decarbonfuse Icons/logo

CCUS

The Carbon Surge: Why Carbon Capture is Finally Having Its Moment

Published by Todd Bush on May 30, 2025

A New Era for Carbon Capture and Sequestration

Carbon capture and storage (CCS) has entered a major turning point. Once dismissed as too costly or unreliable, it's now being scaled by global leaders like Air Products and Microsoft, who are pushing the technology into real-world use.

CCS projects are growing at a record-breaking pace, and the shift is driven by more than just environmental goals. It's also fueled by the pursuit of economic efficiency and long-term operational stability. As more companies face pressure to decarbonize, CCS is stepping in as a realistic and strategic pathway.

For companies facing hard-to-abate emissions, CCS is becoming a viable decarbonization tool. According to the Carbon Capture Coalition, the number of CCS projects either operating or in development jumped from 392 to 628 in just one year.

>> RELATED: Svante Launches World's First Commercial Gigafactory for Carbon Capture & Removal Filters

Svante’s new facility in British Columbia

Svante’s new facility in British Columbia is capable of producing enough advanced filters to capture up to 10 million tons of CO₂ per year.

Inside the Louisiana Clean Energy Complex

In Ascension Parish, Louisiana, a bold new project is taking shape. The Louisiana Clean Energy Complex, spearheaded by Air Products, is set to capture 95% of the 5 million tons of CO₂ emitted annually by its hydrogen production facility.

This ambitious effort positions the site as the world’s largest carbon capture and permanent sequestration project. It's a bold claim backed by a plan to trap 95% of emissions from hydrogen production and store them deep underground. As Air Products continues development, the project is expected to set new benchmarks in large-scale carbon management.

This facility marks a pivotal moment in the surge of blue hydrogen initiatives that aim to capture and store CO₂ emissions safely underground. As industries worldwide look for practical ways to cut emissions, demand for low-carbon hydrogen continues to rise.

The Louisiana Clean Energy Complex isn’t just participating in this trend - it’s leading it. By advancing large-scale capture and storage, the project is laying down a strong example for others to follow.

Microsoft, Svante, and the Carbon Credit Boom

Big tech isn’t staying on the sidelines. Microsoft recently partnered with Svante, a Canadian clean tech firm, to buy carbon credits from a CCS-enabled pulp and paper facility. The deal covers 3.7 million tons of CO₂ over 12 years, reflecting growing interest in high-quality, measurable carbon removals.

Svante’s role in the sector is just getting started. The company recently opened a 140,000-square-foot factory in British Columbia, designed to manufacture advanced filters. These filters are capable of capturing 10 million tons of CO₂ annually, significantly boosting global removal capacity. With this facility, Svante is setting itself up as a key player in scalable carbon removal solutions.

"A confluence of factors is driving the industry forward," said Claude Letourneau, CEO of Svante, citing tax credits and a green premium on low-carbon commodities like hydrogen.

Scaling Up, Shipping Out

A new generation of companies is also joining the movement. Carbon Clean, a startup based in London, has developed a compact CO₂ capture unit that fits inside a shipping container. It's already being tested in Saudi Arabia and Canada following a successful pilot in Abu Dhabi.

"The biggest challenge for implementing carbon capture is the real estate," said Aniruddha Sharma, CEO of Carbon Clean. "Nobody has any space."

These compact and flexible systems are especially well-suited for industries that face steep challenges in reducing emissions, such as cement, fertilizer, and steel production. Their size allows for easier integration into existing industrial layouts, where space is often limited. By offering a scalable and space-efficient solution, they enable decarbonization in sectors that have traditionally struggled to adopt carbon capture technology.

CO, capture capacity of commercial CCS facility pipeline since 2010

>> In Other News: World’s First Plant That Captures CO2 From Air to Make Building Materials Opens

Investment, Policy, and Political Will

Behind the growth of CCS is a perfect storm of aligned incentives. Enhanced tax credits, including the 45Q provision strengthened under the U.S. Inflation Reduction Act, have made capture projects far more financially attractive.

At the same time, companies are under increasing pressure from Scope 3 emissions targets, as well as expectations from voluntary carbon markets. These combined forces are making it harder for leaders to delay action or rely on vague commitments. The result is a growing urgency to reevaluate and overhaul sustainability strategies. It’s no longer just a matter of reputation - it’s becoming a requirement to stay competitive and credible.

As Jessie Stolark, executive director of the Carbon Capture Coalition, put it, "It’s been like a snowball rolling down a hill in terms of corporate interest and investment in the sector."

High-Impact Projects Coming Online

Several new million-ton-per-year CCS projects are slated to launch soon:

1. Ammonia Facility in Ascension Parish

A consortium is moving forward with plans to build a major carbon capture plant that will remove over 2 million tons of CO₂ annually. The scale of this project highlights the growing urgency and capability of industrial CCS efforts. As demand for reliable decarbonization tools increases, large-scale projects like this one are becoming more common.

2. ExxonMobil’s Natural Gas Project in Texas

This facility is designed to capture and sequester 2 million tons of CO₂ from a nearby power plant each year. It's a bold move that underscores the growing scale and ambition of industrial carbon capture efforts. As companies face mounting pressure to address emissions from every angle, initiatives like this signal that practical, high-volume solutions are already underway.

3. Svante’s Burnaby Facility

Now that it's fully operational, the facility is poised to significantly cut emissions from pulp and paper operations, along with other energy-intensive industries. It demonstrates how real-world deployment of carbon capture tech can move beyond theory and into daily industrial use. With its advanced filters and infrastructure in place, the plant sets a new bar for emissions reduction. This momentum shows that climate solutions aren't just coming - they're already making a difference.

These facilities are making carbon capture feel less like a far-off possibility and more like the default solution.

Beyond the Headlines

Despite the progress, not all are convinced. Critics like Stanford’s Mark Jacobson argue that CCS diverts renewable energy from replacing fossil power, which could make total decarbonization more expensive.

But the industry is answering back with real-world deployment that’s already showing tangible results. Projects are not only proving more cost-effective but are also achieving greater reliability while delivering measurable reductions in CO₂ levels. This shift is helping build momentum and shift public perception.

The conversation is evolving. As Sangeet Nepal, a tech specialist at the Carbon Capture Coalition, pointed out, gas plants with CCS can deliver steady, low-carbon electricity that complements renewable intermittency.

What’s Next for CCS

The bottom line? Carbon capture isn’t just viable - it’s becoming essential.

For businesses, investors, and policy leaders, CCS represents a bridge between the emissions of today and the net-zero commitments of tomorrow.

And with companies like Air Products, Microsoft, Svante, and Carbon Clean stepping up, the future of carbon management is no longer in theory.

It’s in motion.

Icons/external Source

Add Comments

Subscribe to the newsletter

Icons/inbox check

Daily decarbonization data and news delivered to your inbox

Follow the money flow of climate, technology, and energy investments to uncover new opportunities and jobs.


Companies

Latest issues

View all issues

Company Announcements

Daily decarbonization data and news delivered to your inbox

Follow the money flow of climate, technology, and energy investments to uncover new opportunities and jobs.

Subscribe illustration