Unlocking Norway’s Potential for CO₂ Removal in the 2026 State Budget

To meet our climate goals, we must not only reduce emissions — we also need to remove CO₂ from the atmosphere. The scientific consensus is clear: rapid emission cuts are essential but insufficient on their own. Durable carbon dioxide removal (CDR) is needed to address residual and historical emissions, and to reverse a likely temperature overshoot.

Norway is uniquely positioned to lead on CO₂ management, having already shown critical leadership through the Hafslund Celsio bio-CCS project and Heidelberg Materials’ Brevik CCS plant, as part of the full-scale CO₂ value chain developed under Longship. As highlighted in the recent Nordic Carbon Removal Association (NCRA) report, abundant geological storage, low-carbon energy, CO₂ transport infrastructure, unused waste heat, and a highly skilled workforce create a world-class foundation for CDR.

Projects are ready to break ground, but a critical element is missing: ambitious, robust, and predictable policy support that provides the long-term certainty investors need. The 2025 budget agreement rightly committed to designing a support scheme for CO₂ removal — the 2026 budget must now deliver it.

Other countries — from Sweden and Denmark to Japan and Canada — are already moving ahead with policies ranging from competitive auctions and contracts for difference to tax incentives and public procurement. For instance, Sweden has allocated NOK 38 billion for bio-CCS, and Denmark has set aside NOK 60 billion for CO₂ management. Norway should adopt a similar approach, underpinned by high-quality standards and a portfolio of CDR methods such as bio-CCS, direct air capture, and biochar.

We urge the government and Parliament to use the 2026 state budget to establish a well-funded, long-term mechanism that kick-starts deployment now and builds a sustainable Norwegian market for high-quality CO₂ removal. Acting decisively this year will cement Norway’s innovation, climate, and market leadership for decades to come.

Signed by Carbon Gap, Zero, the Nordic Carbon Removal Association, Inherit, Hafslund, Elkem and Carbon Removal.