Carbon capture and sequestration (CCS) is an increasingly attractive option for utilities seeking to decarbonize their operations, and its value will only increase over the coming years, according to the Brattle Group consultancy.

“The recent expansion of U.S. federal tax credits (45Q), which provide $35 or $50/ton of emissions sequestered depending on the storage location, combined with the possibility for enhanced oil recovery (EOR) revenues in some locations, have created a material new incentive for CCS,” said the report’s authors, who were led by Frank C. Graves and Kasparas Spokas.

Researchers found that opportunities already exist to retrofit coal-fired power plants with CCS at low net costs.

“In the future, the economics of CCS are likely to become more...