Policy Incentives for Carbon Capture, Utilization and Storage Technology (CCUS) Implementation to Reduce Carbon Emissions and Apply for Methanol Production

In Thailand, greenhouse gas emissions have been continuously
increasing from the past to the present. The gas includes approximately 70
percent of carbon dioxide (CO2), mostly from the combustion of fossil
fuels and coal to produce electricity. In order to mainly generate the
electrical energy of coal-fired power plants, the application of Carbon
Capture, Utilization, and Storage (CCUS) has been utilized to store carbon
emissions. This research proposed simulating the effect of CCUS
technology installation through the FICAM program to evaluate the
reduction of gas emissions by using the technology and provide financial
analysis for helping the decision-making of investors. As a result of the
research, net present value (NPV) was 142,388,999.71 USD, and average
debt service coverage ratio (DSCR) was 2.08. In the case of using CCUS,
the amount of carbon dioxide gas was reduced. Moreover, the gas captured
was capable of being used to add economic value through application in
methanol production. Therefore, the policies supporting the installation of
CCUS consist of government subsidies (at least 20 – 40 USD/MWh), the
attraction of carbon markets, technical advancement, and Industrial chain.