The U.S. Department of Energy (DOE) has announced a $518 million investment in permanent carbon dioxide (CO2) storage infrastructure projects. The Bipartisan Infrastructure Law funds these projects, which will support the development and validation of commercial large-scale carbon storage facilities. The funding will provide for the development and validation of commercial large-scale carbon storage infrastructure.
DOE Seeks Stakeholder Input on Carbon Storage Needs
The DOE is also seeking information from stakeholders regarding carbon storage infrastructure needs, in addition to the funding announcement. They will consider this input prior to opening the next round of this funding opportunity.
Brad Crabtree, Assistant Secretary of Fossil Energy and Carbon Management, stated, “President Biden’s Investing in America Agenda is generating record-breaking levels of public and private investment in critical infrastructure across the Nation to achieve historic climate and clean energy goals.” He added, “The funding announced today will help ensure that carbon storage projects—crucial to slashing harmful carbon pollution—are designed, built, and operated safely and responsibly across all phases of development, to deliver healthier communities as well as high-quality American jobs.”
Carbon Storage Validation and Testing Project Selections
The DOE selected 23 projects for negotiation to support the development of new and expanded commercial large-scale carbon storage projects. These projects will store 50 or more million metric tons of CO2 over a 30-year period. All projects will support the Carbon Storage Assurance Facility Enterprise (CarbonSAFE) Initiative, which the Office of Fossil Energy and Carbon Management (FECM) manages. The projects will focus on the detailed site characterisation, planning, permitting, and construction stages of project development under CarbonSAFE.
The selected projects fall into four phases:
- CarbonSAFE Phase II: Storage Complex Feasibility (12 projects)
- These projects will assess potential CO2 storage complexes, particularly in regions that lack these facilities.
- CarbonSAFE Phase III: Site Characterization and Permitting (9 projects)
- These project teams have completed initial field investigations of subsurface conditions. They will now conduct detailed site characterization projects and obtain Underground Injection Control Class VI permits, which the U.S. Environmental Protection Agency requires.
- CarbonSAFE Phase III.5: NEPA, FEED Studies, and Storage Field Development Plan Only (1 project)
- The funding granted during this phase allows DOE to complete National Environmental Policy Act (NEPA) requirements for the project.
- CarbonSAFE Phase IV: Construction (1 project)
- The project will construct the commercial large-scale secure geologic storage facility and prepare it for CO2 injection.
Community Benefits and Justice40 Initiative
The selected project teams submitted Community Benefits Plans as part of their applications. These plans demonstrate meaningful engagement with and tangible benefits to the communities in which these projects will be located. The plans detail their commitments to community and labor engagement; quality job creation; diversity, equity, inclusion, and accessibility; and benefits to disadvantaged communities as part of the Justice40 Initiative.
The Biden-Harris Administration’s Justice40 Initiative sets a goal that disadvantaged communities, marginalized by underinvestment and overburdened by pollution, receive 40% of the overall benefits of certain federal investments in climate, clean energy, and other areas.
Next Steps and Project Management
The DOE’s selections will undergo environmental review in accordance with the National Environmental Policy Act (NEPA) review process. The DOE can terminate award negotiations at any time for any reason.
The National Energy Technology Laboratory (NETL), under FECM’s purview, will manage the projects selected under this funding opportunity.
Read More: DOE Invests $1.3 B in Carbon Capture, Utilization, and Storage
