The role of Direct Air Capture technologies in the EU’s decarbonisation effort: An analysis of the potential, cost-effectiveness, risks, investment needs as well as technological, economic, administrative and legal prerequisites and requirements

This study analyses the development, costs, future potential, and role of Direct Air Capture (DAC) and subsequent storage (DACCS) technologies in Europe’s decarbonisation strategy. While current costs are high and uncertain, DAC and DACCS are expected to become more economically viable through technological improvements and scaling. Given the environmental trade-offs of various CO₂ removal methods under development, including DACCS, a diverse portfolio will be needed. Our study shows that DAC and DACCS can play a key enabling role in achieving the EU’s net-zero targets — provided that clear policies, financial incentives, streamlined regulation, and sustained investment in R&D are in place, alongside access to affordable renewable energy, proximity to CO₂ storage sites, skilled labour, and shared infrastructure. This document was provided by the Policy Department for Transformation, Innovation and Health at the request of the Committee on Industry, Research and Energy (ITRE).