Carbon Capture Supporters Align with Trump's Energy Goals for U.S. Tax Credit Survival
Key Ideas
- Backers of carbon capture align with Trump's energy goals to protect U.S. policies at CERA Week energy conference.
- Supporters emphasize the importance of the 45Q tax credit for CCS growth, crucial for economic competitiveness in the absence of a carbon pricing structure.
- CCS projects in the U.S. face uncertainty without the tax credit, impacting climate mitigation efforts and carbon dioxide storage initiatives.
- Advocates highlight the potential for CCS to decarbonize hard-to-abate sectors and its alignment with European decarbonization mandates.
At the CERA Week energy conference in Houston, supporters of carbon capture and storage (CCS) highlighted the importance of aligning with U.S. President Donald Trump's energy development goals to safeguard U.S. policies. The focus was on preserving the key CCS tax credit, crucial for the industry's growth, especially in the absence of a carbon pricing structure in the U.S. The Carbon Capture Coalition emphasized the economic competitiveness and American leadership aspects of CCS. There was also a push to make the hydrogen provisions of the Inflation Reduction Act more acceptable, given Trump's reservations toward renewable energy initiatives like the Green New Deal. The 45Q U.S. tax credit was deemed essential for the economic viability of CCS projects across the U.S., with over 275 initiatives at stake. However, concerns remain about the future of CCS projects without this incentive, impacting climate mitigation strategies. Despite challenges like slow progress and environmental concerns, supporters see opportunities in decarbonizing hard-to-abate sectors and leveraging existing infrastructure like pipelines for carbon dioxide storage. The link between CCS and oil production was highlighted, with Occidental Petroleum discussing the use of carbon dioxide in enhancing oil recovery. Advocates stress the need to maintain and potentially adjust the CCS tax credit to support both carbon storage and enhanced oil recovery efforts for a sustainable energy future.
Topics
Projects
Renewable Energy
Energy Development
Climate Change
Carbon Capture
Industrial Innovation
Climate Policy
Tax Credit
Environmental Advocacy
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