Increasing demand for renewable energy is not only driven by data centers, cryptocurrency mining, green hydrogen and manufacturing but also by carbon capture, utilization and storage (CCUS), which is often overlooked. Recent developments highlight this competition: CarbonCapture withdrew its Bison direct air capture (DAC) project in Wyoming because of concerns about securing sufficient emissions-free energy to power the facility, citing data centers and cryptocurrency mining as the leading competitors.
When examining future demand, Enverus Intelligence Research finds that although CCUS accounts for only 0.5% of load growth out to 2040 – approximately 26 TWh – the distribution of these projects is uneven across regions (Figure 1). Enverus Intelligence® Research predicts that CCUS will account for over 10% of zonal level load growth in PJM AP, ERCOT Coast, MISO 8 and West Pace (home of Project Bison).
This uneven increase is particularly significant for DAC, which requires clean power to improve net removal benefits. Understanding the significance of these regional disparities is more crucial than ever as power demand grows for the first time in decades.
Research Highlights
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- CCUS Project Risking – Decoding Project Success – With the majority of CCUS remaining capacity in early development stages, industry is facing growing pressure to discern which projects will move beyond the drawing board. This report harnesses the power of multiple Enverus datasets to grade more than 525 pre-construction U.S. CCUS projects tracked in our Enverus FOUNDATIONS® – Carbon Innovation platform.
- Tracking the Energy Transition Market – Fed Coming to the Rescue for Highly Levered Names – The 2Q24 edition of the ETR team’s equity tracking report provides coverage across various energy transition sectors as well as integrated traditional energy businesses.
- Data Center Demand – Quantifying Exponential Levers – Enverus Intelligence Research’s updated view on data center load and the technology enabling exponential computing growth. Our analysis breaks down often ignored components of computational energy use and quantitively describes a future where exponential growth in computing doesn’t require the same trend in energy consumption.
About Enverus Intelligence®| Research
Enverus Intelligence® | Research, Inc. (EIR) is a subsidiary of Enverus that publishes energy-sector research focused on the oil, natural gas, power and renewable industries. EIR publishes reports including asset and company valuations, resource assessments, technical evaluations, and macro-economic forecasts and helps make intelligent connections for energy industry participants, service companies, and capital providers worldwide. EIR is registered with the U.S. Securities and Exchange Commission as a foreign investment adviser. Click here to learn more.
