The news that the costs to build another carbon capture and storage (CCS) facility, perhaps at Shand Power station, has decreased significantly has many in the southeast hoping that it will turn to reality.
"That is fantastic news that the cost of CCS has decreased so dramatically," shared Jackie Wall, Executive Director of the Estevan Chamber of Commerce. "It was great to see a feasibility study in that area and exactly how much the costs savings. With a new technology, you always do realize cost savings when you're beyond the first unit and you've got your testing underneath you and you've worked out the bugs of your first build."
The cost savings to build a new CCS facility would be around 67% less than what was spent at Boundary Dam 3.
However, there are no immediate plans to add CCS to Shand and the demand for CO2 in the oil and gas industry is down.
"It still remains to be seen whether it is feasible to not only build but to maintain a carbon capture facility but I know SaskPower has talked about extending CCS to some of the other units."
"The study is fantastic, that news is great. I do not know if there is a business case to extend CCS to one of the other units. I believe SaskPower hopes that there is."
Details could be forthcoming when SaskPower President and CEO, Mike Marsh visits Estevan on December 6th for a Chamber Luncheon.
"I am very certain he will have SaskPower's perspective on the report and if it is at all feasible at this time to start another carbon capture project with the market conditions the way that they are."
"They do have a little bit of time though. The CCS would have to be functioning by 2029 according to the current federal legislation so there is a little bit of time for them to do their case study and see if the market conditions are going to be conducive to building that."