Unlocking BECCS viability through monetizing societal benefits by techno-socio-economic assessment

Abstract

Bioenergy with carbon capture and storage (BECCS) is considered a key technology for achieving the net-zero emissions target by simultaneously delivering net-negative emissions and usable energy. However, large-scale deployment remains limited due to its poor investment attractiveness. Traditional Techno-Economic Assessments (TEA), even when accounting for carbon credits revenue, show that BECCS systems are not financially competitive with conventional or renewable energy sources. This study introduces a Techno-Socio-Economic Assessment (TSEA) framework that integrates overlooked societal benefits, such as indirect emission displacement and job creation, by monetising them through the social cost of carbon (SC) and the opportunity cost of labour. A case study evaluates a wheat-straw-fuelled combined heat and power BECCS facility operating under three strategies: electricity and heat cogeneration, carbon credit maximization, and electricity maximization. Conventional TEA results show negative profitability (NPV = −$460 million) and reveal that carbon credit prices must exceed $240/tCO₂ for the levelized cost of electricity to reach parity with renewable energies. Under the TSEA framework, all configurations become profitable with the electricity-maximizing mode reaching an NPV of $2.28 billion. Sensitivity analysis highlights profitability's strong dependence on the assumed social cost of carbon, underscoring the uncertainty and policy sensitivity of BECCS economics. These findings underscore the need to recognize and monetise BECCS's full societal value. Future policies must determine who bears the cost of carbon damages and must establish mechanisms to ensure stakeholders are fairly compensated for the broader social benefits delivered by BECCS, thus fostering investment and enabling real-world deployment of this essential technology.