Global energy demand is anticipated to grow by about 60% (basis 2003) by 2030 and it will continue to rely on fossil energy sources. Satisfying this increased fossil energy demand will pose many challenges, in particular concerns about global climate change and security of energy supply. Therefore a carbon abatement strategy needs to be adopted that embraces the use of fossil fuels alongside energy from other sources. Strong improvement in energy efficiency in combination with the further development and implementation of carbon Capture and Storage (CCS) technologies are the basic goals of this strategy. In order to prevent duplication of work by sharing knowledge and funding options collaboration and coordination at European level are indispensable.