In order to capture CO2, a capture facility must be built in a suitable location, typically adjacent to an emission source. Capture of CO2 can be performed both onshore and offshore. Building and operating a capture facility requires the use of land (unless it takes place offshore), manpower and energy, and may entail a pollution risk.

Offshore transport of CO2 from a capture facility to a storage site can take place either by pipeline or by ship. Where transport of CO2 is conducted by pipeline, the pipeline will extend from the capture location to the storage site, and will typically be both on- and offshore. The pipeline must either be built for the entire route required, or only partially if the operator has access to a suitable existing pipeline. Building and/or operating a pipeline requires, among other things, the use of land and manpower, and may entail a pollution risk. If transport is by ship, installations for proper treatment for the CO2, as well as loading facilities, must be built in a suitable location.

Storage of CO2 may take place underground onshore or offshore in subsea geological formations. At present, onshore storage is not regarded as an option in Norway. Exploitation of a subsea CO2 storage reservoir involves:

At present, there is little specific Norwegian regulation of CCS activities. Regulations on CO2 transport and storage have been expected for some time, but these are yet to be issued. However, the European Economic Area (EEA) Committee has recently considered the inclusion of Directive 2009/31/EC on the geological storage of carbon dioxide (CCS Directive) into the EEA Agreement.

The Norwegian Continental Shelf Act (CSA) gives the state the right to exploit subsea natural resources within its territory. In March 2009, a Royal Decree on delegation of the authority granted to the King under section 2 and 3 of the CSA was issued. Under the Royal Decree, authority is delegated:

The 2009 Royal Decree indicates that both transport and storage activities are regulated under the CSA and that the delegation of authority to issue regulations under the CSA includes transport. Therefore, assuming that the CSA applies, transport of CO2 by pipelines to an offshore storage facility will require prior application for a permit to conduct these activities under section 2 of the CSA.

The regulatory situation for CO2 storage is similar to that for transportation. While it is now clear that the CSA covers the exploration and exploitation of subsea aquifers and reservoirs for CO2 storage, and that this implies that anyone wishing to conduct storage activities must apply for a permit, the permit regime is not regulated in detail.

Therefore, while the CSA does not regulate the capture of CO2, it does apply to the transport and storage of CO2 in subsea aquifers and reservoirs. Permits are required for the exploration for and exploitation of subsea aquifers and reservoirs for storage of CO2 and the relevant authorities may stipulate conditions for such permits.

There is, however, ongoing regulatory work to establish specific regulations for the transport and storage of CO2. New regulations on the transport and storage of CO2 in subsea reservoirs on the continental shelf will be developed in line with the delegations of authority under the CSA. These regulations are likely to be based on the CCS Directive, the current Petroleum Act and the current petroleum regulation. CO2 transport and storage activities have many similarities with petroleum activities and it is assumed that many provisions from the petroleum legislation will be relevant to the transport and storage of CO2 on the continental shelf. It is not yet clear when the draft regulations will be concluded.

The various CCS activities will be subject to generally applicable Norwegian law. Whether or not a specific act applies to a specific CCS activity will depend on factual circumstances relating to the nature of the activities conducted, such as location, risk elements, and so on. Therefore, an interpretation of the generally prevailing laws and regulations is required to provide a full overview of the applicable law for CCS activities.

The Act Relating to Protection Against Pollution and Relating to Waste's (PCA) area of application is broad and applies to pollution and waste in the outdoor environment, including (section 3, PCA):

The application of the Act to exploration for and production and utilisation of natural subsea resources on the Norwegian part of the continental shelf, including decommissioning of facilities, is governed by section 4 of the PCA. The specific rules imply some exceptions from the general regime and indicate that the duty to obtain a permit and section 9 regulations apply only to those activities that regularly result in pollution and not to measures to prevent or stop acute pollution.

The preparatory works of the PCA state that the section 4 rules apply both for petroleum deposits and other subsea natural resources, but that they only apply for natural resources on or under the seabed. Presumably, this term also includes aquifers and reservoirs, and that CCS activities on the continental shelf would be considered to be activities that regularly result in pollution and would therefore be caught under the Act.

The most important aspect of the PCA is its general prohibition on pollution. Section 7(1) of the PCA establishes as a starting point that pollution is unlawful. However, pollution can be lawful under the specific exceptions in sections 8 or 9, or if a discharge permit is granted in accordance with section 11. This implies that an application for a discharge permit should be submitted before commencement of activities that may entail a risk of pollution, including capture, transport and storage of CO2. Under section 16 of the PCA, the authorities may stipulate conditions in a discharge permit.