CO2 emissions permit for Statoil's combined heat and power plant at

CO2 emissions permit for Statoil's combined heat and power plant at Mongstad:

The CO2 emissions permit for Statoil's combined heat and power plant at Mongstad is pursuant to the Act of 13 March 1981 concerning protection against pollution and concerning waste (the Pollution Control Act) no. 6 § 11, cf. § 16. The permit is issued on the basis of information supplied in the application dated 30 June 2005, plus information emerging during assessment of the application.

The permit applies to energy production in the cogeneration plant with installed gas-fired effect of approx. 800 MW (producing approx. 350 MW heat and approx. 280 MW electric power).

Conditions

  1. Statoil is issued the permit as sought for CO2 emissions from the proposed cogeneration plant at Mongstad. Until a full-scale CO2 treatment system is in place, the following emission limits apply to the cogeneration plant: 1.3 mill. tonnes CO2 per year.
  2. Full-scale management of CO2 from the cogeneration plant must be established by the end of 2014.
  3. Work on setting up and implementing CO2 capture from the cogeneration plant is to start immediately after the permit has been issued. Implementation of the capture facility is to proceed in parallel with the construction of the cogeneration plant. The first stage of CO2 capture from the cogeneration plant is to be put into operation at the same time as the start-up of the plant. From this point in time at least 100,000 tonnes of CO2 per year must be captured. Captured CO2 must not be released into the atmosphere.
  4. By the first quarter of 2009 a contract is to be drawn up for full-scale treatment of CO2 from the cogeneration plant. In 2012, based on experience from the first stage, a detailed plan is to be submitted to the Norwegian Pollution Control Authority, including a technical solution for the second stage, i.e. establishment of full-scale management of CO2 for the cogeneration plant. Investment decisions must be taken in the course of 2012, whereupon implementation of the project is to begin immediately.
  5. Points 2, 3 and 4 are to be implemented in accordance with the contract between Statoil and the government through the Ministry of Petroleum and Energy ("Implementation Agreement").
  6. By the end of 2008 Statoil is to submit to the Norwegian Pollution Control Authority a comprehensive plan for establishing full-scale treatment of CO2 for the major emissions sources (the cogeneration plant, cracker and reformer units) at Mongstad.
  7. Statoil is to prepare for CO2 capture from the cogeneration plant, and also from the reformer and cracker units at the refinery, by constructing the necessary junctions between the CO2 capture facility and the emissions sources.
  8. The government undertakes to contribute economically to the establishment of full-scale treatment of CO2 from the cogeneration plant at Mongstad, cf. the Implementation Agreement. The conditions specified in this permit are based on the assumption that the state will contribute in accordance with the contract.
  9. The permit applies from the moment a binding implementation agreement is contracted between Statoil and the government through the Ministry of Petroleum and Energy.

Right of appeal
This decision can be appealed to the King in Council by those concerned or by legitimate interested parties within three weeks of notification of the decision or from the time at which those concerned were aware or should have made themselves aware of the decision. Any appeal must indicate the nature of the complaint and the change or changes desired. The appeal should state the reasoning behind the action, and any additional relevant information should be mentioned. The appeal should be sent to the Ministry of Environment.

An appeal will not automatically lead to any delay in implementing the decision.