Modelling undertaken by DECC suggests that, when commercially available, the incentive required to install CCS, either as retrofit or on new power stations, is a carbon price of €40-60/tCO2, although there is significant uncertainty surrounding this range. The commercial availability of CCS is not expected to be achieved before 2020 following successful full-scale demonstration.
Retrofitting carbon capture and storage in 2010 or 2015 would mean deploying the technology before it had been demonstrated at full-scale, and therefore the cost and performance of the technology would be uncertain. Moreover, energy companies are likely to require a significant risk premium for investing in unproven technology.