The Oil and Gas Climate Initiative (OGCI), Geneva Association and Clean Energy Ministerial CCUS Initiative have published a joint paper examining how clearer risk allocation and insurance arrangements could support investment in carbon capture and storage (CCS).

The report, 'Enhancing the Insurability of Carbon Management Projects', identifies four priorities: collaboration across sectors, clear regulation, assessment of risks across the entire CCS chain and explicit allocation of responsibilities.

It highlights the growing complexity of projects connecting multiple industrial emitters to shared transport networks and storage sites. These arrangements can reduce costs through economies of scale but introduce dependencies between operators, including exposure to delays or disruptions elsewhere in the chain.

For cement producers developing capture projects, the findings underline the importance of establishing contractual responsibilities across capture, transport and storage before financing arrangements are finalised.

Advertisement

“Carbon capture and storage will play an important role in reducing emissions from hard-to-abate sectors. With so many large-scale projects moving from concept to deployment, this is a timely paper on a critical issue. Enhanced risk management approaches can help build confidence, unlock investment and accelerate deployment. This collaboration highlights practical actions that can help make that possible,” said Bjørn Otto Sverdrup, Chair of OGCI’s Executive Committee. 

The authors advocate early engagement with insurers, improved sharing of technical data and clarity over monitoring and responsibilities after CO2 injection ends. Some risks may require contractual safeguards, financial assurance or public support rather than insurance.

The principles are non-binding and do not constitute a commitment to finance or insure individual projects.