At present, there are two contradictions in the iron ore market

The European Commission recently approved a€3 billion(approximately USD 3.21 billion)Swedish carbon capture and storage(CCS)support program aimed at driving Sweden towards its net zero carbon emissions target by 2045.

According to the plan,this funding will be specifically used to fund projects that can permanently capture and store CO2 emissions from biomass factories.These factories use renewable wood and other waste to produce fuel,electricity,and heat.This move aims to establish CCS as an effective means of addressing climate change.

The European Commission hopes to boost investor confidence,reduce the cost of future CCS technology,and further promote the development of the CCS industry across the EU by funding this technology.

The participating companies in the plan will be screened through a competitive bidding process,and the first auction is expected to be held later this year.In order to qualify for funding,the company must operate in Sweden and its emissions of biogenic CO2(derived from organic matter)must be able to capture and store at least 50000 tons annually through the project.

The selected company will receive funding based on a 15 year contract for each ton of permanently stored biological CO2.The funding amount will be adjusted accordingly based on the potential income of the project,such as the benefits of voluntary carbon removal certificates and any other public support received by the project.

According to the European Commission,the plan will continue until December 31,2028.This project aims to greatly assist Sweden in achieving its ambitious goal of reducing greenhouse gas emissions by 85%by 2045 through large-scale capture and storage of biological CO2.

This move not only helps Sweden reduce its emissions to 1990 levels,but also provides support for the EU to achieve its 2050 climate neutrality goal.

The plan has been approved in accordance with EU state aid rules,particularly in compliance with Article 107(3)(c)of the Treaty on the Functioning of the European Union,which allows member states to provide support for economic activities under specific conditions.In addition,the Guidelines for National Assistance in Climate,Environmental Protection,and Energy also provide a framework for member countries to subsidize measures to reduce or eliminate CO2 emissions.