Wood Mackenzie reports that while project delays and policy hurdles slow progress, the global capacity for carbon capture, utilisation and storage is on track for a significant expansion, underpinning long-term decarbonisation efforts in heavy industry.
Wood Mackenzie says carbon capture, utilisation and storage is moving into a more execution-focused phase, with global capacity still on course for steep long-term expansion even as project delays, permitting bottlenecks and policy uncertainty weigh on the market.
According to the consultancy’s analysis, operational and planned CCUS projects could lift worldwide capture capacity from roughly 91 million tonnes a year today to about 3 billion tonnes annually by 2060. That outlook suggests the sector remains positioned as a major decarbonisation tool for industries that have few practical alternatives, particularly cement, steel and fertilisers.
The near-term picture is more uneven. Wood Mackenzie said capacity under construction rose 9% between the final quarter of 2025 and the first quarter of 2026, while projects in advanced development increased 23%. By contrast, early-stage development fell 7%, a sign that the market is becoming more selective and that the next phase will depend less on announcements and more on delivery.
That shift comes against a backdrop of persistent commercial and political friction. Permitting delays, public resistance to pipelines and storage sites, and the need for stronger state and federal incentives continue to slow momentum. Recent debate in Louisiana has underlined how carbon capture infrastructure can attract scrutiny even in regions with long-standing energy industry credentials.
Wood Mackenzie argues that the technology remains one of the few scalable routes available to heavy industry if the aim is to cut emissions without abandoning existing production processes. The firm also sees a larger role for CCUS in power, particularly for gas-fired generation paired with capture systems that can compete with other forms of dispatchable low-carbon electricity.
In its broader market work, Wood Mackenzie has said the gap between today’s project pipeline and the volumes needed for a 1.5C-aligned pathway remains substantial, and that coordinated policy support will be crucial if the industry is to bridge it. The company’s June webinar on the parallel growth of CCUS and carbon offsets made the same point, stressing the importance of carbon pricing, technology improvements and integrated market structures.
Corporate buyers are helping to sustain the sector, though cautiously. Wood Mackenzie said large technology groups have so far preferred to back carbon removal through credit purchases rather than direct investment in capture infrastructure. Google, Microsoft, Stripe, Salesforce and Anthropic were among the firms it identified as active in that market.
For industrial decarbonisation strategists, the message is clear: CCUS is not moving as quickly as early advocates hoped, but it is also not fading. Instead, the market appears to be maturing into a slower, more policy-dependent build-out that could still become a central pillar of long-term net-zero plans.
- https://pgjonline.com/news/2026/july/woodmac-ccus-growth-continues-despite-project-delays-policy-challenges – Please view link – unable to able to access data
- https://www.woodmac.com/events/carbon-synergy-growth-drivers-and-convergence/ – In June 2026, Wood Mackenzie hosted a webinar titled ‘The Carbon Synergy: Growth Drivers and Convergence for CCUS and Carbon Offsets to 2060’. The session explored the long-term outlook for carbon capture, utilisation, and storage (CCUS) and the carbon offset market, discussing key drivers, synergies, and challenges. Experts highlighted the importance of policy support, carbon pricing, and technological advancements in scaling CCUS and carbon offset initiatives to meet global decarbonisation goals. The discussion underscored the need for integrated strategies to achieve substantial growth in both sectors by 2060.
- https://www.woodmac.com/market-insights/topics/ccus/ – Wood Mackenzie’s ‘Market Insights’ section provides comprehensive information on carbon capture, utilisation, and storage (CCUS). It covers the historical context of CCUS, its potential applications across various industries, and the challenges hindering its widespread adoption. The section also presents numerical data on current and projected CCUS capacities, highlighting the significant gap between planned capacity and the levels required to align with a 1.5°C global warming scenario. The content emphasises the need for coordinated policy support and carbon pricing mechanisms to realise CCUS’s full potential.
- https://decarbonfuse.com/posts/woodmac-ccus-growth-continues-despite-project-delays-policy-challenges – An article from Decarbonfuse, dated July 10, 2026, discusses Wood Mackenzie’s analysis of the global carbon capture, utilisation, and storage (CCUS) sector. Despite facing challenges such as project delays, permitting issues, and policy uncertainties, Wood Mackenzie projects significant growth in global CCUS capacity, estimating an increase from approximately 91 million metric tonnes per year to about 3 billion metric tonnes annually by 2060. The article highlights the critical role of CCUS in decarbonising hard-to-abate industries and the importance of supportive policies and incentives to drive this growth.
- https://www.woodmac.com/blogs/energy-pulse/carbon-capture-continues-to-grow-despite-challenges/ – In a recent blog post, Wood Mackenzie discusses the ongoing growth of carbon capture, utilisation, and storage (CCUS) technologies despite facing challenges such as policy uncertainty and infrastructure constraints. The post highlights the essential role of CCUS in decarbonising hard-to-abate industrial sectors like cement, steel, and fertilisers. It also notes the potential for CCUS to contribute to low-carbon power generation, particularly in gas-fired plants. The article underscores the need for higher carbon prices and stronger policy support to accelerate CCUS adoption and achieve global decarbonisation targets.
- https://carboncapturemagazine.com/articles/wood-mackenzie-reports-ccus-growth-challenged-by-current-economics – An article from Carbon Capture Magazine, dated October 16, 2024, reports on Wood Mackenzie’s findings regarding the economic challenges facing the growth of carbon capture, utilisation, and storage (CCUS) technologies. Despite a growing market, the article notes that many potential projects are at risk due to economic factors. Wood Mackenzie projects a significant increase in CCUS capacity by 2050, but highlights that current market conditions pose challenges to realising this potential. The article emphasises the need for appropriate regulation and support to unlock further capacity and ensure the viability of CCUS projects.
- https://www.woodmac.com/news/opinion/future-of-ccus/ – In an opinion piece dated March 30, 2023, Wood Mackenzie explores the future of carbon capture, utilisation, and storage (CCUS), addressing five key questions that will define its trajectory. The article discusses the conditions necessary for CCUS adoption, the potential scale of the opportunity, and the risks to its growth. It projects a significant increase in carbon capture capacity by 2033, with initial growth expected in North America and the UK. The piece also highlights the importance of policy support, regulation, and funding in driving CCUS adoption and achieving global decarbonisation goals.
Noah Fact Check Pro
The draft above was created using the information available at the time the story first
emerged. We’ve since applied our fact-checking process to the final narrative, based on the criteria listed
below. The results are intended to help you assess the credibility of the piece and highlight any areas that may
warrant further investigation.
Freshness check
Score:
8
Notes:
The article was published on July 10, 2026, and references recent developments up to that date. However, similar analyses from Wood Mackenzie have been published in the past, such as the ‘CCUS: 5 things to look for in 2026’ report from January 2026 ([woodmac.com](https://www.woodmac.com/news/opinion/carbon-management-2026-outlook/ccus/?utm_source=openai)). This suggests that while the content is current, the underlying analysis may be based on earlier data.
Quotes check
Score:
7
Notes:
The article includes direct quotes from Wood Mackenzie reports. However, without access to the original reports, it’s challenging to verify the exact wording and context of these quotes. This raises concerns about the accuracy and potential for misinterpretation.
Source reliability
Score:
9
Notes:
The article is sourced from Wood Mackenzie, a reputable energy research firm. However, the publication date of the original reports cited is not specified, which makes it difficult to assess the timeliness and relevance of the data presented.
Plausibility check
Score:
8
Notes:
The claims about CCUS growth and challenges align with known industry trends. However, the article’s reliance on a single source without independent verification raises questions about the comprehensiveness and objectivity of the analysis.
Overall assessment
Verdict (FAIL, OPEN, PASS): FAIL
Confidence (LOW, MEDIUM, HIGH): MEDIUM
Summary:
The article presents information from Wood Mackenzie regarding CCUS growth and challenges. However, the reliance on a single source without independent verification, potential issues with the freshness and originality of the data, and the inability to verify the exact wording of quotes raise significant concerns about the accuracy and reliability of the content. Therefore, the article does not meet the necessary standards for publication.
