial shape. In 2021, CCUS technology was written into China’s economic and social development programmatic document “The 14th Five-Year Plan for National Economic and Social Development of the People’s Republic of China and the Long-Range Objectives Through the Year 2035“[24] for the first time. Subsequently, the “Opinions of the CPC Central Committee and the State Council on Completely, Accurately and Comprehensively Implementing the New Development Concept and Doing a Good Job in Carbon Peak and Carbon Neutrality Work“[25], the “Action Plan for Carbon Peak Before 2030″[4], as well as carbon peak and carbon neutrality related policy documents issued by various ministries and local governments, have all made positive deployments for CCUS technology research and development, standards and financing.
Policy tool types are becoming increasingly diverse. Most policies focus on supporting CCUS technology research and development and demonstration, while policy provisions involving technical standards and investment and financing are gradually increasing. Investment and financing policies such as the “Climate Investment and Financing Pilot Program“[26] and the “Green Bond Supported Project Catalog“[19] all include CCUS-related technologies; the “National Standardization Development Outline“[27], “Implementation Plan for Science and Technology Supporting Carbon Peak and Carbon Neutrality”[5], and “Implementation Plan for Accelerating the Establishment of a Unified and Standardized Carbon Emission Statistical Accounting System“[28] all propose improving and promoting CCUS technology standard systems and related research work.
CCUS technology industry applications are receiving more attention, gradually expanding from power, oil and gas industries to hard-to-abate industrial sectors, attracting broader policy attention and practical applications. The “Implementation Guide for Energy Conservation and Carbon Reduction Transformation and Upgrading in Key Areas of High Energy Consumption Industries (2022 Edition)“[29], “Implementation Plan for Carbon Peak in the Industrial Field“[30], and “Implementation Plan for Synergistic Efficiency in Pollution Reduction and Carbon Reduction“[31] all propose CCUS technology application targets for hard-to-abate industrial sectors such as steel and cement.
Local governments strengthen support for CCUS technology development, with provincial carbon peak and carbon neutrality policy documents strengthening CCUS technology deployment. Provinces, municipalities, and autonomous regions have successively issued carbon peak and carbon neutrality related opinions or work plans, deploying CCUS technology research and development and promotion from different angles based on regional characteristics.
In terms of technological progress, in recent years, China’s various CCUS technologies have made significant progress, with overall levels approaching global standards. The “China CCUS Technology Development Roadmap (2024 Edition)”[2] shows that from 2020 to July 2024, the number of planned and operational CCUS projects nationwide has grown from 49 to 126, more than doubling, with a capture capacity of 6 million tons/year (data published at the “2025 Energy Economy Forecast and Outlook Research Report Release Conference”). During this period, CCUS technology has not only conducted million-ton-scale project demonstrations in traditional industries such as power, oil and gas, chemicals, and steel, but has also begun small-scale demonstrations and explorations in niche industries such as glass and printing and dyeing. At the same time, the development of various segments of China’s CCUS technology is uneven, with significant gaps remaining compared to international advanced levels in key technologies such as direct air capture, pipeline transportation, and enhanced oil recovery. China’s CCUS industry also faces challenges in its development process, such as high cost pressure, high investment risks, and market demand that needs further expansion.
In the future, China will promote CCUS technology development from multiple aspects. First, building a carbon neutrality-oriented CCUS technology system, accelerating technology research and development and demonstration, constructing large-scale full industry chain technology research and development platforms, and carrying out large-scale full-chain integrated demonstration projects. Second, improving relevant institutional regulations and standard systems, optimizing collaborative innovation platforms and talent team building. Third, continuously exploring incentive mechanisms and guiding the formation of effective business models, such as developing CCER accounting methodologies and including CCUS in carbon trading markets. Fourth, deepening international cooperation and strengthening knowledge sharing and technology transfer.
- “Notice on Promoting Carbon Capture, Utilization and Storage Pilot Demonstrations”
https://www.gov.cn/zwgk/2013-05/09/content_2398995.htm - “China CCUS Technology Development Roadmap (2024 Edition)”
https://cpnn.com.cn/news/hy/202412/t20241213_1759357.html - “Opinions on Completely, Accurately and Comprehensively Implementing the New Development Concept and Doing a Good Job in Carbon Peak and Carbon Neutrality Work”
https://www.gov.cn/zhengce/2021-10/24/content_5644613.htm - “Action Plan for Carbon Peak Before 2030”
https://www.gov.cn/zhengce/content/2021-10/26/content_5644984.htm - “Implementation Plan for Science and Technology Supporting Carbon Peak and Carbon Neutrality (2022-2030)”
https://www.gov.cn/zhengce/zhengceku/2022-08/18/content_5705865.htm - “14th Five-Year Plan for Science and Technology Innovation in the Energy Sector”
https://www.gov.cn/zhengce/zhengceku/2022-04/03/content_5683361.htm - “Guiding Opinions on Promoting High-Quality Development of the Petrochemical and Chemical Industry during the 14th Five-Year Plan”
https://www.gov.cn/zhengce/zhengceku/2022-04/08/content_5683972.htm - “Action Plan for Standardization Enhancement of Energy Carbon Peak and Carbon Neutrality”
https://www.nea.gov.cn/2022-10/09/c_1310668927.htm - “Technical Specification for Construction of CO₂ Flooding Field Gathering and Transportation Pipelines”
https://std.samr.gov.cn/hb/search/stdHBDetailed?id=016FDF2BE0228559E06397BE0A0AD220 - “Technical Specification for Construction of Process Pipelines in CO₂ Flooding Field Stations”
https://std.samr.gov.cn/hb/search/stdHBDetailed?id=016FDF2BE0218559E06397BE0A0AD220 - “Safety Specification for CO₂ Injection in Oil and Gas Development”
https://std.samr.gov.cn/hb/search/stdHBDetailed?id=8B1827F259CFBB19E05397BE0A0AB44A - “Environmental Risk Control Requirements for Carbon Dioxide Geological Storage Projects”
https://std.samr.gov.cn/hb/search/stdHBDetailed?id=2F904633F99A3B02E06397BE0A0AB40F - “Guidelines for Building a Carbon Peak and Carbon Neutrality Standard System in the Industrial Field”
https://www.gov.cn/zhengce/zhengceku/202402/content_6933519.htm - “Carbon Dioxide Capture, Utilization and Storage Terminology”
https://www.ttbz.org.cn/StandardManage/Detail/56652 - “Carbon Dioxide Capture, Transport and Geological Storage – Vocabulary – Common Terms”
https://std.samr.gov.cn/gb/search/gbDetailed?id=CB629150D20CCCB5E05397BE0A0A5639 - “Carbon Dioxide Capture – Part 1: Performance Evaluation Methods for Post-combustion Carbon Dioxide Capture in Power Plants”
https://std.samr.gov.cn/gb/search/gbDetailed?id=CB62BCD722B3DD18E05397BE0A0AA94E - “Carbon Dioxide Capture, Transport and Geological Storage – Geological Storage”
https://std.samr.gov.cn/gb/search/gbDetailed?id=CB4ACD26030BC10EE05397BE0A0A32F4 - “Carbon Dioxide Capture, Transport and Geological Storage – Carbon Dioxide Storage for Enhanced Oil Recovery”
https://std.samr.gov.cn/gb/search/gbDetailed?id=0E2B9533371D7BACE06397BE0A0A2FEB[ - “Green Bond Supported Project Catalog”
https://www.gov.cn/zhengce/zhengceku/2021-04/22/content_5601284.htm - “National Key Promotion Catalog of Low-Carbon Technologies”
https://www.mee.gov.cn/xxgk2018/xxgk/xxgk06/202502/t20250212_1102102.html - “Implementation Plan for National Key Low-Carbon Technology Collection and Promotion”
https://www.mee.gov.cn/xxgk2018/xxgk/xxgk05/202402/t20240222_1066647.html - “2023 Strategic Emerging Industry Special Fund Project Application Guide (First Batch)”
https://fgw.sz.gov.cn/zwgk/qt/tzgg/content/post_10577241.html - “2022 Beijing High-end Industry Development Fund Implementation Guide”
https://www.beijing.gov.cn/fuwu/lqfw/gggs/202202/t20220208_2606216.html - “The 14th Five-Year Plan for National Economic and Social Development of the People’s Republic of China and the Long-Range Objectives Through the Year 2035”
https://www.gov.cn/xinwen/2021-03/13/content_5592681.htm - “Opinions of the CPC Central Committee and the State Council on Completely, Accurately and Comprehensively Implementing the New Development Concept and Doing a Good Job in Carbon Peak and Carbon Neutrality Work”
https://www.mofcom.gov.cn/zcfb/zgdwjjmywg/art/2021/art_dee4aa25a54049d1bd69b6cfff7d195d.html - “Climate Investment and Financing Pilot Program”
https://www.gov.cn/zhengce/zhengceku/2021-12/25/content_5664524.htm - “National Standardization Development Outline”
https://www.gov.cn/zhengce/2021-10/10/content_5641727.htm - “Implementation Plan for Accelerating the Establishment of a Unified and Standardized Carbon Emission Statistical Accounting System”
https://www.gov.cn/zhengce/zhengceku/2022-08/19/content_5706074.htm - “Implementation Guide for Energy Conservation and Carbon Reduction Transformation and Upgrading in Key Areas of High Energy Consumption Industries (2022 Edition)”
https://www.ndrc.gov.cn/xwdt/tzgg/202202/t20220211_1315447.html - “Implementation Plan for Carbon Peak in the Industrial Field”
https://www.gov.cn/zhengce/zhengceku/2022-08/01/content_5703910.htm - “Implementation Plan for Synergistic Efficiency in Pollution Reduction and Carbon Reduction”
https://www.gov.cn/zhengce/zhengceku/2022-06/17/content_5696364.htm
