The Growing Market for CCUS and E-Waste
Key Insights
The carbon capture, utilization, and storage (CCUS) and electronic waste (e-waste) industries are likely to benefit under the climate friendly policies of the Biden/Harris administration.
The global CCUS market size may grow from $1.6 billion in 2020 to $3.5 billion by 2025.[1]
Biden plans to spend $2 billion in sectors including infrastructure and clean energy to spur economic recovery. Industrial production methods need to be reconfigured to meet global climate goals, and CCUS is a major part of the solution.
E-waste is the world’s fastest growing and most toxic waste stream and only 20% of e-waste is currently recycled,[2] though nearly 100 percent is recyclable.[3]
By recycling 1 million cell phones, more than 35,000 pounds of copper, 33 pounds of palladium, 772 pounds of silver, and 75 pounds of gold can be recovered.[4]
The global e-waste market generated $42.0 billion in revenue in 2019, and it may reach $102.6 billion by 2027, growing at a CAGR of 11.9%.[5]
Market Overview
The overall global CCUS market size may grow from $1.6 billion in 2020 to $3.5 billion by 2025, at a CAGR of 17.0% during the forecast period.[6] The growth of the CCUS market is attributable to the presence of new and existing high-capacity production plants, and to the global increase in energy demand. The CCUS market includes chemicals, natural gas processing, fertilizer production, power generation, and others. Of these, the largest segment is natural gas processing, which represented 47.3% of the market in 2019.[7] CCUS can also produce industrious materials such as cement, steel, and plastics from upcycled carbon. Global demand for cement may increase 12-23% by 2050.[8] Major global players in CCUS include Fluor Corporation, ExxonMobil, Carbon Engineering Ltd., ANDOC Group, and Equinor.
The e-waste industry will likely also benefit under the Biden/Harris administration. The global e-waste management market generated $42.0 billion in revenue in 2019, and it may reach $102.6 billion by 2027, growing at a CAGR of 11.9%.[9] Top players include Aurubis AG, Umicore, Sims Metal Management Limited, Boliden, and Stena Metall Group.
Industry Drivers
CCUS may thrive not just in the U.S., but also globally. Sovereign nations are implementing strict action plans to eliminate the problem of carbon emissions, normalize climate change, and identify renewable sources of energy. In 2015, 196 parties adopted the Paris Agreement, a legally binding international treaty on climate change.[10] Although the U.S. formally withdrew from the Agreement in 2020, Joe Biden rejoined the accord in the first few days of his presidency. [11]
World Bank Group President David Malpass notes that “Making the right investments now is vital both to support the recovery when it is urgently needed and to foster resilience.”[12] In accordance with this vision, Joe Biden has extensive plans to rebuild the U.S. economy. “Build Back Better” is Biden’s comprehensive plan for economic recovery and creating jobs for working-class families. The plan outlines a national effort aimed at creating jobs to build a “modern, sustainable infrastructure now and deliver an equitable clean energy future.”[13] Biden plans a $2 trillion accelerated investment over four years into infrastructure, the power sector, and other industries. This investment will drive demand for industrious materials such as cement, steel, and plastics that can be produced by capturing and recycling carbon. CCUS companies should take advantage of imminent policy changes that will positively impact their businesses by applying for government and university grants, and by seeking capital investments from both public and private players. In April 2020, the U.S. Department of Energy announced $131 million in funding for CCUS companies for research and development (R&D) projects through a new funding opportunity announcement (FOA). Companies can apply for funding through the Office of Energy Efficiency & Renewable Energy (EERE). To learn more about the application process, please click HERE.
The rise of technologies such as the Internet of Things (IoT) led to the use of electronic devices in nearly every human activity. Consequently, the global electronics industry may grow 6% in 2021.[14] More electronic devices will lead to more electronic waste with potential to be recycled. Climate activists made governments aware of the environmental impact of improperly disposing of electronic waste, and now governments across the globe are implementing regulations and policies to effectively manage e-waste. For example, in India, the Ministry of Environment, Forests, and Climate Change mandated policies for recycling and reducing e-waste in the country.[15] Currently, only about 20% of e-waste is recycled, leaving significant room for growth in this increasingly relevant industry.
Upcoming Milestones
Joe Biden stated that he will be convening the leaders of major economies for a climate summit within his first 100 days in office.[16]
Periodic reports from the following climate authorities:
International Energy Agency (IEA)
World Economic Forum
U.S. Department of Energy
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