On December 13, 2022, the US Department of Energy (DOE) published a Notice of Intent (NOI) to issue a Funding Opportunity Announcement (FOA) titled, BIL-Carbon Utilization Procurement Grants Under Bipartisan Infrastructure Law Section 40302.

The Carbon Utilization Procurement Grant program provides incentives for the use of products developed from the conversion of carbon oxides emitted from human activity. Carbon capture, storage, and reuse opportunities have traditionally been designed to address a narrow scope of issues and be available exclusively to targeted industries and subsectors. The broad eligibility outlined in this NOI suggests a vast applicability to all industry sectors and segments of the supply chain.

Continue Reading DOE Issues NOI for Carbon Utilization Procurement Grants

On November 16, 2022, the California Air Resources Board (CARB or the Board) proposed a new Scoping Plan for the reduction of greenhouse gas (GHG) emissions.  Generally, the Scoping Plan is a means by which the Board can assess California’s progress toward achieving carbon neutrality by 2045, and issue new policies and strategy to meet that goal.  The Board is required by law to update the Scoping Plan every five years, and this is the third such update since the California legislature enacted the California Global Warming Solutions Act in 2006.  CARB staff are touting the Scoping Plan not only as reducing GHG emissions, but also as leading to the creation of four million new jobs and the avoidance of $200 billion in pollution-related health expenditures.

Continue Reading To Achieve Carbon Neutrality by 2045, CARB Proposes 2022 Scoping Plan

On November 16, 2022, the California Air Resources Board released its proposed final “2022 Scoping Plan for Achieving Carbon Neutrality.” The plan lays out a path for California to achieve carbon neutrality and reduce anthropogenic emissions to 85 percent below 1990 levels by 2045. Notably, it highlights the necessity for carbon capture and carbon removal to achieve net negative emissions. California is an ideal testing ground for CCS for several reasons, including a culture of innovation, good geology for storage, and aggressive state targets on emissions.
Continue Reading California’s 2022 Proposed Final Scoping Plan

On May 3, 2022, the Railroad Commission of Texas (Railroad Commission) voted to approve three actions that represent a major step forward in facilitating the deployment of carbon capture, use and sequestration activities (CCUS) in Texas. Specifically, the Railroad Commission approved:

  • Publication of proposed amendments to its rules implementing the state program for geologic storage of anthropogenic CO2 and incorporating federal requirements;
  • Submittal to the US Environmental Protection Agency (EPA) of a pre-application to gain regulatory authority over Class VI underground injection control (UIC) wells that are used for injection of CO2 into deep subsurface formations; and
  • A request that the Governor formally ask EPA for Class VI UIC well program approval. [i]  


Continue Reading Texas Takes Much-Anticipated Steps to Streamline Permitting and Assume Regulatory Authority for Carbon Sequestration Wells

Last week, the Securities and Exchange Commission (SEC) revealed its much-anticipated proposal to require that public companies disclose climate-related information. The proposed rule is significant because, for the first time, the SEC would mandate that companies (including foreign companies) publicly traded in the US disclose climate-related risk and greenhouse gas (GHG) emissions information beyond the risk information currently required by existing SEC rules applicable to registration statements and annual reports.

Continue Reading What’s Worth Understanding: The SEC Proposes a Mandatory Climate Disclosure Regime for Public Companies

Risk management is one of the few key policy issues to facilitate carbon capture and storage (CCS) in Class VI storage facilities that has not been the beneficiary of substantial policy revision in the past few years. Stakeholders are interested in the development of policy to effectively manage the safety, performance, and liability risks associated with containment of captured and stored CO2.
Continue Reading Carbon Capture and Storage Risk Management

On December 7, 2021, the California Air Resources Board (CARB) held a public workshop to preview potential changes to the groundbreaking California Low Carbon Fuel Standard (LCFS) program, which has served as a model for other low carbon fuel programs across the country.  CARB is accepting written public comments on the concepts presented in the workshop through January 7, 2022.
Continue Reading CARB Previews Future Changes to California Low Carbon Fuel Standard

Building on the Biden Administration’s strategy to achieve net-zero greenhouse gas (GHG) emissions by 2050, and as world leaders begin gathering in Glasgow, Scotland, yesterday, the US Environmental Protection Agency (EPA) issued a proposal under the Clean Air Act to significantly expand regulation of methane from oil and gas operations in the United States. The proposal—issued in conjunction with measures proposed by at least five other cabinet-level agencies to address GHG emissions—is part of President Biden’s “whole of government” approach to addressing climate change and represents EPA’s most ambitious regulatory effort to date to curb oil and gas sector emissions. EPA estimates compliance costs of $12 billion (present value, 3% discount rate) for existing sources, which it indicates would be offset by an estimated $4.7 billion (present value) through the capture of natural gas pursuant to the fugitive emission requirements in the proposal.

Continue Reading As COP26 Begins in Glasgow, at Home EPA Releases Bold Proposal on Oil and Gas Methane Emissions: Four Elements Worth Knowing

Using carbon dioxide to produce oil could be a key technology to transition to an energy landscape with lower greenhouse gas emissions.

Injecting CO2 into an oil formation to produce oil is known as enhanced oil recovery (EOR).  The injected CO2 not only increases pressure in the formation, which aids production, but under certain conditions, the CO2 will mix with oil trapped within the rock in the formation, causing it to become mobile and able to be produced.

Continue Reading Enhanced Oil Recovery in the Energy Transition