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Putting CO2 to Use: Creating Value from Emissions Technical analysis CO2 avoidance cost, a range of USD 50 to USD 300 per tCO2 sequestered was found in literature (Sanna et al., 2014). Early opportunities involve materials with low processing costs and locations where low-cost CO2 and suitable waste streams exist in close proximity to potential consumers of building materials. The first markets are likely to emerge in places where these conditions exist as well as where costs of waste disposal are high. Currently, the European Union is attractive from this perspective. Regions producing aluminium are also promising because of their scale and tightening regulations on so-called “red mud” waste. An example of a company exploiting early opportunities is Carbon8 (Box 10). Box 10. Commercial building materials from waste: The case of Carbon8 Formed in 2006, the British company Carbon8 is among the global leaders making building materials out of industrial waste and CO2. Today, the firm is operating two commercial carbonation plants producing lightweight aggregates from municipal air pollution control (APC) residues in the United Kingdom. Both plants are located next to a concrete manufacturer that uses the Carbon8 product in dense and medium-dense aggregate blocks. The company’s business model is based on two streams of revenue: a fee for waste treatment and the sale of its product. Carbon8’s material is reportedly three times less expensive than most other recycled aggregates (Alberici et al., 2017). On an annual basis, the plants collectively use around 5 kt of high purity CO2 to convert 60 kt of APC residues, which would otherwise be treated and disposed to landfill or stored in salt caverns. If cheaper CO2 (with lower purity levels) was available, even more wastes could be processed economically with the company’s technology, such as cement dust and steel slag. The energy consumed across the value chain is relatively small, due to the short transport distances and little need for pre-treatment. According to Carbon8, the process fixes more CO2 in the aggregate than it emits over its life cycle, resulting in the first carbon-negative aggregate on the market (Carbon8, 2019). The company aims to have five to six plants in operation by 2021, using around 19 kt/yr of CO2. It may be challenging to find sufficient material to process in the near future as most companies producing these materials are under contract with waste companies. In addition, local policies restrict plant output capacity to 30 kt/yr, while EU waste regulations forbid the use of certain waste streams in commercial products (Alberici et al., 2017). These barriers could seriously delay the company’s growth plan. Can building materials from waste deliver climate benefits? The permanent storage of the carbon in the building material is a major contributor to the low life-cycle emissions in comparison to those of conventionally produced aggregates. While not all CO2 used is locked up in the carbonate product, the cost of the CO2 input encourages recycling of unreacted CO2. This means that the vast majority of the CO2 input is sequestered. The overall CO2 emission reductions depend particularly on the energy consumption for the PAGE | 61 IEA. All rights reserved.PDF Image | Putting CO2 to Use Creating value from emissions
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