The review was headed by former Origin Energy boss Grant King.
The government has agreed to 21 of the report's 26 recommendations in full or in-principle.
Energy minister Angus Taylor said the plan was the "cornerstone" of the government's plan for reducing emissions.
"As we recover from the COVID-19 pandemic, we must continue to prioritise investment in technologies that improve productivity and support a resilient economy," Taylor said.
"This will position Australia to overachieve on our 2030 Paris target in a decade's time - while maintaining a strong economy."
CCS is the way of the future and satisfies two of the most pressing needs of the world today - low cost energy from coal and lower emissions.
The International Energy Agency reports that without CCS it will be practically impossible to meet the Paris Agreement goals.
Crucially, this technology lets countries strengthen energy security and boost economic growth, without sacrificing their climate priorities.
Coal-fired power stations equipped with CCS deliver dispatchable low emissions baseload electricity while ensuring grid resilience and supply reliability.
Industrial coal-based processes that are vital to the economy including the production of steel, cement and chemicals, can address their emissions with CCS.
Australia's coal industry's low emission technology fund COAL21 CEO Mark McCallum said the King review and the government's response provided welcome clarity for industry to make investment decisions and would create a step-change in Australia's efforts to install low emission technologies critical to achieving the goals of the Paris Agreement.
"Unfortunately, the discussion in Australia has too often dismissed technologies like carbon capture and storage, because the focus - incorrectly - is on energy source rather than emission reduction outcomes," he said.
"All available and proven technologies must be at the forefront of measures to reduce and remove carbon dioxide from large-scale emissions processes such as power generation, mining, processing and manufacturing."
COAL21 is examining the development of a commercial scale CCS project in Queensland's Surat Basin with a final investment decision on whether to start building a $150 million carbon capture plant at the Millmerran Power Station due later this year.
When applied to coal-fired power stations CCS can capture at least 90% of carbon emissions.
CCS with coal can also be used to produce future clean energy sources such as clean hydrogen, and a near-zero emission power generation technology called the Allam Cycle.
Hogsback reckons building on Australia's competitive advantages in energy, practical, low emissions technology such as CCS will help reduce emissions from existing industries and enable industries of the future.