Scotland hatches its own carbon capture deal

Scottish and Southern Energy has struck an agreement with Shell UK to develop a carbon capture and storage project at SSE’s gas-fired power station in Peterhead.

Four-year negotiations between Scottish Power, Shell and the UK’s Department of Energy and Climate Change to develop a £1 billion demonstration CCS project at Longannet, Fife, collapsed in October over the project’s commercial viability. This has sent the UK government back to the drawing board on its CCS plans.