Carbon Capture and Storage Market Size – By Technology, By Application, Analysis, Share, Growth Forecast, 2025 – 2034

Carbon Capture and Storage Market Size

The global carbon capture and storage market was valued at USD 8.8 billion in 2024 and is estimated to grow at a CAGR of 16.7% from 2025 to 2034. The growth of the market is determined by stringent emission criteria and rules coupled with expenditure to achieve decarbonization. For example, The Environmental Protection Agency (EPA) in 2024 introduced a national control measure for gas or coal powered plants which had to incorporate CCS to reduce emissions. Emission reduction of 90% is to be met by 2032 in coal plants, and by 2035 for gas plants and compliance for the same is expected to start by June 2025.
 

Increasing investments in upstream and midstream sectors as well as growing energy demand will augment the global carbon capture and storage market for enhanced oil recovery applications. The method of EOR involves injection of CO? which develops reservoir pressure and advances oil into production wells, a process that is going to considerably complement the adoption of CCS technology during the forecast period.
 

Increasing concern toward global climate agreements along with increasing decarbonizing efforts in hard-to-abate sectors will augment the market potential. The Paris agreement and subsequent international climate obligations have bolstered the development and adoption of various CCS. Additionally, the technology offers a pathway for industries including steel, cement, oil & gas to achieve carbon emissions without overhaul in the production techniques.
 

Rising shift towards corporate net-zero commitments coupled with increasing technological advancements in CCS technology will result in the involvement of key market players to adopt & invest the CCS industry. For example, in January 2025, Chevron, Engie, and GE Vernova came into a strategic partnership to develop a natural gas plant in the U.S. The plant with a capacity of around 4 GW will generate electricity by 2027 with the integration of CCS technology to control the plant emissions.
 

Carbon Capture and Storage Market Trends

The increasing amount of greenhouse gas emissions will fuel the growth of the global carbon capture and storage (CCS) market. In that respect, policies related to emission control technology for industrial processes have been set, which is favorable for the CCS industry, and in 2024, emissions from fossil fuels increased by almost 0.8% worldwide, hitting 37.4 gigatons of CO2, underscoring the consequences of climatic change. 
 

The Government funds are also aimed at developing advanced CCS technologies including pre-combustion systems and post-combustion air capture systems along with the improvement of the associated infrastructure which is further fueling the carbon capture and storage market growth. For instance, in January 2025, Italy grid operator, Snam announced an investment of over 0.5 billion for CCS initiative to enhance & develop low-carbon business line.
 

The improvement in large carbon capture facilities and transport networks will be decisive for the success of ESG efforts as these projects also help in developing CCS infrastructural facilities. As a reference, the Northern Light CCS project, Norway operated in 2024, allows industrial companies to transport & sequester their carbon emission. Using these technologies and approaches within the CCS will result to acquiring goals toward reduction of greenhouse gases emissions.
 

Rising integration of CCS technology with hydrogen production for low-carbon energy portfolio along with various partnership & collaboration will complement the business scenario. Combined efforts in mitigating climate change are being aided by different types of collaborations including public-private partnerships, industry consortia and cross border projects. As a reference, in April 2024, Norway with other countries including Denmark, Belgium, Sweden, And Netherlands had made an agreement to facilitate the usage of cross-border geologic storage of captured carbon.
 

Carbon Capture and Storage Market Analysis

• The global carbon capture and storage industry was estimated at USD 6.2 billion, 6.8 billion, & 8.8 billion in the year 2022, 2023, & 2024 respectively. Based on technology, the market is differentiated into pre-combustion, oxy-fuel combustion, and post combustion, where post-combustion capture and storage technology will reach USD 34 billion by 2034.
   
• The post-combustion technology is expected to increase adoption over the next couple of years with high prospects in reducing emissions. For example, in January 2025, Green Plains recently announced the startup of Nebraska CCS project using the post-combustion approach, which would capture 1.2 million tons of carbon annually.
   
• The technology capability in hydrogen production along with private & public investments for project placement has augmented the pre-combustion technology to capture a market share of over 30% in 2024. Evidently, in 2021, Air Products announced an investment of USD 4.5 billion to develop blue hydrogen in Ascension, Louisiana employing CCS project using pre-combustion technology.
   
• Oxy-fuel combustion CCS technology will grow significantly down the lines owing to its applicability across emission intensive industries including cement & steel. In addition, retrofitting initiatives backed by investment will fuel the market growth. For instance, in January 2025, China United Cement Company commissioned an oxy-fuel combustion project that will capture around 200,000 tons of CO2 annually.
   

• The carbon capture and storage market is categorized into power generation, chemical processing, oil & gas, among others based on application. The power generation application accounted for over 36% revenue share in 2024 and is set to grow at a CAGR of over 17% through 2034.
   
• A considerable share of the CCS market is represented by the Power Generation Industry owing to the increasing focus on the development of the CCS infrastructure earmarked for helping hydrogen production, storage, and distribution. As already shown, funding was allocated for 96 publicly present hydrogen fueling stations of which 61 were operational by Q1 2024, for California's Clean Transportation Program's Hydrogen Fueling Infrastructure.
   
• Growing compliance & emissions targets combined with growing EOR to enhance oil output is expected to take the oil & gas industry to cross over USD 15 billion by 2034. According to it, by mid-2024, Pathway Alliance has committed more than USD 16.5 billion to CCS network in Northern Alberta to capture carbon emissions from more than 20 oil sands facilities, which makes CCS-EOR look promising.
   
• The carbon capture and storage as part of a chemical process is slowly changing due to proper regulations, funding, allocation of resources and campaigns for industrial decarbonization. The Energy Act 2023, when enacted in October 2023 enhances the energy generation and stability of the UK, and addresses matters like licensing for CO2 transport and storage, commercial contracts for CCS which particularly includes hydrogen generation.
   

• The U.S. carbon capture and storage market was valued at 2.3, 2.4, and 3.3 USD billion in the year 2022, 2023, & 2024 respectively and will likely cross over USD 11 billion by 2034. The increasing modernization of conventional systems through advanced emission control technologies to attain lower emission rates and ever rising energy need across the country is swaying business outlook.
   
• To strengthen the market evolution, estimated investment and business partnership rates in North America will significantly support the growth of the CCS initiatives. As for sample activities, in 2024, the DOE office of Clean Energy demonstration issued over USD 1,300 million formally to develop novel carbon capture, utilization, and storage technologies aimed to expand the CCS support in the U.S.
   
• Strict climate policies, investments, and commitments by the government of Europe towards net zero emissions by 2050 are the major drivers of CCS adoption. For reference, Demark in 2022, revealed a subsidy program of over USD 5 billion to promote CCS. In addition, the program was aimed to reduce emission by 0.9 million tons of CO2 by 2030, targeting country’s goal towards sustainability.      
   
• Asia Pacific carbon capture and storage market is anticipated to grow annually by 21% growth rate till 2034 driven by increasing energy needs, high industrial operations, and new project commencement. As illustrated, in October 2024, Moomba CCS project in Australia was started with a capacity to store around 1,700 thousand tons of carbon per year. In addition, the project focuses carbon storage without EOR, thereby augmenting carbon sequestration.
   
• Continuing research & development and presence of excessive oil & gas production causing high carbon emissions is augmenting the widespread adoption of CCS across the Middle East & Africa. As a reference, in 2024, Saudi Aramco along with the partnership with Linde & SLB planned to develop a CCS project in Jubail, Saudi Arabia to capture and store over 9 MTCO2 annually.
   

Carbon Capture and Storage Market Share

Exxon Mobil, Aker Solutions, Carbon Engineering, Shell and Equinor are the leading firms of the CCS industry. The market has been dynamic in terms of project deployment and technological evolution due to the large number of participants. Most importantly, there is also a steady growth in public and private funding and joint ventures which is also boosting the deployment of CCS technology.
 

As an illustration, Denbury Resources was purchased by Exxon Mobil for around USD 4.9 billion in July 2023, to boost their competitive edge in the market. Furthermore, Aker Solutions has developed unique designs for offshore and onshore carbon capture plants that help reduce emissions from burning fossil fuels. These companies showcase the different strategies and technologies that are aligning towards the overarching CCS initiative which is the global reduction of emissions.
 

Carbon Capture and Storage Market Companies

• Exxon Mobil founded in 1999 reported the annual revenue of over USD 339 billion in 2024. The company has strengthened its efforts in CCS owing to significant public subsidies to promote the sustainable approach. In addition, the company has committed around USD 15 billion to achieve carbon neutrality by 2050.
   
• Founded in 1841, Aker Solutions’ subsidiary, including Aker Carbon Capture, emphasize providing modernized CCS solutions for many industries including cement, oil, gas and many others. For the first quarter of 2024, revenue of over USD 1.1 billion was reported.
   
• Shell is one of the major carbon capture and storage market participant that is highly active in different projects that minimize carbon emissions. The corporation is also participating in the Quest Carbon Capture and Storage program in Canada which has captured and stored over five million tons of CO? since its beginning.
   
• Carbon Engineering, a subsidiary of Oxy Low Carbon Ventures was founded in 2009 has developed innovative liquid DAC technology that uses potassium hydroxide solution to capture CO2. This has enabled the company to attract a sizeable investment from major companies like Air Canada, Occidental, Chevron, among others.
   
• Equinor founded in 1972 with reported operating income of USD 6.91 billion, Q3 2024. It is actively participating in several CCS projects, one of which is the Northern Light project, which is a full-scale CCS initiative developed as an open-source infrastructure for carbon dioxide transport and storage.
   

Carbon Capture and Storage Industry News

• In 2024, Equinor along with its partners allowed the execution of UK’s first CCS projects across the cluster of East coasts. The project will witness the transport & storage of around 4 MTCO2 annually from Teesside projects in start and with plans to increase the amount to 10 MTCO2 by 2030.
   
• As illustrated, Stripe and Google came together to create a new project named CCS which has an estimated budget of over USD 80 million in December 2024. This project will finance efforts including carbon dioxide emissions capturing scheme focused for sewage plants & paper mills.
   
• The DOE plans to invest more than USD 1.3 billion in large-scale pilot projects and carbon capture demonstration projects using post-combustion CCS technology, especially for power plants, by September 2024. The initiative will mark the carbon removal process from industrial source, thereby augmenting the sustainability scenario.
   
• For reference, in July 2024, the government of Indonesia announced plans to accelerate their CCS initiatives by simplifying their framework to attract investment for CCS infrastructure development.
   
• In 2024, Waterous Energy Fund aided Strathcona Resources to work in partnership with Canada Growth Fund to invest a sum of over USD 1.4 billion in CCS projects. The collective effort of the organization is to capture and store over 3 million ton of carbon dioxide on an annual basis.
   
• In July 2024, ExxonMobil came into a strategic partnership and agreement with CF Industries that will aid the company to transport and permanently store over five hundred thousand tons of CO2, that is set to commence in 2028.
   
• In July 2024, various states including Alaska, Alabama, Colorado, Illinois, and Pennsylvania enacted CCS legislation, thereby formulating regulatory framework for CCS project deployment among the states.
   

This carbon capture and storage market research report includes in-depth coverage of the industry with estimates & forecast in terms of volume (MTPA) and revenue (USD Billion) from 2021 to 2034, for the following segments:

Market, By Technology

• Pre Combustion
• Post Combustion
• Oxy-Fuel Combustion

Market, By Application

• Oil and Gas
• Chemical Processing
• Power Generation
• Others

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • UK
  • Germany
  • Denmark
  • Sweden
• Asia Pacific
  • China
  • Australia
  • South Korea
• Rest of World