EPA Proposes Granting Louisiana Primacy Over Carbon Sequestration Well Program
The U.S. Environmental Protection Agency (EPA) proposed to approve Louisiana’s request for control over the permitting of carbon sequestration wells in the state. EPA’s approval would provide Louisiana authority under the Safe Drinking Water Act (SDWA) Underground Injection Control (UIC) program to administer a “Class VI” injection well program for the geologic sequestration of carbon dioxide, following similar such approvals for North Dakota and Wyoming. Stakeholders should take note of this proposed action because EPA approval of Louisiana’s program could advance carbon capture and sequestration (CCS) projects stymied by the backlog of permit applications pending before the EPA.
California Air Resources Board Set to Finalize Ambitious Climate Plan
On November 16, 2022, the California Air Resources Board (CARB) released an updated version of its 2022 Scoping Plan for Achieving Carbon Neutrality. The plan sets ambitious goals for achieving carbon neutrality in California by 2045. Despite the plan’s being only a guiding document, it will likely lead to other agency actions that set stringent requirements related to reducing greenhouse gas emissions.
IRA-Driven Carbon Capture Needs Strategic Approach
Sidley Austin lawyers say that developers should proactively engage agencies in order to effectively leverage Inflation Reduction Act tax credits and federal funds for carbon capture and sequestration projects. The permitting and approval process is ripe for reform, they say.
U.S. FERC Announces Scoping Period for Liquid Natural Gas Export Terminal’s Proposed Carbon Capture and Sequestration Systems
On September 9, 2022, the Federal Energy Regulatory Commission (FERC) issued a Notice of Scoping Period Requesting Comments on Environmental Issues for the Proposed Carbon Capture and Sequestration System Amendment, and Notice of Public Scoping Sessions (Notice) requesting public comment on the environmental effects of a proposed carbon capture and sequestration (CCS) systems addition to the Rio Grande Liquid Natural Gas (LNG) Terminal (Terminal). This marks the first time FERC has requested public comment on the potential environmental effects, environmental mitigation measures, and reasonable alternatives related to CCS technology as part of National Environmental Policy Act review for an LNG terminal facility.
What Lies Ahead for Carbon Capture – Environmental and Subsurface Perspectives for CCUS
Carbon capture, utilization, and sequestration (CCUS) projects are gaining momentum as an important pathway to achieving both private- and public-sector climate targets. This trend is expected to accelerate with recently authorized federal funding and administration announcements. At the same time, the value proposition for CCUS may be subject to change based on government policy priorities, permitting processes, and potential permanence challenges, among other factors. So what lies ahead for carbon capture? (more…)