What is Carbon Capture, Utilization and Storage (CCUS)? What is the potential role of CCUS in tackling climate change?
Approach · directive: “what”
What it asks · Define CCUS and its three links, then weigh its potential and limits in climate mitigation, especially for India’s hard-to-abate industries.
It asks 2 things — answer each
- Define CCUS — its capture, utilisation and storage links
- Explain the potential role of CCUS in tackling climate change, with its limits
Open with · CCUS captures CO2 from power, steel and cement plants, then uses it in products or stores it underground; for an economy pledged to net zero by 2070 with a 45% cut in emissions intensity by 2030 (updated NDC, 2022), it bridges emissions renewables cannot reach.
Cover
- Capture: pre-combustion, post-combustion (solvents), oxy-fuel; direct air capture and bioenergy with CCS can even give net-negative emissions.
- Utilisation: urea, methanol, synthetic fuels, polymers, building materials, enhanced oil recovery. Storage: saline aquifers, depleted oil and gas fields, basalt.
- Climate role: cuts emissions in hard-to-abate sectors — cement process emissions, steel, fertilisers, refineries — where renewables alone cannot.
- For India: coal will stay in the energy mix for decades; CCUS lets India use it while moving towards net zero by 2070.
- Co-benefits: a circular carbon economy, new industries and jobs, and lower import bills when CO2 becomes feedstock.
- Limits: high cost and energy penalty, leakage risk and monitoring, no CO2 pipelines, low carbon price; risk of prolonging fossil lock-in.
- Enablers: carbon credit trading scheme, hub-and-cluster model in industrial belts, mapping of storage sites, public funding for early projects.
Close with · CCUS complements renewables and efficiency; proven safe and cheaper, it handles the residual industrial emissions on the road to 2070 and to SDG 13, urgent action to combat climate change and its impacts.
Add value (verified)
- NITI Aayog’s 2022 study positions CCUS as the route to deep decarbonisation of hard-to-abate sectors.PIB, NITI Aayog — Study report on CCUS Policy Framework and its Deployment Mechanism in India (29 November 2022) ↗“The report explores the importance of Carbon Capture, Utilisation, and Storage as an emission reduction strategy to achieve deep decarbonization from the hard-to-abate sectors.”
- The Union Budget 2026-27 announced ₹20,000 crore over five years for CCUS technologies.PIB, Ministry of Finance — Highlights of Union Budget 2026-27 (1 February 2026) ↗“An outlay of ₹20,000 crore over the next 5 years, announced for Carbon Capture Utilization and Storage (CCUS) technologies.”
- Updated NDC (August 2022): emissions intensity of GDP down 45% from 2005 levels and about 50% non-fossil power capacity by 2030, towards net zero by 2070.PIB, 3 August 2022 — Cabinet approves India's Updated Nationally Determined Contribution ↗“India now stands committed to reduce Emissions Intensity of its GDP by 45 percent by 2030, from 2005 level and achieve about 50 percent cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2030.”
- The Bureau of Energy Efficiency lists the Carbon Credit Trading Scheme, 2023 and its amendments among the notifications of the Indian carbon market it administers.Bureau of Energy Efficiency — Carbon Market (programme page) ↗“Carbon Credit Trading Scheme S.O 5369 (E) Amendments to the Carbon Credit Trading Scheme, 2023 GSR 780(E)”
- SDG 13 in the UN's official wording.United Nations, Sustainable Development Goals — Goal 13 ↗“Take urgent action to combat climate change and its impacts”
Question: UPSC's CS (Main) 2025, GS Paper III — paper ↗. Approach: Minimalist IAS, checked 3 Oct 2026 (how we verify) — UPSC publishes no model answers. ·
Model answer· 225words · Minimalist IAS
CCUS captures CO2 from power, steel and cement plants, then uses it in products or stores it underground. For an economy pledged to net zero by 2070 with a 45% cut in emissions intensity by 2030 (updated NDC, 2022), it bridges emissions renewables cannot reach.
What CCUS is
- Capture: pre-, post- and oxy-fuel combustion routes; direct air capture and bioenergy with CCS go net-negative.
- Utilisation: urea, methanol, synthetic fuels, polymers, building materials and enhanced oil recovery.
- Storage: saline aquifers, depleted oil and gas fields and basalt formations.
Potential role in tackling climate change
- Hard-to-abate sectors: cuts process emissions in cement, steel, fertilisers and refineries; NITI Aayog (2022) calls it their route to deep decarbonisation.
- Coal transition: coal stays in India's mix for decades; CCUS lets it be used as non-fossil capacity reaches about 50% by 2030.
- Limits: high cost and energy penalty, leakage risk, missing pipelines, low carbon price, fossil lock-in.
Way forward
- Price carbon: the Carbon Credit Trading Scheme, 2023, administered by the Bureau of Energy Efficiency, makes captured CO2 pay.
- Fund and cluster: hub-and-cluster projects, storage mapping and public funding (since then, Budget 2026-27: Rs 20,000 crore over five years).
CCUS complements renewables and efficiency; proven safe and cheaper, it handles the residual industrial emissions on the road to 2070 and to SDG 13, 'urgent action to combat climate change and its impacts'.
Prepared by Minimalist IAS to the answer standard of Shivam Singh (mentor, 7 years) · facts checked against official sources (how we verify) · updated 3 Oct 2026. UPSC publishes no model answers: compare your structure and coverage with this, then write your own.







