Many states have laws and regulations providing financial incentives for the deployment of carbon capture and storage (CCS) technology. CCS uses a combination of technologies to capture carbon dioxide (CO2), transport it to a suitable storage location, and store (or sequester) the CO2 (typically by injecting it into deep underground rock formations). Sequestered CO2 does not enter the atmosphere and, thus, does not contribute to climate change (more information about CCS technology can be found here ). Enhanced oil recovery with carbon dioxide (CO2-EOR), in which captured anthropogenic CO2 is purchased from carbon capture projects and injected to oil wells to produce additional oil, helps cover costs of CCS investment.
State-level policies can support the deployment of CCS. The cost of CCS varies widely by the type of facility where it is installed. CCS has been deployed in several industrial processes and is expanding to other sectors, including coal and natural gas-fired electricity generation. Incentives are important to overcome the risks and uncertainty of first-mover CCS projects. The policies shown on this map include:
The policies highlighted here contain only financial incentives for CCS or CO2-EOR. Other policies, such as performance standards for CO2 emissions or incentives for projects that lower CO2 emissions, but do not capture and sequester CO2, could indirectly promote CCS or CO2-EOR deployment, but they are not included in this map. In addition, state-level policies may address regulatory barriers to CCS or CO2-EOR deployment (state regulations related to liability and monitoring of sequestered CO2, establishing permitting protocol for related projects) that may provide economic value, but they are also not included in this map.