The emission of carbon dioxide (CO2) from industrial sources is one of the main anthropogenic contributors to the greenhouse effect. Direct remote sensing of CO2 emissions using optical methods offers the potential for the identification and quantification of CO2 emissions. We report the development and demonstration of a ground based mobile differential absorption lidar (DIAL) able to measure the mass emission rate of CO2 in the plume from a power station. To our knowledge DIAL has not previously been successfully applied to the measurement of emission plumes of CO2 from industrial sources. A significant challenge in observing industrial CO2 emission plumes is the ability to discriminate and observe localised concentrations of CO2 above the locally observed background level. The objectives of the study were to modify our existing mobile infrared DIAL system to enable CO2 measurements and to demonstrate the system at a power plant to assess the feasibility of the technique for the identification and quantification of CO2 emissions. The results of this preliminary study showed very good agreement with the expected emissions calculated by the site. The detection limit obtained from the measurements, however, requires further improvement to provide quantification of smaller emitters of CO2, for example for the detection of fugitive emissions. This study has shown that in principle, remote optical sensing technology will have the potential to provide useful direct data on CO2 mass emission rates.