Event summary
On June 10th, AFEN and RMI onvened industry leaders, sustainability professionals, investors, regulators, and policymakers to delve into a critical question: How do we leverage existing heavy industries to advance and scale carbon removal? The discussion took place in Paris at the Herbert-Smith-Freehills office and built upon the insights of RMI's recent report, Seizing the Industrial Carbon Removal Opportunity, providing a platform to explore both the compelling business case and real-world examples of industrial carbon removal (CDR).
Convening over 80 participants, the event gathered representants of large industrial players as Stellantis, Renault, Veolia, Arcelor Mittal, Suez, Schneider Electric… It began with a high-level overview presented by Cara Maesano, emphasizing that gigaton-scale carbon removal , essential for meeting global climate targets and addressing carbon budget debts by 2050, demands vast physical resources – billions of tons of rocks, immense water volumes, and hundreds of terawatts of energy. Heavy industries, by leveraging their existing waste streams, infrastructure, and underutilized assets, are uniquely positioned to capitalize on their capacity and experience to provide these resources. The presentation highlighted that industries stand to gain significantly from supporting projects or integrating them directly into existing processes and value chains, anticipating new revenue streams, reduced waste management costs, improved regulatory compliance, and a competitive edge.
Following this, Alexandre Marty, Head of Climate and Natural Resources at EDF, France's leading energy company, shared their strategic approach to decarbonization. Committed to a 2050 net-zero target and managing 90 MtCO2 emissions, EDF emphasized the critical challenge of defining the optimal mix between emission reductions and carbon capture and removal. Their perspective highlighted the interplay between corporate strategy, climate goals, and broader planetary boundaries (e.g., the water cycle). EDF views CDR as required to go beyond negative emissions, providing additional benefits and avoiding new risks, recognizing their significant R&D capacity and energy supply as key enablers for scaling technologies like Direct Air Capture (DAC).
A subsequent panel discussion moderated by Caroline Thaler of Bloomineral, featured insights from Jean-Luc Reboul, from ArcelorMittal (steel manufacturer) and Malik Kerkar, Carbon Projects Director at Suez (waste management company). The participants further illuminated the interest and action in diverse pathways and challenges for heavy industry's engagement with CDR:
- Bioenergy with carbon capture and storage (BECCS) : ArcelorMittal detailed its interest in integrating bioenergy into steelmaking, including using biomass plantations and waste wood torrefaction to substitute natural gas. Suez highlighted the strategic importance of incineration for renewable energy from both fossil and biogenic sources, emphasizing a large UK capture project (900 ktCO2/year) as part of an industrial cluster, while noting the high logistical costs for dispersed biogenic CO2 sources in France.
- Alkaline Waste Valorization: This discussion revealed substantial potential. ArcelorMittal highlighted the use of blast furnace slags (where CO2 is already removed) as valuable clinker substitutes in cement, and the carbon capture potential of steel slags. Suez, a major demolition waste manager, focused on the potential for mineral carbonation of construction/demolition waste using biogenic CO2. The immense, yet less mature, potential of mineral ore concentration residues from mining was also noted. Challenges include the economic viability for low-value aggregates and the strategic decision of becoming a carbonator versus a biogenic CO2 supplier.
- Biochar : ArcelorMittal discussed biochar's potential to substitute fossil carbon in steelmaking, acknowledging limits such as ash content in plant waste. Suez, while not purchasing carbon credits yet but an active biochar developer, expressed strong conviction in biochar from residual biomass (e.g., sawmill residues), emphasizing its dual use for sequestration (return to soil, construction materials) and industrial defossilization. Hybrid models combining valorization and carbon sinks were envisioned, with ambitions to reach 1 Mt by 2035, driven by complementary revenues beyond just carbon credits.
The panel and subsequent Q&A also addressed critical cross-cutting challenges and opportunities:
- Need for Investment & Market Depth: Large investments in CDR projects necessitate long-term off-take agreements in a nascent market. The role of public funding and incentives alongside significant purchases of CDR credits is crucial to de-risk projects, as the market is not yet mature, emphasizing the "first mover" advantage for buyers like Microsoft and Google.
- Policy and certification : Complexities surrounding international project certification (e.g., UK/Canada vs. EU standards) and the interplay between EU climate objectives (like ETS) and new market mechanisms were discussed.While there is some significant progress on the European side, more engagement is needed at regional and national levels.
- Resource Optimization: The importance of focusing on waste biomass and optimizing resource use to avoid competition with other industries was underlined. This is where decades of experience from the large industries can help to progress faster.
- In-House Development Opportunity: The discussion stressed that as carbon costs rise and a supply crunch for durable offsets looms, opportunities exist for heavy emitters to develop their own in-house CDR programs. This provides control over costs and secures access to removals, reducing reliance on third parties. This is where early involvement and active engagement with the innovator in the CDR space are critical.
- The Climate Imperative: The overarching consensus was that integrating CDR is a necessary climate solution fundamentally dependent on heavy industries, presenting a unique chance for them to lead and make a transformative difference.
Conclusion:
The event clearly underscored a consensus: scaling carbon removal to meet global climate goals is inextricably linked to heavy industry. From providing essential resources and infrastructure to transforming waste into value and leading technological de-risking, heavy industry will be an indispensable partner for CDR. Additionally, CDR represents a unique opportunity for industrial players to stand ready for climate progress, advance innovation and strategically support their business.
While challenges in investment, policy harmonization, and technical integration persist, the commercial imperatives and the critical climate imperative are now undeniable. Continued collaboration across industry, policy, and finance is essential to unlock this vast opportunity and accelerate global decarbonization efforts.
RMI Rocky Mountain Institute (RMI) is an independent, nonpartisan nonprofit founded in 1982 that transforms global energy systems through market-driven solutions to secure a prosperous, resilient, clean energy future for all. In collaboration with businesses, policymakers, funders, communities, and other partners, RMI drives investment to scale clean energy solutions, reduce energy waste, and boost access to affordable clean energy in ways that enhance security, strengthen the economy, and improve people’s livelihoods. RMI’s Carbon Dioxide Removal Initiative is dedicated to advancing innovation, deployment, policy, and markets for high quality CDR.
