S 2323 ISCommentsClose CommentsPermalink

To provide for the conduct of carbon capture and storage technology research, development, and demonstration projects, and for other purposes.CommentsClose CommentsPermalink

November 7, 2007

Mr. KERRY introduced the following bill; which was read twice and referred to the Committee on Energy and Natural ResourcesCommentsClose CommentsPermalink

To provide for the conduct of carbon capture and storage technology research, development, and demonstration projects, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE.

This Act may be cited as the `Carbon Capture and Storage Technology Act of 2007'.CommentsClose CommentsPermalink

SEC. 2. DEFINITIONS.

In this Act:CommentsClose CommentsPermalink





(1) SECRETARY- The term `Secretary' means the Secretary of Energy.CommentsClose CommentsPermalink





(2) TASK FORCE- The term `Task Force' means the interagency task force established by section 5(a)(1).CommentsClose CommentsPermalink

SEC. 3. CARBON DIOXIDE SEQUESTRATION COMMERCIAL DEMONSTRATION PROJECTS.

(a) In General- The Secretary shall establish a competitive grant program to provide grants or other financial assistance to at least 3, but not more than 5, 8-year commercial demonstration projects to demonstrate the long-term effects of sequestration of carbon dioxide in deep geological formations, of which--CommentsClose CommentsPermalink





(1) not less than 2 of those projects shall be conducted in deep saline aquifers; andCommentsClose CommentsPermalink





(2) the remainder may be conducted in saline aquifers combined with storage in established oil or gas fields.CommentsClose CommentsPermalink





(b) Project Requirements- A commercial demonstration project provided assistance under subsection (a) shall--CommentsClose CommentsPermalink





(1) involve injections of at least 1,000,000 tons of carbon dioxide each year;CommentsClose CommentsPermalink





(2) include intensive characterization and monitoring of the site for the commercial demonstration project in order to evaluate--CommentsClose CommentsPermalink





(A) the security of the storage of carbon dioxide over the period during which the commercial demonstration project is being carried out;CommentsClose CommentsPermalink





(B) any leakage from the site over the period during which the commercial demonstration project is being carried out; andCommentsClose CommentsPermalink





(C) the security of the storage of carbon dioxide, including the likelihood of leakage from the site after the project has ceased to operate;CommentsClose CommentsPermalink





(3) include development of best practices for injecting, permitting, and managing the storage area;CommentsClose CommentsPermalink





(4) require full integration of data from the commercial demonstration project; andCommentsClose CommentsPermalink





(5) include an evaluation of the most cost-efficient ways in which to--CommentsClose CommentsPermalink





(A) undertake sequestration of carbon dioxide;CommentsClose CommentsPermalink





(B) integrate sequestration with the capture and transportation of carbon dioxide;CommentsClose CommentsPermalink





(C) effectively monitor and verify the injected carbon dioxide; andCommentsClose CommentsPermalink





(D) identify and manage hazards and risks associated with storage.CommentsClose CommentsPermalink





(c) Application- To be eligible to receive assistance under subsection (a), an entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.CommentsClose CommentsPermalink





(d) Location- In providing assistance under this section, the Secretary shall select commercial demonstration projects that are in locations that--CommentsClose CommentsPermalink





(1) are geologically and geophysically diverse;CommentsClose CommentsPermalink





(2) represent a range of population densities; andCommentsClose CommentsPermalink





(3) are in close proximity to--CommentsClose CommentsPermalink





(A) utilities and industrial settings; andCommentsClose CommentsPermalink





(B) large-scale existing and planned coal-fired generation facilities.CommentsClose CommentsPermalink





(e) Cost-Sharing Requirement-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), the non-Federal share of the cost of carrying out a commercial demonstration project under subsection (a) shall be not less than 20 nor more than 50 percent, as determined by the Secretary.CommentsClose CommentsPermalink





(2) EXCEPTION- The Secretary may waive the non-Federal share required under paragraph (1) as the Secretary determines to be appropriate.CommentsClose CommentsPermalink





(f) Reports to Congress-CommentsClose CommentsPermalink





(1) INITIAL REPORT- As soon as practicable, but not later than 8 years, after the date of enactment of this Act, the Secretary shall submit to the appropriate committees of Congress a report that describes the preliminary results of--CommentsClose CommentsPermalink





(A) any commercial demonstration projects carried out under this section; andCommentsClose CommentsPermalink





(B) the evaluation conducted under subsection (b)(5).CommentsClose CommentsPermalink





(2) FINAL REPORT- After any demonstration projects have been operated for a sufficient period of time to gather meaningful data and performance metrics, as determined by the Secretary, but not later than 10 years after the date of enactment of this Act, the Secretary shall submit to the appropriate committees of Congress a final report that includes the information required under paragraph (1).CommentsClose CommentsPermalink





(g) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $1,600,000,000 for the period of fiscal years 2008 through 2015.CommentsClose CommentsPermalink

SEC. 4. CARBON DIOXIDE CAPTURE DEMONSTRATION PROJECTS.

(a) In General- The Secretary shall establish a competitive grant program under which the Secretary shall provide grants to at least 3, but not more than 5, commercial demonstration projects for the capture of carbon emissions from coal-fired power plants.CommentsClose CommentsPermalink





(b) Project Requirements-CommentsClose CommentsPermalink





(1) IN GENERAL- A commercial demonstration project provided assistance under this section shall involve a coal-fired power plant with a nameplate capacity of at least 250, but not more than 500, megawatts.CommentsClose CommentsPermalink





(2) PRIORITY- The Secretary shall give priority to integrated proposed commercial demonstration projects that would combine the capture of carbon dioxide with sequestration in deep geological formations.CommentsClose CommentsPermalink





(c) Application- To be eligible to receive assistance under subsection (a), an entity shall submit to the Secretary an application at such time, in such manner, and containing such information as the Secretary may require.CommentsClose CommentsPermalink





(d) Cost-Sharing Requirement-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), the non-Federal share of the cost of carrying out a commercial demonstration project under subsection (a) shall be not less than 50 percent.CommentsClose CommentsPermalink





(2) EXCEPTION- The Secretary may waive the non-Federal share required under paragraph (1) if the Secretary determines that--CommentsClose CommentsPermalink





(A) the technology that is the subject of the commercial demonstration project is critical and the technology risk is relatively high; andCommentsClose CommentsPermalink





(B) there are insufficient resources to provide the non-Federal share.CommentsClose CommentsPermalink





(e) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $2,400,000,000 for the period of fiscal years 2008 through 2015.CommentsClose CommentsPermalink

SEC. 5. CARBON CAPTURE AND STORAGE REGULATIONS.

(a) Interagency Task Force-CommentsClose CommentsPermalink





(1) IN GENERAL- There is established an interagency task force to develop regulations providing guidelines and practices for the capture and storage of carbon dioxide.CommentsClose CommentsPermalink





(2) MEMBERSHIP- The Task Force shall be composed of--CommentsClose CommentsPermalink





(A) the Secretary;CommentsClose CommentsPermalink





(B) the Administrator of the Environmental Protection Agency; andCommentsClose CommentsPermalink





(C) the Secretary of the Interior (acting through the Director of the United States Geological Survey).CommentsClose CommentsPermalink





(3) CHAIRPERSON- The Administrator of the Environmental Protection Agency shall be the chairperson of the Task Force.CommentsClose CommentsPermalink





(4) CONSULTATION- In developing regulations under this section, the Task Force shall consult with--CommentsClose CommentsPermalink





(A) industry experts;CommentsClose CommentsPermalink





(B) legal experts; andCommentsClose CommentsPermalink





(C) technical experts.CommentsClose CommentsPermalink





(5) REQUIREMENTS- The regulations developed by the Task Force shall--CommentsClose CommentsPermalink





(A) take into account existing underground injection control program requirements of the Environmental Protection Agency;CommentsClose CommentsPermalink





(B) address the certification and closure of carbon dioxide capture and storage sites;CommentsClose CommentsPermalink





(C) address the potential appropriate transfer of liability to governmental entities;CommentsClose CommentsPermalink





(D) provide mechanisms to ensure, monitor, and verify the safe transportation and storage of carbon dioxide;CommentsClose CommentsPermalink





(E) provide estimate of the costs of carrying out the regulations; andCommentsClose CommentsPermalink





(F) take into account the outcomes of demonstration projects.CommentsClose CommentsPermalink





(6) PROPOSED REGULATIONS- Not later than 3 years after the date of enactment of this Act, the Task Force shall submit to the appropriate committees of Congress the proposed regulations developed by the Task Force.CommentsClose CommentsPermalink





(b) Promulgation- Not later than 18 months after the date on which the proposed regulations are submitted under subsection (a)(6), the Administrator of the Environmental Protection Agency shall promulgate the regulations.CommentsClose CommentsPermalink





(c) Update- Not later than 3 years after the date of promulgation of the regulations under subsection (b), the Administrator of the Environmental Protection Agency shall update the regulations as necessary to take into account the results of demonstration projects carried out under sections 3 and 4.CommentsClose CommentsPermalink





(d) Enforcement- The Administrator of the Environmental Protection Agency shall be responsible for enforcement of, and inspections relating to, the regulations promulgated under subsections (b) and (c).CommentsClose CommentsPermalink

SEC. 6. CARBON DIOXIDE CAPTURE AND STORAGE RESEARCH AND DEVELOPMENT.

(a) Carbon Dioxide Capture Technologies- The Director of the Office of Science, in consultation with the Assistant Secretary for Fossil Energy, shall carry out a program for the research and development of potential technologies and approaches for the capture of carbon dioxide, including the capture of carbon dioxide--CommentsClose CommentsPermalink





(1) through coal gasification and related capture technologies;CommentsClose CommentsPermalink





(2) in air-blown pulverized coal combustion facilities;CommentsClose CommentsPermalink





(3) in oxy-fueled pulverized coal combustion facilities;CommentsClose CommentsPermalink





(4) through lower-cost separation of oxygen from air at power plants; andCommentsClose CommentsPermalink





(5) through advanced concepts and biological systems.CommentsClose CommentsPermalink





(b) Carbon Dioxide Storage Technologies-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary, in consultation with the Secretary of the Interior, shall carry out a program for the research and development of carbon dioxide storage technologies, including--CommentsClose CommentsPermalink





(A) the improved understanding of geological carbon dioxide sequestration processes and characteristics;CommentsClose CommentsPermalink





(B) simulation activities at carbon dioxide storage sites established under this Act or any other Act; andCommentsClose CommentsPermalink





(C) identification, management, and mitigation of hazards and risks.CommentsClose CommentsPermalink





(2) RECOMMENDATIONS- Based on the research and development activities conducted under paragraph (1), the Secretary shall develop recommendations for optimal carbon dioxide storage features, practices, and conditions.CommentsClose CommentsPermalink





(c) Authorization of Appropriations- There are authorized to be appropriated for the conduct of activities under--CommentsClose CommentsPermalink





(1) subsection (a)(1) $100,000,000 for each of fiscal years 2008 through 2012;CommentsClose CommentsPermalink





(2) paragraphs (2) and (3) of subsection (a) $100,000,000 for each of fiscal years 2008 through 2012;CommentsClose CommentsPermalink





(3) subsection (a)(4) $100,000,000 for each of fiscal years 2008 through 2012; andCommentsClose CommentsPermalink





(4) subparagraphs (A) and (B) of subsection (b)(1) $50,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 7. CARBON DIOXIDE STORAGE CAPACITY ASSESSMENT.

(a) Definitions- In this section--CommentsClose CommentsPermalink





(1) ASSESSMENT- The term `assessment' means the national assessment of capacity for carbon dioxide completed under subsection (f).CommentsClose CommentsPermalink





(2) CAPACITY- The term `capacity' means the portion of a storage formation that can retain carbon dioxide in accordance with the requirements (including physical, geological, and economic requirements) established under the methodology developed under subsection (b).CommentsClose CommentsPermalink





(3) ENGINEERED HAZARD- The term `engineered hazard' includes the location and completion history of any well that could affect potential storage.CommentsClose CommentsPermalink





(4) RISK- The term `risk' includes any risk posed by geomechanical, geochemical, hydrogeological, structural, and engineered hazards.CommentsClose CommentsPermalink





(5) SECRETARY- The term `Secretary' means the Secretary of the Interior, acting through the Director of the United States Geological Survey.CommentsClose CommentsPermalink





(6) STORAGE FORMATION- The term `storage formation' means a deep saline formation, unmineable coal seam, or oil or gas reservoir that is capable of accommodating a volume of industrial carbon dioxide.CommentsClose CommentsPermalink





(b) Methodology- Not later than 1 year after the date of enactment of this Act, the Secretary shall develop a methodology for conducting an assessment under subsection (f), taking into consideration--CommentsClose CommentsPermalink





(1) the geographical extent of all potential storage formations in all States;CommentsClose CommentsPermalink





(2) the capacity of the potential storage formations;CommentsClose CommentsPermalink





(3) the injectivity of the potential storage formations;CommentsClose CommentsPermalink





(4) an estimate of potential volumes of oil and gas recoverable by injection and storage of industrial carbon dioxide in potential storage formations;CommentsClose CommentsPermalink





(5) the risk associated with the potential storage formations; andCommentsClose CommentsPermalink





(6) the Carbon Sequestration Atlas of the United States and Canada that was completed by the Department of Energy in April 2006.CommentsClose CommentsPermalink





(c) Coordination-CommentsClose CommentsPermalink





(1) FEDERAL COORDINATION-CommentsClose CommentsPermalink





(A) CONSULTATION- The Secretary shall consult with the Secretary of Energy and the Administrator of the Environmental Protection Agency on issues of data sharing, format, development of the methodology, and content of the assessment required under this title to ensure the maximum usefulness and success of the assessment.CommentsClose CommentsPermalink





(B) COOPERATION- The Secretary of Energy and the Administrator shall cooperate with the Secretary to ensure, to the maximum extent practicable, the usefulness and success of the assessment.CommentsClose CommentsPermalink





(2) STATE COORDINATION- The Secretary shall consult with State geological surveys and other relevant entities to ensure, to the maximum extent practicable, the usefulness and success of the assessment.CommentsClose CommentsPermalink





(d) External Review and Publication- On completion of the methodology under subsection (b), the Secretary shall--CommentsClose CommentsPermalink





(1) publish the methodology and solicit comments from the public and the heads of affected Federal and State agencies;CommentsClose CommentsPermalink





(2) establish a panel of individuals with expertise in the matters described in paragraphs (1) through (5) of subsection (b) composed, as appropriate, of representatives of Federal agencies, institutions of higher education, nongovernmental organizations, State organizations, industry, and international geoscience organizations to review the methodology and comments received under paragraph (1); andCommentsClose CommentsPermalink





(3) on completion of the review under paragraph (2), publish in the Federal Register the revised final methodology.CommentsClose CommentsPermalink





(e) Periodic Updates- The methodology developed under this section shall be updated periodically (including at least once every 5 years) to incorporate new data as the data becomes available.CommentsClose CommentsPermalink





(f) National Assessment-CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 2 years after the date of publication of the methodology under subsection (d)(1), the Secretary, in consultation with the Secretary of Energy and State geological surveys, shall complete a national assessment of capacity for carbon dioxide in accordance with the methodology.CommentsClose CommentsPermalink





(2) GEOLOGICAL VERIFICATION- As part of the assessment under this subsection, the Secretary shall carry out a drilling program to supplement the geological data relevant to determining storage capacity of carbon dioxide in geological storage formations, including--CommentsClose CommentsPermalink





(A) well log data;CommentsClose CommentsPermalink





(B) core data; andCommentsClose CommentsPermalink





(C) fluid sample data.CommentsClose CommentsPermalink





(3) PARTNERSHIP WITH OTHER DRILLING PROGRAMS- As part of the drilling program under paragraph (2), the Secretary shall enter, as appropriate, into partnerships with other entities to collect and integrate data from other drilling programs relevant to the storage of carbon dioxide in geologic formations.CommentsClose CommentsPermalink





(4) INCORPORATION INTO NATCARB-CommentsClose CommentsPermalink





(A) IN GENERAL- On completion of the assessment, the Secretary of Energy shall incorporate the results of the assessment using the NatCarb database, to the maximum extent practicable.CommentsClose CommentsPermalink





(B) RANKING- The database shall include the data necessary to rank potential storage sites for capacity and risk, across the United States, within each State, by formation, and within each basin.CommentsClose CommentsPermalink





(5) REPORT- Not later than 180 days after the date on which the assessment is completed, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Science and Technology of the House of Representatives a report describing the findings under the assessment.CommentsClose CommentsPermalink





(6) PERIODIC UPDATES- The national assessment developed under this section shall be updated periodically (including at least once every 5 years) to support public and private sector decisionmaking.CommentsClose CommentsPermalink





(g) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $30,000,000 for the period of fiscal years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 8. TECHNOLOGY-SHARING AGREEMENTS.

The Secretary, in coordination with the Secretary of State, shall offer to enter into agreements with each of the countries of China and India, and any other country that is heavily dependent on coal-fired power plants for electricity generation, to pursue agreements under which the countries subject to an agreement shall--CommentsClose CommentsPermalink





(1) fund and demonstrate carbon dioxide capture and storage technologies;CommentsClose CommentsPermalink





(2) share and transfer knowledge and information relating to those technologies; andCommentsClose CommentsPermalink





(3) provide training with respect to those technologies.CommentsClose CommentsPermalink