21.01.2026 – Carbon dioxide removal technologies are becoming increasingly important for climate action, but their differing storage times matter for policy design. A new study published in Environmental and Resource Economics by the Potsdam Institute for Climate Impact Research (PIK) provides guidance based on economic principles. While non-permanent carbon storage plays a valuable role as economies transition away from fossil fuels, its contribution is less valuable than permanent storage; this should be reflected in carbon pricing schemes that aim to incentivise the ramping-up of removals.
Oh, I agree fully about the focus on phasing out fossil fuels. My impression was that the article argued that it was a temporary method and therefore less valuable than other methods of capturing and storing carbon in terms of offsetting/a carbon credit system.
Oh, I agree fully about the focus on phasing out fossil fuels. My impression was that the article argued that it was a temporary method and therefore less valuable than other methods of capturing and storing carbon in terms of offsetting/a carbon credit system.