UK government policies supporting blue hydrogen and gas-power CCS significantly under-estimate upstream LNG gas emissions and risk derailing its Net Zero targets, with emissions consuming 22%-63% of the UK’s Sixth Carbon Budget, according to Carbon Tracker.
The Kind of Blue report calculates the carbon intensity of blue hydrogen and gas power with CCS, factoring in upstream emissions from natural gas extraction, processing, and transport. This is crucial for the UK and Europe, which are increasingly reliant on imported LNG, particularly from the US, following the 2022 energy crisis.
Of particular concern to UK climate targets and the remaining carbon budget, there is great uncertainty on upstream emissions that are often under-reported. For example, independent studies suggest that the carbon intensity of LNG from the US could be 80% to 150% higher than what is reported by the UK’s North Sea Transition Authority (NSTA).
Carbon Tracker Associate Analyst and report author Lorenzo Sani said, “Blue hydrogen and Gas-CCS projects should not be considered low carbon unless, on top of achieving high carbon capture rates, they can guarantee to only utilise natural gas with low upstream emissions. Green hydrogen, produced from renewable electricity, remains the only truly low-emission pathway.”
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