The feasibility study, commissioned by Hafslund and the City of Oslo, was presented at Oslo City Hall and handed over to Anita Leirvik North (Conservative Party), Vice Mayor for Business and Culture, and Knut Inderhaug, former CEO of Hafslund Celsio.

The feasibility study was prompted by Oslo’s target of reducing greenhouse gas emissions by 95 percent by 2030. Carbon capture and storage (CCS) at Hafslund’s waste incineration plant at Klemetsrud, which accounts for 19 percent of Oslo’s fossil CO2 emissions, will play a key role in achieving this goal.

Norway’s Green Valley?

Could the carbon capture project lead to more than reduced greenhouse gas emissions? Could a carbon capture facility also mark the beginning of a green industrial success story for Oslo and the transformation of the Søndre Nordstrand district and the region into Norway’s Green Valley?

Together with the City of Oslo, Hafslund Celsio has sought to explore the business and societal opportunities that the carbon capture project could create.

In March 2023, a feasibility study was launched to assess the potential for and interest in an industrial cluster for carbon capture, utilisation and storage (CCUS), with the working title Oslo CCUS industrial cluster.

The feasibility study has examined the following in greater detail:

• What business and societal outcomes can a CCUS industry cluster deliver?
• What should the business cluster’s focus and direction be, and what should its main priorities be?
• What projects would be natural for a potential business cluster to start with?
• Which companies and stakeholders would like to participate in further development efforts to establish a business cluster?
• How should the cluster collaboration be positioned and communicated to engage businesses and the wider community?

Assessments and recommendations in the feasibility study:

• Overall assessment: The Oslo CCUS business cluster has significant potential, but based on the findings of this feasibility study, it is currently difficult to quantify the rationale in terms of value creation, new jobs, new businesses and societal development. This is partly because CCUS as an industry is at a very early and somewhat immature stage, and partly because the cluster project still needs to be further developed into a concrete business plan.
• Economic potential: The Oslo CCUS business cluster has significant economic potential, although this potential cannot be quantified at this time.
• Societal potential: There is clearly societal potential in establishing the Oslo CCUS business cluster. The extent of this potential will depend on the further development of the cluster, its companies and the market, as well as how public authorities—particularly the City of Oslo—help create favourable conditions.
• Expected outcome: The feasibility study demonstrates that the opportunities are significant. If the CCUS companies collaborate on business and market development, and the City of Oslo and the Søndre Nordstrand district help facilitate access to land, infrastructure, and collaboration with education and research communities, this will generate results in the form of increased value creation, export revenues, more jobs and businesses, population growth, and greater attractiveness as a business location.