Remarks by Thomas Shope
Principal Deputy Assistant Secretary
Office of Fossil Energy
to the
Carbon Sequestration Leadership Forum
Stakeholder Meeting
United States Energy Association
March 13, 2007

Thank you Barry for your introduction: And thank you ladies and gentlemen for joining us here today.

I'd like to open my preview of the international Carbon Sequestration Leadership Forum's meeting in Paris later this month with a brief review of some recent and relevant developments.

Last week I delivered the first-ever testimony specifically on the Office of Fossil Energy's comprehensive Carbon Sequestration Program to a committee of the House of Representatives.

I was surprised to hear that the line for admission stretched down the hall and around the corner.

Now I can assure you that they weren't standing in line because I was a celebrity witness!

Today I experienced a similar feeling when I walked into this room.

The last such gathering was in USEA's conference room: And there were a few chairs to spare.

For this meeting, I understand that our colleagues at USEA had to change locations twice before finding a room large enough to accommodate the increase in requests to attend. Well I am pleased that you are all here, and I appreciate your interest.

This interest is among the signs, small and large, that say carbon dioxide capture and storage is an idea whose time is coming on - rapidly coming on.

Worldwide the understanding is taking hold:

• That atmospheric levels of CO2 cannot be stabilized in this or any other century unless key developing nations join in the effort;

• That stabilization will require reductions in CO2 larger than anything that can be achieved by all alternatives to fossil fuels combined;

• And, that the establishment and successful practice of capture and storage on a worldwide basis will be critical to stabilization.

Now entering its fifth year, the international Carbon Sequestration Leadership Forum, or CSLF for short, is dedicated to cooperation among developed and developing nations in making possible the worldwide establishment and successful practice of capture and storage.

Throughout the past year, under the leadership of Jeff Jarrett, the Forum refined its focus, aligning its effort to move forward in practical and constructive ways.

First, the Forum has recognized the value added by its stakeholders. At the Paris meeting, we have expanded the opportunities for stakeholder participation. The meeting has been restructured to allow for stakeholders to have meaningful opportunities to hear what is being said, to engage the participants and to be heard on the important topics covered in the forum.

As an intergovernmental organization, the CSLF will uphold its charter and respect the nature of government to government decisions and discussions but we recognize that stakeholder involvement will be critical in bringing about deployment and in achieving public acceptance and we look forward to their active participation.

Next, we have implemented a Strategic Plan which sets out goals; and we have instituted a system of reporting that will keep all interested parties informed of progress toward those goals. We have made a start on establishing in developing countries the capacity to engage in capture and storage.

We have established an Executive Committee comprised of the leadership of the Policy and Technical Groups in order to expedite Forum business between annual meetings.

Our meetings have been streamlined and simplified to increase efficiency and efficacy of the meetings while encouraging stakeholder involvement. This year's three-day meeting in Paris is the prototype for annual meetings to follow.

And finally, the CSLF is continuing to remain focused on the mission set forth in its charter:

To facilitate the development of improved cost-effective technologies for the separation and capture of carbon dioxide for its transport and long-term safe storage; to make these technologies broadly available internationally; and to identify and address wider issues relating to carbon capture and storage.

The adjustments that Jeff Jarrett set in motion mean the Forum is well grounded to proceed in Paris and after Paris.

We have a theme for this meeting: Overcoming Barriers to CCS Deployment.

The meeting will run three days from March 26th through March 28th on the simplified plan.

Monday the 26th will be a plenary meeting. Among the highlights will be Executive Director Claude Mandil of the International Energy Agency in a panel discussion with John Easton of Edison Electric Institute and Howard Herzog of MIT on overcoming barriers; and a seven-member panel on stakeholder perspectives - the perspectives of energy producer and environmental groups alike.

Tuesday the 27th will be an all-day workshop in which all aspects of capture and storage technology are discussed. Objectives are to identify opportunities in three areas ? in large scale deployment; in removing obstacles to deployment; and in closing gaps in knowledge or addressing critical issues.

A highlight of the second day will be remarks by Mike Morris, of American Electric Power, who will address the business case for CCS from an industry perspective.

On the final day - Wednesday - we will conduct the ongoing business of the Forum in separate meetings of the Policy Group and the Technical Group and then a joint meeting of the two. There is a possibility we will add two additional technical demonstrations to the 17 already recognized.

The Paris meeting will take place against a background of rising concerns about both the greenhouse gas CO2 and energy security.

Four climate change bills - maybe five by now - have been introduced in the United States Congress, and they call for the kind of reductions that can be met only if the other technologies are supported by capture and storage.

In Europe, they're talking about 20 percent reductions in the near term and a 30 percent reduction as a position for the next round of talks under the framework treaty. These reductions too are of a magnitude that will call for capture and storage.

Innovation and technology will be an item for discussion at the G8 meeting in Germany this June.

As the G8 Chair Ms. Merkel of Germany told the Financial Times newspaper last week: "We will not achieve our targets with today's technologies."

The G8's Gleneagles Plan of Action on Energy Security, Climate Change and Sustainable Development specifically recognizes the CSLF, and the Forum is cooperating with the International Energy Agency in holding workshops around the world.

There is a proverb that states that there is no force like an idea whose time has come.

Carbon, capture and storage is an idea whose time is rapidly coming on. The technologies, the concepts and the practices that will guide implementation worldwide will emerge from the cooperative activities of the CSLF.

I urge those here whose organizations have not been involved to consider taking part, and to do so as soon as possible.

As another proverb says, there's no time like the present.

What I'd like to do now is open this segment to discussion for the remainder of my time on the agenda.

Are there questions or comments?