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CCS IN THE AMERICAS | April & May 2023 Recap

UPDATE - Please kindly refer to this corrected version of the April/May newsletter, not the version that was sent out yesterday. Our apologies! 


This April & May 2023 edition of the newsletter provides updates on policy and advocacy events important to the work of the Global CCS Institute in the Americashighlighting major U.S. federal and state, and Canadian, policy actions to support the deployment of CCS as one mitigation tool to reach carbon neutrality. 


NOTE: If you'd like to view past editions of the newsletter, please click here. If you were forwarded a copy of this newsletter and would like to sign up to receive it, click here.


   

Table of Contents

  1.  United States – Federal (Policy/Legislation/Regulation) 
    •  Executive Branch
      •  Biden- Harris Administration call to action on carbon management
      • DOE’s announcement for additional infrastructure support
      •  PHMSA’s  two-day carbon dioxide Public Meeting 
      • USEPA’s proposal  to grant Louisiana primacy for Class VI wells  primacy
      • USEPA’s  proposed power plant rules
      • USDA's New ERA
  2. United States – States (Policy/Legislation/Regulation)

    • California
    • Colorado
    • Illinois
    • Indiana
    • Louisiana
    • Texas
    • Wyoming
    • State resources
3. Canada – (Policy/Legislation/Regulation)

4. Americas Institute Events

5. Areas to Watch - U.S. 

6. Other News
  • Carbon Markets and Carbon Credits 
  •  Environmental Justice 
  •  Reports

     

United States – Federal (Policy/Legislation/Regulation) 

EXECUTIVE BRANCH 

Biden- Harris Administration call to action on carbon management

 

Department of Energy (DOE)'s announcement for additional infrastructure support 

  • On May 17 the U.S. DOE announced $251 million to support 12 selected projects across seven states that will bolster the nation’s carbon management capabilities. The projects, funded by the Bipartisan Infrastructure Law, will expand carbon dioxide transportation and storage infrastructure to help carbon dioxide emissions from power generation and industrial operations. In addition, DOE announced the second opening of a five-year $2.25 billion funding opportunity to provide for the continuous development of commercial-scale carbon storage infrastructure (applications are due July 6). 
  • Nine projects were selected for a total of $242 million in funding to support the development of new and expanded large-scale, commercial carbon storage projects with capacities to securely store 50 or more million metric tons of carbon dioxide. Projects will focus on the detailed site characterization, planning, and permitting stages of project development under Phase III of FECM’s Carbon Storage Assurance Facility Enterprise (CarbonSAFE) Initiative
  • Three projects were selected for a total of $9 million in funding to perform detailed engineering design studies for regional carbon dioxide pipeline networks. Projects will focus on carbon transport costs, transport network configurations, and technical and commercial considerations that support broad efforts to develop and deploy carbon capture, conversion, and storage at commercial scale. 


Department of Transportation - Pipeline and Hazardous Materials Safety Administration (PHMSA)'s  two-day carbon dioxide public meeting

  • PHMSA will convene a two-day carbon dioxide  Public Meeting to inform rulemaking decisions, by discussing key topics such as public awareness, emergency response and effective communication with emergency responders and the public, dispersion modeling, safety measures to address other constituents besides carbon dioxide  in carbon dioxide pipelines, leak detection and reporting, and geohazards. The carbon dioxide meeting will be webcast for those who cannot attend in person.

 

U.S. Environmental Protection Agency (EPA)'s proposal  to grant Louisiana primacy for Class VI wells  primacy

  • The U.S. Environmental Protection Agency (EPA) opened public comment on April 28th on a proposal to grant the State of Louisiana’s request for primary responsibility – or primacy – of Class VI wells under the Underground Injection Control (UIC) Program, which regulates the injection of carbon dioxide into deep rock formation. Class VI injection wells—when used as a part of carbon capture and storage and carbon dioxide removal projects—are a critical tool for cutting carbon emissions and combatting the climate crisis. In the news release EPA stated: “As an agency that is advancing environmental justice, EPA listened to the community voices in the region and worked extensively with the state of Louisiana to ensure its primacy application reflected essential environmental justice and equity considerations. As we work to finalize this proposal, EPA will seek and consider public feedback and continue to prioritize protections for our most vulnerable communities while ensuring they have a meaningful seat at the table.” 
  • EPA is requesting public comments on the Agency’s proposed decision within 60 days after date of publication in the Federal Register. EPA will hold an in-person public hearing on June 15, 2023, in Baton Rouge, LA. To sign up for the hearing and learn more information please visit: https://www.epa.gov/uic/underground-injection-control-epa-region-6-ar-la-nm-ok-and-tx. In addition to the public hearing, EPA requests that comments be sent via the Federal Register, docket number EPA-HQ-OW-2023-0073. For more

 

U.S. Environmental Protection Agency (EPA)'s proposed Greenhouse Gas Standards and Guidelines for Fossil Fuel-Fired Power Plants 

  • The United States Environmental Protection Agency (EPA) issued its proposed rule to address carbon dioxide emissions from power plants on May 11, 2023.  The proposal would set limits for new gas-fired combustion turbines, existing coal, oil and gas-fired steam generating units, and certain existing gas-fired combustion turbines. The proposed rule and additional resources can be found here.  EPA’s high level summary of the proposal can be found here.  Here are EPA’s factsheets for states plans and tribes.


U.S. Department of Agriculture (USDA) New ERA 

  • Biden-Harris Administration Makes Historic, $11 Billion Investment to Advance Clean Energy Across Rural America Through Investing in America Agenda. Funding is available through two programs under President Biden’s Inflation Reduction Act.  Specifically, the U.S. Department of Agriculture (USDA) will be opening a Letter of Interest process for the Empowering Rural America (“New ERA”) program, which makes $9.7 billion available to eligible rural electric cooperatives to deploy renewable energy systems, zero-emission and carbon capture systems. In addition to New ERA, USDA will also be opening a Letter of Interest process for the Powering Affordable Clean Energy (PACE) program.   Under the New ERA program funds can be used to make energy efficiency improvements to eligible generation and transmission systems, to purchase, build, or deploy renewable energy, zero-emission systems, carbon capture storage systems, or to purchase renewable energy.


     

U.S. States 

(Policy/Legislation/Regulation)

CALIFORNIA

  • Report
    • The Fire Marshall issued a, Proposal to the Legislature for Establishing a State Framework andStandards for Intrastate Pipelines Transporting Carbon Dioxide . This report fulfils one requirement of SB905, that is to report to the Legislature on a proposal for establishing a state framework and standards for intrastate pipelines transporting carbon dioxide (Proposal). SB 905 requires the California Natural Resources Agency (CNRA), in consultation with the California Public Utilities Commission (CPUC), to “provide a proposal to the Legislature to establish a state framework and standards for the design, operation, siting, and maintenance of intrastate pipelines carrying carbon dioxide fluids of varying composition and phase to minimize the risk posed to public and environmental health and safety….This Proposal is not provided to the Legislature as regulations or draft regulations. Instead, it is intended to inform the development of state safety policies for intrastate pipelines carrying carbon dioxide and provides recommendations on next steps.”
  • Active Legislation
    • S.B. 438:Carbon sequestration:  Carbon Capture, Removal, Utilization and Storage Program: incidental and unintentional residual oil production. Existing law prohibits a well operator from injecting a concentrated carbon dioxide fluid produced by a carbon dioxide capture, removal, or sequestration project into a Class II injection well for purposes of enhanced oil recovery, including the facilitation of enhanced oil recovery from another well.This bill would exclude from the above prohibition the incidental and unintentional residual oil brought to the surface produced at the surface from a Class VI well, as defined, resulting from the injection of a concentrated carbon dioxide fluid into a Class VI well that has been deemed emptied of oil before injection during the execution of a carbon dioxide capture, removal, or sequestration project. The bill would prohibit the production of carbon dioxide by a carbon capture, removal, or sequestration project. The bill would require any oil produced from a Class VI well to be reported to the State Air Resources Board and the United States Environmental Protection Agency, Region 9, within 60 days of its occurrence.  For bill status see here.
    •  S.B. 308: Carbon Dioxide Removal Market Development Act This bill would enact the Carbon Dioxide Removal Market Development Act that would require the state board, no later than December 31, 2027, to adopt a regulation to require certain emitting entities to purchase negative emissions credits equal to a specified amount of their greenhouse gas emissions, as determined by the state board, in each calendar year beginning in the 2028 calendar year in accordance with specified requirements. The bill would require the state board, no later than December 31, 2027, to establish rules and processes for certifying carbon dioxide removal processes that may be used to create negative emissions credits and for tracking negative emissions credits in accordance with certain criteria. The bill would also require negative emissions resulting from the use of negative emissions credits to be included in the calculation of the state’s net greenhouse gas emissions, as specified.  For bill status and latest action see here.

 

COLORADO

  • DOE May 17th announcement impact
    • Colorado School of Mines (Golden, Colorado) plans to develop a regional carbon dioxide storage hub to address emissions from cement, hydrogen, and power plants, including geologic characterization efforts at two sites in Colorado’s Pueblo region. (Award Amount: $32,671,554)
  • Enacted Legislation
    • HB23-1071: Study Workforce Transitions To Other Industries. The bill requires the office of future of work (office) to contract with a third party to study workforce transitions in Colorado's economy. The workforce transitions study (study) must:
      • Evaluate the skill transferability of workers in the oil and gas industry and in occupations in Colorado that are facing the most disruption due to automation;
      • Explore training availability, skills needed, and transition strategies; and
      • Provide recommendations for programs and policies to prepare the workforce for these transitions.
      • Bill was signed by the governor on May 17, 2023.
  • Active Legislation
    • HB23-1210: Carbon Management. "Carbon management" is defined by the bill as any combination of carbon dioxide removal, carbon storage, carbon capture, and carbon utilization. The bill ensures that carbon management projects, except for agricultural, forestry, and enhanced oil recovery projects, are eligible for money under the industrial and manufacturing operations clean air grant program. The bill also requires the Colorado energy office (office) and the office of economic development to contract with an organization for the development of a carbon management roadmap for the state.  The bill was sent to the governor.


ILLINOIS

  • DOE May 17th announcement impact
    • University of Illinois (Champaign, Illinois) plans to complete site characterization efforts for the Cambrian Mt. Simon Sandstone/Eau Claire Formation storage complex, for storage of carbon dioxide from the Dallman Power Generation Plant in Springfield, Illinois and about 50 million metric tons of total carbon dioxide storage capacity. (Award Amount: $17,736,972)

  • Active legislation
    • S.B. 2421 Creates the Carbon Dioxide Transport and Storage Protections Act. Defines terms. Provides that (i) title to pore space belongs to and is vested in the surface owner of the overlying surface estate, (ii) a conveyance of title to a surface estate conveys title to the pore space in all strata underlying the surface estate, and (iii) title to pore space may not be severed from title to the surface estate.  For status or last action see here.
    • H.B. 2202: Creates the Underground Carbon Dioxide Storage Act. Provides that the Act applies to the underground storage of carbon dioxide but does not apply to extractable mineral resources, and the rights and requirements of the Act are subordinate to the rights pertaining to oil, gas, and coal resources. For status or last action see here.
    • H.B. 3119: Carbon Transport and Storage Protection Act. Provides that a sequestration operator may not exercise any authority to take or acquire any easement or title to any pore space or any portion of an area of review pursuant to the Eminent Domain Act. Provides that the sequestration operator is solely liable for any and all damage caused by the carbon dioxide transported to the sequestration facility for injection or sequestration, or otherwise under the sequestration operator's control, including damage caused by carbon dioxide released from the sequestration facility, regardless of who holds title to the carbon dioxide, the pore space, or the surface estate.  For status or last action see here.
    • S.B. 1916:  Creates the Safety Moratorium on Carbon Dioxide Pipelines Act. Provides that no certificate of authority for the construction and operation of a pipeline intended for transportation of carbon dioxide shall be issued by the Illinois Commerce Commission before the federal Pipeline and Hazardous Materials Safety Administration (PHMSA) has adopted its revised federal safety standards for transportation of carbon dioxide.  For status or last action  see here.
    • S.B. 1920: Enhanced Oil Recovery Ban Act. Creates the Enhanced Oil Recovery Ban Act. Provides that a person shall not inject a concentrated carbon dioxide fluid produced by a carbon dioxide capture project or carbon dioxide capture and sequestration project into a Class II well for purposes of enhanced oil recovery, including the facilitation of enhanced oil recovery from another well. Provides that an individual who violates the Act is subject to a fine of $20,000 for each violation. Defines terms. Effective immediately  For status and more information see here.
    •  S.B. 1550: Property-Carbon Sequestration.  Amends the State Property Control Act. Provides that Marquis Carbon Injection, LLC, is granted the right to inject and sequester carbon dioxide and other greenhouse gases for fair market value consideration as set by the Director of Central Management Services, as administrator, but not to exceed $0.25 per ton, on specified real property owned by the State of Illinois and managed by the Department of Natural Resources. Specifies the Parcel Identification Numbers of the properties concerned.  For status and more information see here.
    • S.B. 1547:  Energy-Generation Task Force   Provides that the Carbon Capture Infrastructure Fund is created as a special fund in the State treasury and shall be administered by the Illinois Power Agency. Provides that $10,000,000 shall be transferred from the Illinois Power Agency Renewable Energy Resources Fund to the Carbon Capture Infrastructure Fund. Provides that the Agency shall award grants from the fund to carbon producing power plants for the construction of new carbon capture storage systems. Amends the State Finance Act to create the Carbon Capture Infrastructure Fund. Effective immediately. For status and more information see here.


INDIANA

  • Legislation signed into law
    • SB 451.  Carbon Sequestration Project. Defines the term "pore space". Provides that the pilot project will construct, operate, or use not more than two (2) carbon dioxide pipelines and will maintain operations only in Vigo and Vermillion counties. Requires the director of the department of natural resources to designate the operator of the carbon sequestration pilot project not more than 30 days after the Class VI well permit authorizing the operation of carbon dioxide injection wells at the site of the pilot project is issued by the U.S. Environmental Protection Agency. Provides that, for purposes of the pilot project, the title to pore space is vested in the person who holds in fee simple the surface interest in the land or water, as identified by the property records of the county, except in case of an explicit conveyance, exception, or reservation through a recorded conveyance to another person.  Signed by governor on 4/20/2023, see here.
  • Active legislation
    • S.B. 0247 Provides that a carbon sequestration project may not be undertaken unless the project is approved by the county legislative body (for a project located in the unincorporated area of a county) or the city or town legislative body (for a project located in a city or town).  For status, see here.

LOUISIANA
  • Active legislation 
    • H.B. 571.  Energy:  Provides relative to carbon capture and sequestration. Proposed law establishes regulations and redistributes fees for various aspects of carbon capture and sequestration. Requires notice be given to parish governing authorities on applications for class V or VI well permits and for applications to conduct geophysical surveys in their respective parish. For status see here.
    • H.B. 10.  Energy/Conservation:  Removes eminent domain authority of storage facility operators.  For status, see here.
    • H.B. 35:  Energy Conservation: Prohibits carbon dioxide sequestration projects in St. Helena Parish.  For status, see here.
    • H.B. 454:  Energy Conservation:  Requires a local election for the approval of carbon dioxide sequestration within a parish.  For status, see here.


TEXAS

  • DOE May 17th announcement impact
    • Bluebonnet Sequestration Hub LLC (Houston, Texas) plans to complete the site characterization, permitting, and environmental approvals for the Bluebonnet Sequestration Hub along the Texas Gulf Coast, with potential for more than 350 million metric tons of total carbon dioxide storage capacity. (Award Amount: $16,480,117)
    • BP Corporation North America Inc. (Houston, Texas) will focus on the characterization and permitting of two commercial-scale storage sites along the Texas Gulf Coast with the capacity to ultimately store up to 15 million metric tons of carbon dioxide per year. (Award Amount: $33,411,193)
    • Magnolia Sequestration Hub, LLC (Houston, Texas) intends to complete the site characterization, permitting, and environmental approvals for the Magnolia Sequestration Hub in Allen Parish, Louisiana, with an estimated 300 million metric tons of total carbon dioxide storage capacity. (Award Amount: $21,570,784)
    • Timberlands Sequestration, LLC (Houston, Texas) intends to complete site characterization efforts to develop a biomass carbon removal and storage project for the Alabama River Cellulose pulp and paper mill located in Monroe County, Alabama. (Award Amount: $23,779,020)
    • Howard Midstream Energy Partners LLC (San Antonio, Texas) will perform a study for a system capable of moving up to 250 million metric tons of carbon dioxide per year from multiple sources to multiple storage locations on the Gulf Coast from the Port of Corpus Christi, Texas to the Mississippi River. (Award Amount: $3,000,000)
  • Active bills
    • H.B. 1158: Relating to advanced clean energy projects and certain other projects that reduce or eliminate carbon dioxide emissions. For status see here.
    • S.B. 2107: Relating to ownership of pore space, transfer of long-term liability, and lease integration.  For status see here.
    • H.B. 4484 Relating to the ownership of the pore space underlying the surface of land and to the use of that space for the geologic storage of carbon dioxide; authorizing a fee.  For status see here.
    • H.B.4557:  Relating to liability for capturing and storing carbon dioxide.  For status see here.

 

WYOMING 

  • DOE May 17th announcement impact
    • University of Wyoming (Laramie, Wyoming) plans to advance a commercial, multi-source, large-scale carbon capture and storage hub in Greater Green River Basin, Wyoming, with carbon dioxide sourced from trona mining and direct air capture facilities. (Award Amount: $40,504,935)

STATE RESOURCES 

  • Class VI Permit Tracker. Hunton Andrews Kurth’s Class VI Program Permit Tracker is the first centralized source for tracking state applications for primacy over Class VI permitting programs, as well as the status of Class VI permit applications nationwide. 
  • Interactive Tracker Launched by Arnold & Porter and Columbia’s Sabin Center.  The Arnold & Porter law firm developed a new  CCUS Legislative Tracker, releasing it on the Carbon Dioxide Removal Law webpage of Columbia Law School’s Sabin Center for Climate Change Law.  The interactive tracker “Helps track legislative and significant state CCUS actions nationwide. Through January 2023, the tracker identified 15 states with significant CCUS legislation. In addition, eight states have enacted new legislation or amended existing CCUS frameworks since 2021."  At its initial publication, the Tracker focused on six types of state actions:
    • Statutory clarifications of pore space ownership
    • Mechanisms to combine ownership interests within a potential storage facility
    • Long-term state stewardship programs
    • Trust funds and associated fee mechanisms used to defray various costs incurred by the state
    • State assumption of UIC primary enforcement authority (known as primacy)
    • Inclusion of CCUS in published state climate action plans
  • The Great Plains Institute has State Legislative Tracker which can be accessed here

     

Canada (Policy/Legislation/Regulation)

Budget 2023  - A Made-in-Canada Plan: Strong Middle Class, Affordable Economy, Healthy Future. 

  • The 2023 federal budget is the government’s plan to build a stronger, more sustainable, and more secure Canadian economy—for everyone. Budget 2023 proposes a range of measures that will encourage businesses to invest in Canada and create good-paying jobs for Canadian workers. This made-in-Canada plan follows the federal tiered structure to incent the development of Canada’s clean economy and provide additional support for projects that need it. This plan includes: - Clear and predictable investment tax credits to provide foundational support for clean technology manufacturing, clean hydrogen, zero emission technologies, and carbon capture and storage. Budget 2023 proposes that the Investment Tax Credit for Carbon Capture, Utilization, and Storage.


Alberta Counters Trudeau Climate Plan With Net Zero ‘Aspiration’.  

  • Alberta’s conservative government shot back at Prime Minister Justin Trudeau’s climate goals with its own emissions reduction plan that’s less stringent and foresees continued development of Canadian oil and gas projects. Released Wednesday on the eve of a provincial election campaign, Alberta Premier Danielle Smith’s plan focuses on her province’s biggest source of emissions, the oil and gas industry. It emphasizes technologies such as carbon capture and storage to make hydrocarbon production cleaner


     

Americas Institute Events

  • The Institute’s Policy and Advocacy Manager Americas, participated in the Carbon Management Technical Symposium held at  California State University on the panel entitled  “The Business of Carbon Dioxide Removal, Capture and Storage” on April 21st.
  • The Institute’s Policy and Advocacy Manager Americas, participated in the Texas Symposium on Climate Change and Energy Transition on the panel addressing “Subsurface Resources” on  April 28th.
  • The Institute hosted their 11th Annual D.C. Forum on CCS 9 May 2023, with a keynote speech by Governor Edwards of Louisiana, a fireside chat with the White House's OSTP's Dr. Sally Benson, and panel discussions on CCUS policy, finance, pipelines, and more.
  • The institute held a webinar on CCS Commercial and Regulatory Frameworks: Lessons Learned from the CCS Experience in the United States on 16 May 2023. Recording and PDF available here
  • The Institute’s Global Finance Sector Lead will participate in the 20th Annual Energy Infrastructure CEO & Investor Conference on the panel addressing “Perspectives on Federal Energy Policy, Regulation and Emerging Technologies” on 24 May 2023.
  • Senior Client Engagement Lead Spencer Schecht will be traveling to Calgary, Canada to participate in the Global Energy Show 2023 June 13-15. Spencer will be moderating the panel “Carbon Capture and Storage – Delivering on the Promise of a Net Zero Energy Industry”. Stick around for this final panel on the final conference day. Please feel free to reach out to Spencer if you plan to attend.

     

Areas to Watch - United States

LEGISLATIVE BRANCH

  • House GOP divided on energy spending. GOP lawmakers voted on April 26th to approve a bill to raise the nation’s debt ceiling in return for a host of concessions from Democrats. GOP leaders agreed not to touch those measures, or money for carbon capture projects.  The measure now goes to the Senate.


     

Other News

This section is for other news that may directly or indirectly impact CCS deployment


CARBON MARKETS AND CARBON CREDITS

  • Carbon Deal Targets US Pipeline Seeking to Tackle Corn-Based Ethanol Emissions. Summit Carbon Solutions, which is building the $5.5 billion pipeline through the heart of America’s Corn Belt, said it will sell credits valued at up to $30 million to NextGen CDR Facility, a joint venture of Japanese conglomerate Mitsubishi Corp. and climate consultancy South Pole.  Together with two other deals that the joint venture announced Wednesday, the transactions equal a quarter of all certified carbon removals to date, according to NextGen. Specific prices weren’t disclosed.


ENVIRONMENTAL JUSTICE 
  • White House Modernizing Regulatory Review. The Executive Order of April 6, 2023 (Modernizing Regulatory Review) takes new steps to enhance the effectiveness of regulatory review, improve public participation in the regulatory process, and increase the transparency and inclusiveness of Office of Management and Budget (OMB) Information and Regulatory Affairs’ (OIRA) engagement with the public.

  • The Environmental Protection Agency (EPA) Science Advisory Board (SAB) Staff Office is announcing a public meeting of the Science Advisory Board Environmental Justice Screen (EJScreen) Review Panel. The purpose of the meeting is to discuss responses to charge questions, listen to public comments and peer review the EPA’s EJScreen methodology and updated calculations for the environmental justice (EJ) indexes released publicly in October 2022, as well as other aspects of the calculations. The Panel will also provide recommendations and expert input on other components of the tool.
  • Biden-Harris Administration Announces $177 Million for 17 New Technical Assistance Centers Across the Nation to Help Communities Access Historic Investments to Advance Environmental JusticeEPA’s Thriving Communities Technical Assistance Centers include a network of over 160 partners to provide resources to unlock access to President Biden’s historic investments in America. Each of the technical assistance centers will receive at least $10 million to remove barriers and improve accessibility for communities with environmental justice concerns. With this critical investment, these centers will provide training and other assistance to build capacity for navigating federal grant application systems, writing strong grant proposals, and effectively managing grant funding. In addition, these centers will provide guidance on community engagement, meeting facilitation, and translation and interpretation services for limited English-speaking participants, thus removing barriers and improving accessibility for communities with environmental justice concerns. Each of the technical assistance centers will also create and manage communication channels to ensure all communities have direct access to resources and information.

REPORTS 
  • To support preparations for upcoming major events such as the COP28 Climate Change Conference, the IEA released  Credible Pathways to 1.5 °C: Four pillars for action in the 2020s, a new report on the key actions needed to keep within reach the Paris Agreement’s target of limiting the global temperature rise to 1.5 °C.  Carbon capture and storage and atmospheric carbon dioxide removal are see as one of the four pillars.  The reports states, “[e]ven in a low overshoot scenario, carbon capture and storage and atmospheric carbon dioxide removal will be required to mitigate and compensate hard‐to‐abate residual emissions. Projects capturing around 1.2 Gt carbon dioxide by 2030 need to be implemented, against the roughly 0.3 Gt carbon dioxide currently planned for 2030.”

Department of Energy issued the Pathways to Commercial Liftoff: Carbon Management Report. 
  • The report  outlines the path to meaningful scale in carbon management,  near-term and longer-term opportunities through 2030. This report outlines the path to meaningful scale in carbon management, which are expected to develop near-term and longer-term opportunities. For near-term (through 2030) opportunities, projects in industries with high-purity carbon dioxide streams (e.g., ethanol, natural gas processing, hydrogen) have the best project economics.  For longer-term (post-2030) opportunities—industries with lower-purity carbon dioxide streams and distributed process emissions — project economics must improve to make widescale deployment likely in the absence of other drivers (e.g., regulation). Demonstration projects from now through 2030 can support cost declines—both through learning-by-doing and standardizing project development structures. The report lists three types of key performance indicators that can gauge the progress needed for successful market scale-up of CCUS and CDR technologies: 
    1. Outcomes show the relative impact of CCUS and CDR on broader Administration targets (e.g., job creation, emissions reduction;
    2. Leading indicators are early signs of the relative readiness of technologies and markets for at-scale adoption (e.g., early signs indicating CCUS and CDR are “on-track” for net-zero targets); and
    3. Lagging indicators are confirmation of successful scaling and adoption of CCUS and CDR (e.g., evidence and progress toward net-zero targets).


     
 
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