21/10/2025
For a long time, the capture and storage of CO₂ - known as Carbon Capture and Storage (CCS) - was considered a niche topic in the energy transition. It has been criticised as too expensive, too risky and not sufficiently proven. However, the facts tell a different story: for an increasing number of industrial companies, CCS is becoming a crucial tool for achieving climate targets and securing competitiveness through transformation
Jörg Böhner, Risk Engineer at HDI Risk Consulting, explains why CCS is not a new risk technology for industry and what opportunities it offers to businesses.
1. CCS Has Been Tried and Tested for Decades
The notion that Carbon Capture and Storage is a new, untested technology does not stand up to scrutiny. CCS has in fact been used in the oil and gas industry for so-called ‘Enhanced Oil Recovery’ since the 1970s. The technical components – from CO₂ capture and compression, to transport and underground storage – have been tested extensively and continually refined. For industrial companies, this means they can rely on a wealth of existing expertise and proven processes when adopting the technology.
2. More Than Greenwashing: A Key to Real Emission Reduction
CCS is sometimes viewed critically in public debate for various reasons; there is often concern that it might displace other climate protection measures or merely serve to ‘greenwash’ fossil fuel companies. However, in sectors such as cement, steel or chemicals, where CO₂ emissions are technically difficult to avoid, CCS is an indispensable element on the path to climate neutrality. International studies and climate models show that without such technology, global climate targets are unlikely to be met. For companies, this presents a significant opportunity to implement sustainable solutions even in emission-intensive sectors.
3. Technical Risks Are Manageable
From an industrial insurer’s perspective, CCS is not an ‘exotic’ risk. The detailed process steps and technical challenges involved in capture, transport and storage are well understood. Naturally, the typical technical risks associated with industrial plants still apply; in addition, the underground storage brings its own geological considerations. However, with the required expertise and established standards, these risks can be calculated and insured.
4. Transparency and Data Are Essential
Detailed project data is essential for robust risk assessment – from the planning and implementation stages to plant operation. Companies that embrace transparency early on and provide relevant information build trust among partners, insurers, investors and the public. This not only facilitates insurance but also the financing and acceptance of CCS projects.
5. Experienced Partners Add Security to the Transformation
Partnering with experienced industrial insurers such as HDI Global enables realistic assessment and effective risk management of CCS projects. With decades of expertise in complex industrial installations, the company has a team of over 200 engineers for technical appraisals and bespoke insurance solutions. Such partnerships foster innovation while safeguarding business continuity.
On closer inspection, CCS proves itself to be a well-established technology that plays a central role in the sustainable transformation of industry. Companies that base their approach on facts, transparency and trusted partners will gain a clear competitive edge and help actively shape the future of industry.