Carbon Capture and Storage (CCS) is a technology that helps tackle climate change by capturing carbon dioxide (CO₂) emissions from industrial processes—like cement and steel production—and storing them safely underground, instead of releasing them into the atmosphere.
CCS is essential for achieving net zero, particularly in sectors that are hard to decarbonise. The UK Climate Change Committee has described CCS as ‘a necessity, not an option.’
With its vast offshore geological storage potential and its existing energy infrastructure, Scotland is uniquely positioned to lead on CCS—supporting climate goals, strengthening energy security, creating skilled jobs, creating inward investment potential, and opening up new commercial opportunities across the UK and Europe.
How it works
CCS captures carbon dioxide (CO₂) from industrial sources and stores it safely underground to prevent it from entering the atmosphere. The process has five key stages:
- Capture: CO₂ is separated from other gases at industrial sites like cement and steel plants.
- Transport: The CO₂ is compressed into a fluid and moved by pipeline or ship to offshore storage sites.
- Storage: The CO₂ is injected deep beneath the seabed into porous rock formations such as depleted oil and gas reservoirs.
- Secure Containment: The CO₂ fills tiny spaces in the rock and is trapped by layers of caprock, which prevent it from migrating upward. Monitoring makes sure any migration is understood.
- Monitoring and Assurance: Monitoring is a standard part of all CCS projects. It takes place throughout the lifetime of the site to ensure the long-term integrity of storage.
Why Scotland?
Scotland is exceptionally well placed to lead in CCS.
Abundant Natural Storage
Scotland has vast geological formations beneath the North Sea, holding as much as two-thirds of the UK’s estimated 78 gigatonnes of CO₂ storage capacity.
Circular Economy
Around half of Scotland’s storage sites are within 15km of existing seabed pipelines, which can be reused to transport CO₂— reducing environmental impact.
Skilled Workforce
Scotland’s oil and gas expertise provides a strong foundation for creating high-quality jobs in the CCS sector and facilitating a Just Transition.
Economic Opportunity
Scotland’s natural assets and infrastructure offer the potential to become a hub for CO₂ storage, serving the UK and Europe, and positioning Scotland as a global leader in climate solutions.
Leveraging CCS potential enables critical emissions reductions while attracting inward investment from new industry, boosting energy resilience, and offering commercial CO₂ storage to international partners.
How we contribute
As managers of Scotland’s seabed, we oversee access and leasing for CCS and associated infrastructure. We manage seabed property rights for CCS and associated pipeline transportation from 0-200 nautical miles by virtue of the Energy Act 2008 and Scottish Crown Estate Act 2019.
We work closely with the regulator/licensing authorities. Within the 0-12 nautical mile limit, licensing powers for CO2 storage are held by Scottish Ministers. In the 12-200 nautical mile range, the North Sea Transition Authority (NSTA) is the licensing and permitting authority for offshore carbon dioxide appraisal and storage licences.
Strategic roles
Our Corporate Plan sets out our 4 roles: Investor, Asset Managers, Co-ordinator, Enablers.
For CCS, we act primarily as:
- Asset Manager - Managing responsible access to the storage resource property rights, and potential interactions such as between CCS and offshore wind projects
- Enabler - Collaborating with industry, government and relevant agencies, contributing to key stakeholder groups, and supporting policy delivery with Scottish Government and DESNZ, providing evidence and financial support for projects that de-risk and foster understanding of CCS opportunities.
Sustainable stewardship
We seek to maintain and enhance the value of the seabed in a way that will contribute to the improvement of Scotland in economic development regeneration, social wellbeing, and environmental wellbeing.
Enabling work
We fund targeted research and technical studies to fill knowledge gaps and support the safe, efficient development of CCS in Scotland. These projects have so far explored subsurface safety, economic value, and re-use of legacy infrastructure:
PhD - Reframing the value case for CCS - Evidence on the Economic Value Case for CCUS in Scotland and the UK, helping to build a stronger case for investment and policy support. Read the technical report
PhD - Differentiating legacy wellbores in the scottish north sea using multi-criteria decision analysis– Development of a scalable, systematic method to prioritise legacy wells for CCS risk assessment beyond site-specific evaluations. Read the study
Stakeholder engagement
Crown Estate Scotland plays an active role in shaping the future of carbon capture and storage (CCS) through close collaboration with government, industry, and research partners.
We contribute to and fund enabling work on co-location through the Offshore Wind and Carbon Capture and Storage (CCS) Colocation Forum (Colocation Forum) - established following a recommendation from the CCUS & Offshore Wind Overlap Study. The Forum supports research into the technical and non-technical challenges and opportunities of colocating CCS and other offshore activities across Scotland and the wider UK.
Current projects include:
- Project Colocate: A technical two-part study assessing issues affecting the colocation of CCS projects with Offshore Wind projects on the UK Continental Shelf. Conclusions expected Autumn 2025.
Leasing
To develop carbon storage opportunities under the seabed, developers must apply and obtain both a carbon storage licence from the NSTA, and a seabed agreement from CES. These agreements secure the necessary property rights and, if successful, allow developers to proceed to lease.
An initial agreement grants exclusive rights and provides a pathway to a full Lease, which will be granted once pre-conditions are met – such as securing relevant consents and award of a Storage Permit from the NSTA. CES is working in partnership with the NSTA to improve alignment of licensing and leasing activities.
Round 1
In 2023, NSTA administered their first carbon storage licensing round, resulting in licences being offered for six areas in Scottish waters to the ‘Round 1 Licensees’. All carbon storage developments require both a license from the NSTA and a lease from CES.
CES is currently administering in parallel a due diligence process with these Round 1 Licensees.
Further Leasing
CES is currently working closely with the NSTA to launch the UK’s first Joint Licensing and Leasing Round.
This joint approach is streamlining the process in response to developer feedback to reduce duplication and provide greater certainty for developers.
The NSTA invited nominations of areas that developers are interested in appraising for carbon storage. This process concluded on 31 July 2025 and will support the launch of another round in Autumn 2025 with awards in 2026 (indicative timescales as of August 2025).
More information will be published in advance of the round launch.
General enquires about accessing seabed rights for carbon dioxide and gas storage should be sent to marine@crownestatescotland.com.