skip to main content
DOE PAGES title logo U.S. Department of Energy
Office of Scientific and Technical Information

Title: Global economic consequences of deploying bioenergy with carbon capture and storage (BECCS)

Abstract

Bioenergy with carbon capture and storage (BECCS) is considered a potential source of net negative carbon emissions and, if deployed at sufficient scale, could potentially help reduce carbon dioxide emissions and concentrations. However, the viability and economic consequences of large-scale BECCS deployment are not fully understood. We use the GCAM integrated assessment model to explore the potential global and regional economic impacts of BECCS. BECCS always needs a net subsidy to be deployed; it never produces net tax revenue. We show that by mid-century, in a world committed to limiting climate change to 2°C, carbon tax revenues have peaked and are rapidly approaching the point where climate mitigation is a net burden on general tax revenues. Assuming that the required policy instruments are available to support BECCS deployment, we consider its effects on regional fossil fuels and biomass trade patterns. We find that in a world committed to limiting climate change to 2°C, the absence of CCS harms fossil-fuel exporting regions, while the presence of CCS and BECCS allows greater continued use and export of fossil fuels. We also explore the relationship between carbon prices, food crop prices and BECCS. We show that the carbon price and food-crop prices aremore » directly related. We also show that BECCS reduces the upward pressure on food crop prices exerted by carbon prices due to its effect on lowering carbon prices and lowering the total biomass demand in climate change mitigation scenarios. All of this notwithstanding, many challenges, both technical and institutional, remain to be addressed before BECCS could be deployed at scale.« less

Authors:
 [1]; ORCiD logo [1];  [1];  [1]; ORCiD logo [1]
  1. Pacific Northwest National Lab. (PNNL), Richland, WA (United States); Joint Global Change Research Inst., College Park,MD (United States)
Publication Date:
Research Org.:
Pacific Northwest National Lab. (PNNL), Richland, WA (United States)
Sponsoring Org.:
USDOE
OSTI Identifier:
1557600
Report Number(s):
PNNL-ACT-SA-10154
Journal ID: ISSN 1748-9326
Grant/Contract Number:  
AC05-76RL01830
Resource Type:
Accepted Manuscript
Journal Name:
Environmental Research Letters
Additional Journal Information:
Journal Volume: 11; Journal Issue: 9; Journal ID: ISSN 1748-9326
Publisher:
IOP Publishing
Country of Publication:
United States
Language:
English
Subject:
09 BIOMASS FUELS; Bioenergy; Carbon Capture and Storage (CCS); BECCS; Energy Security; Integrated Assessment; GCAM

Citation Formats

Muratori, Matteo, Calvin, Katherine V., Wise, Marshall A., Kyle, G Page., and Edmonds, James A.. Global economic consequences of deploying bioenergy with carbon capture and storage (BECCS). United States: N. p., 2016. Web. https://doi.org/10.1088/1748-9326/11/9/095004.
Muratori, Matteo, Calvin, Katherine V., Wise, Marshall A., Kyle, G Page., & Edmonds, James A.. Global economic consequences of deploying bioenergy with carbon capture and storage (BECCS). United States. https://doi.org/10.1088/1748-9326/11/9/095004
Muratori, Matteo, Calvin, Katherine V., Wise, Marshall A., Kyle, G Page., and Edmonds, James A.. Wed . "Global economic consequences of deploying bioenergy with carbon capture and storage (BECCS)". United States. https://doi.org/10.1088/1748-9326/11/9/095004. https://www.osti.gov/servlets/purl/1557600.
@article{osti_1557600,
title = {Global economic consequences of deploying bioenergy with carbon capture and storage (BECCS)},
author = {Muratori, Matteo and Calvin, Katherine V. and Wise, Marshall A. and Kyle, G Page. and Edmonds, James A.},
abstractNote = {Bioenergy with carbon capture and storage (BECCS) is considered a potential source of net negative carbon emissions and, if deployed at sufficient scale, could potentially help reduce carbon dioxide emissions and concentrations. However, the viability and economic consequences of large-scale BECCS deployment are not fully understood. We use the GCAM integrated assessment model to explore the potential global and regional economic impacts of BECCS. BECCS always needs a net subsidy to be deployed; it never produces net tax revenue. We show that by mid-century, in a world committed to limiting climate change to 2°C, carbon tax revenues have peaked and are rapidly approaching the point where climate mitigation is a net burden on general tax revenues. Assuming that the required policy instruments are available to support BECCS deployment, we consider its effects on regional fossil fuels and biomass trade patterns. We find that in a world committed to limiting climate change to 2°C, the absence of CCS harms fossil-fuel exporting regions, while the presence of CCS and BECCS allows greater continued use and export of fossil fuels. We also explore the relationship between carbon prices, food crop prices and BECCS. We show that the carbon price and food-crop prices are directly related. We also show that BECCS reduces the upward pressure on food crop prices exerted by carbon prices due to its effect on lowering carbon prices and lowering the total biomass demand in climate change mitigation scenarios. All of this notwithstanding, many challenges, both technical and institutional, remain to be addressed before BECCS could be deployed at scale.},
doi = {10.1088/1748-9326/11/9/095004},
journal = {Environmental Research Letters},
number = 9,
volume = 11,
place = {United States},
year = {2016},
month = {8}
}

Journal Article:
Free Publicly Available Full Text
Publisher's Version of Record

Citation Metrics:
Cited by: 23 works
Citation information provided by
Web of Science

Save / Share:

Works referenced in this record:

Large-scale utilization of biomass energy and carbon dioxide capture and storage in the transport and electricity sectors under stringent CO2 concentration limit scenarios
journal, September 2010

  • Luckow, P.; Wise, M. A.; Dooley, J. J.
  • International Journal of Greenhouse Gas Control, Vol. 4, Issue 5
  • DOI: 10.1016/j.ijggc.2010.06.002

Developments in international solid biofuel trade—An analysis of volumes, policies, and market factors
journal, June 2012

  • Lamers, Patrick; Junginger, Martin; Hamelinck, Carlo
  • Renewable and Sustainable Energy Reviews, Vol. 16, Issue 5
  • DOI: 10.1016/j.rser.2012.02.027

Assessing the Interactions among U.S. Climate Policy, Biomass Energy, and Agricultural Trade
journal, September 2014

  • Wise, Marshall A.; McJeon, Haewon C.; Calvin, Katherine V.
  • The Energy Journal, Vol. 35, Issue 01
  • DOI: 10.5547/01956574.35.si1.9

International climate policy architectures: Overview of the EMF 22 International Scenarios
journal, December 2009


Negative emissions physically needed to keep global warming below 2 °C
journal, August 2015

  • Gasser, T.; Guivarch, C.; Tachiiri, K.
  • Nature Communications, Vol. 6, Issue 1
  • DOI: 10.1038/ncomms8958

The influence of negative emission technologies and technology policies on the optimal climate mitigation portfolio
journal, October 2011


Biomass and carbon dioxide capture and storage: A review
journal, September 2015


The role of technology for achieving climate policy objectives: overview of the EMF 27 study on global technology and climate policy strategies
journal, January 2014

  • Kriegler, Elmar; Weyant, John P.; Blanford, Geoffrey J.
  • Climatic Change, Vol. 123, Issue 3-4
  • DOI: 10.1007/s10584-013-0953-7

Modelling energy technologies in a competitive market
journal, April 1993


Uncertainty in Carbon Capture and Storage (CCS) deployment projections: a cross-model comparison exercise
journal, February 2014

  • Koelbl, Barbara Sophia; van den Broek, Machteld A.; Faaij, André P. C.
  • Climatic Change, Vol. 123, Issue 3-4
  • DOI: 10.1007/s10584-013-1050-7

Fossil resource and energy security dynamics in conventional and carbon-constrained worlds
journal, October 2013


Energy production from biomass (part 1): overview of biomass
journal, May 2002


The feasibility of low CO2 concentration targets and the role of bio-energy with carbon capture and storage (BECCS)
journal, May 2010

  • Azar, Christian; Lindgren, Kristian; Obersteiner, Michael
  • Climatic Change, Vol. 100, Issue 1
  • DOI: 10.1007/s10584-010-9832-7

The next generation of scenarios for climate change research and assessment
journal, February 2010

  • Moss, Richard H.; Edmonds, Jae A.; Hibbard, Kathy A.
  • Nature, Vol. 463, Issue 7282
  • DOI: 10.1038/nature08823

The representative concentration pathways: an overview
journal, August 2011


Global land-use implications of first and second generation biofuel targets
journal, October 2011


Biophysical and economic limits to negative CO2 emissions
journal, December 2015

  • Smith, Pete; Davis, Steven J.; Creutzig, Felix
  • Nature Climate Change, Vol. 6, Issue 1
  • DOI: 10.1038/nclimate2870

Energy system transformations for limiting end-of-century warming to below 1.5 °C
journal, May 2015

  • Rogelj, Joeri; Luderer, Gunnar; Pietzcker, Robert C.
  • Nature Climate Change, Vol. 5, Issue 6
  • DOI: 10.1038/nclimate2572

Trade-offs of different land and bioenergy policies on the path to achieving climate targets
journal, October 2013


Betting on negative emissions
journal, September 2014

  • Fuss, Sabine; Canadell, Josep G.; Peters, Glen P.
  • Nature Climate Change, Vol. 4, Issue 10
  • DOI: 10.1038/nclimate2392

The value of bioenergy in low stabilization scenarios: an assessment using REMIND-MAgPIE
journal, October 2013


Impacts of increased bioenergy demand on global food markets: an AgMIP economic model intercomparison
journal, December 2013

  • Lotze-Campen, Hermann; von Lampe, Martin; Kyle, Page
  • Agricultural Economics, Vol. 45, Issue 1
  • DOI: 10.1111/agec.12092

Bioenergy in energy transformation and climate management
journal, December 2013


Modeling meets science and technology: an introduction to a special issue on negative emissions
journal, April 2013


Assessing the Interactions among U.S. Climate Policy, Biomass Energy, and Agricultural Trade
journal, September 2014

  • Wise, Marshall A.; McJeon, Haewon C.; Calvin, Katherine V.
  • The Energy Journal, Vol. 35, Issue 01
  • DOI: 10.5547/01956574.35.SI1.9

Modelling energy technologies in a competitive market
journal, April 1993


Energy production from biomass (part 1): overview of biomass
journal, May 2002


    Works referencing / citing this record:

    The political economy of negative emissions technologies: consequences for international policy design
    journal, December 2017


    Affordable CO2 negative emission through hydrogen from biomass, ocean liming, and CO2 storage
    journal, January 2019

    • Caserini, Stefano; Barreto, Beatriz; Lanfredi, Caterina
    • Mitigation and Adaptation Strategies for Global Change, Vol. 24, Issue 7
    • DOI: 10.1007/s11027-018-9835-7

    Global Rules Mask the Mitigation Challenge Facing Developing Countries
    journal, April 2019

    • Jiang, Xuemei; Peters, Glen P.; Green, Christopher
    • Earth's Future, Vol. 7, Issue 4
    • DOI: 10.1029/2018ef001078

    Negative emissions—Part 3: Innovation and upscaling
    journal, May 2018

    • Nemet, Gregory F.; Callaghan, Max W.; Creutzig, Felix
    • Environmental Research Letters, Vol. 13, Issue 6
    • DOI: 10.1088/1748-9326/aabff4

    Carbon Sequestration Potential from Large-Scale Reforestation and Sugarcane Expansion on Abandoned Agricultural Lands in Brazil
    journal, August 2019


    Carbon dioxide removal and tradeable put options at scale
    journal, May 2018


    Catalysing a political shift from low to negative carbon
    journal, August 2017


    Focus on negative emissions
    journal, November 2017

    • Jackson, R. B.; Canadell, J. G.; Fuss, S.
    • Environmental Research Letters, Vol. 12, Issue 11
    • DOI: 10.1088/1748-9326/aa94ff

    The many possible climates from the Paris Agreement’s aim of 1.5 °C warming
    journal, June 2018


    Opportunities and Trade-offs among BECCS and the Food, Water, Energy, Biodiversity, and Social Systems Nexus at Regional Scales
    journal, January 2018