Referral of the proposed subsidy for the Viking Carbon Capture, Utilisation and Storage (CCUS) Development Fund by the Department for Energy, Security and Net Zero
The Subsidy Advice Unit (SAU) has accepted a request for a report providing advice to the Department for Energy, Security and Net Zero (DESNZ) concerning its proposed subsidy for the Viking CCUS Development Fund.
Administrative timetable
| Date | Action |
|---|---|
| 16 April 2026 | SAU’s report to be published |
| 18 March 2026 | Deadline for receipt of any third-party submissions |
| 3 March 2026 | Beginning of reporting period |
Request from DESNZ
3 March 2026: The SAU has accepted a request for a report from DESNZ concerning the proposed subsidy for the Viking CCUS Development Fund. This request relates to a Subsidy of Particular Interest.
The SAU will prepare a report, which will provide an evaluation of DESNZ’s assessment of whether the subsidy complies with the subsidy control requirements (Assessment of Compliance). The SAU will complete its report within 30 working days.
Information about the subsidy provided by DESNZ
Carbon capture, usage and storage (CCUS) is the process of capturing carbon dioxide (CO2) and permanently storing it safely underground where it cannot enter the atmosphere. It is an essential and critical means for achieving our legally binding 2050 Net Zero target. The Department for Energy Security and Net Zero is responsible for the CCUS programme.
In July 2023, the Acorn cluster in Northeast Scotland and the Viking cluster in the Humber were selected by Government as the next two clusters to take forward in the CCUS programme. In the Spending Review 2025 funding was made available to the Department to support Acorn and Viking with further development.
This referral concerns the proposed subsidy for the development of the Viking cluster in the Humber which looks to provide financial support to Chrysaor Production UK Ltd, who are owned by Harbour Energy plc and are currently acting as the Viking Transport & Storage developer. The subsidy is a direct grant award designed to assist Chrysaor Production UK Ltd in order to de-risk and progress the cluster proposal. The subsidy is anticipated to commence in April 2026 and run for a 2.5 year period.
A Grant Funding Agreement will detail a set of eligible expenditure as well as a set of deliverables that the project is expected to deliver over the funding term. The grant will pay out on actual costs that have been incurred and defrayed, based on an evidenced claim submitted by the beneficiary to the Department, in line with the payment requirements of the Grant Funding Agreement. Financial support will be time-limited.
Information for third parties
If you wish to comment on matters relevant to the SAU’s evaluation of the Assessment of Compliance concerning the Viking CCUS Development Fund, please send your comments on or before the date stipulated in the timetable above. For guidance on representations relevant to the Assessment of Compliance, see the section on reporting period and transparency in the Operation of the subsidy control functions of the Subsidy Advice Unit.
Please send your submissions to us at sau@cma.gov.uk, copying the public authority: ccustrack2@energysecurity.gov.uk.
Please also provide a contact address and explain in what capacity you are making the submission (for example, as an individual or a representative of a business or organisation).
Notes to third parties wishing to make a submission
The SAU will only take your submission into account if it can be shared with DESNZ. The SAU will send a copy of your submission to DESNZ together with its report. This is to allow the public authority to take account of the submission in its decision as to whether to grant or modify the subsidy or its assessment. We therefore ask that you provide express consent for your full and unredacted submission to be shared. We also encourage you to share your submission directly with DESNZ using the email address provided above.
The SAU may use the information you provide in its published report. Therefore, you should indicate in your submission whether any specified parts of it are commercially confidential. If the SAU wishes to refer in its published report to material identified as confidential, it will contact you in advance.
For further details on confidentiality of third party submissions, see identifying confidential information in the Operation of the subsidy control functions of the Subsidy Advice Unit.
Contacts
- SAU project team: sau-vikingccus@cma.gov.uk
- CMA press team: 020 3738 6460 or press@cma.gov.uk