From CCUS to Carbon Recirculation Technology.

Clean Energy and Water Technologies Pty Ltd (CEWT) From CCUS to Circular Carbon: Why Closed-Loop Systems Are the Endgame for Net-Zero Infrastructure Carbon Capture, Utilization, and Storage (CCUS) has played a valuable transitional role in reducing emissions from existing fossil-based systems. However, as decarbonization efforts shift from short-term mitigation to long-duration infrastructure transformation, the structural limitations of CCUS become increasingly material. CCUS operates as a linear model: carbon is captured after fuel use and transferred to storage, creating cumulative volumes that require permanent geological capacity, long-term monitoring, and enduring institutional responsibility. Over multi-decade asset lives, these factors translate into rising lifecycle costs, regulatory complexity, and balance-sheet liabilities. In contrast, closed-loop carbon systems are designed to eliminate linear carbon liabilities by architecture. Rather than treating carbon as waste requiring disposal, these systems recycle carbon as a functional component within the energy system. By converting captured CO2 into a reusable molecular carrier, closed-loop systems decouple energy delivery from continuous fossil fuel input and progressively reduce exposure to fuel price volatility. This shift transforms carbon management from a cost center into a value-generating system attribute, particularly as carbon prices and regulatory stringency increase over time. This architectural distinction has direct implications for the future energy system. Rapid growth in digital infrastructure, data centers, green steel, aluminum, and other energy-intensive industries is driving sustained demand for firm, dispatchable baseload power. These sectors require solutions that deliver reliability, scalability, and credible emissions reduction simultaneously. Linear CCUS-based systems remain constrained by fuel dependency and storage scalability, whereas closed-loop carbon systems are inherently aligned with long-duration baseload requirements and infrastructure-grade investment horizons. Dimension CCUS Closed-Loop Carbon Systems Carbon Architecture Linear capture and storage Circular reuse and recycling Carbon End-State Permanent disposal Continuous reuse Fuel Dependency Persistent Progressively reduced Fuel Price Exposure High Structurally lowered Carbon Price Impact Compliance cost Revenue upside Long-Term Liability Storage and monitoring No storage liability Baseload Suitability Constrained Designed for baseload Role in Net-Zero Transitional Terminal architecture As decarbonization policy, capital allocation, and industrial demand converge around long-term system integrity, the focus is shifting from end-of-pipe mitigation toward circular system design. CCUS will continue to play a bridging role in the transition; however, the future of net-zero infrastructure will favour closed-loop carbon systems that eliminate perpetual storage liabilities, reduce fuel exposure, and embed carbon management directly into the energy architecture. This transition is essential to meeting the energy security, economic resilience, and emissions objectives of the digital and industrial economy.