Apley: Upfront lifecycle emissions accounting heavily reduces sellable early DAC volume
Andreas Apley · DAC’s bumpy road to commercial scale · Oct 3, 2024 · at 14:29
Climeworks CFO Andreas Apley discusses the financial impact of carbon removal certification rules during initial plant commissioning.
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“The way that certifications work today is you deduct all of the life cycle emissions that exist for the construction of the plant as well as for the operation of the plant, the energy that you use, et cetera. And we could predict some of these, but others required really deep due diligence with our suppliers and Others also require that when you start up a plant, it's not going to be as efficient right away, but your, the deduction of the life cycle emissions that you have to make, that kicks in on day one. So in the beginning, you're also going to have a high percentage of, much higher than in the, over the lifetime, you're going to have a high percentage of life cycle emissions that you have deduct every month and that you can't really sell.”
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