Download 2011 Agenda
Download SB 1387 report
The Texas Carbon Capture and Storage Association (TxCCSA) is committed to promoting energy security and reducing greenhouse gas emissions through the advancement of carbon capture and storage (CCS) in Texas.
As energy demand grows here and around the world, CCS technology will be a critical component of our country's long-term energy strategy, enabling energy production and reducing greenhouse gas emissions.
During the 2009 Legislative session, the Association worked with Sen. Kel Seliger and Rep. Myra Crownover to craft the landmark SB 1387, which established the regulatory framework for CCS in Texas and is now being implemented across several state agencies. The Association plans to build on its previous success with these 2011 legislative initiatives:
- RRC Jurisdiction Over all Geologic Storage—In addition to the jurisdiction granted to the RRC under SB 1387 for CO2 storage in connection with oil and gas production, authorize RRC jurisdiction for CO2 geologic storage in all formations.
- Long-Term Stewardship—Insure long term stewardship by transferring responsibility for certain geologic storage facilities to the state. Providing certainty for the public and liability relief for operators in the geologic storage arena.
- SB 1387 Update—Modify the CCS Rules in Texas by changing the structure of the Storage Trust Fund and using standard terms like "underground sources of drinking water" rather than "freshwater" throughout the statute.
- Property Rights Acquisition—Initiate dialogue regarding the mechanism to allow storage operators to acquire the subsurface rights necessary to implement a geologic storage facility.
The association is advocating on behalf of industrial plants, utilities, the oil and gas industry and their service providers to advance market-based policies and incentives to encourage the development of a commercial CCS industry in Texas.
Download 2009 Summary of Legislation Passed
Download 2009 Agenda
Policies TxCCSA Actively Promote
- Legislation to regulate Carbon Storage within Texas—establish regulatory framework for permitting, operating, and monitoring the geologic storage of anthropogenic CO2 (CO2a).
- Pipeline Infrastructure Support—ad valorem tax exemption and other incentives for pipelines carrying anthropogenic CO2a from industrial sources to geologic storage sites including enhanced oil recovery (EOR) sites.
- Severance tax Reduction—enhance the severance tax reduction for using CO2a for EOR.
Policies TxCCSA Support
- Low Carbon Portfolio Standard—establish an energy portfolio standard that requires retail electric providers to purchase a percentage of their wholesale power from low carbon projects such as generation with CCS or in the alternative have generation with CCS included in the current renewable energy portfolio standard.
- Margin Tax Credits—provide margin tax credits equal to the annual amount a retail electric provider pays for electricity generated at a facility that employs CCS. These franchise tax credits could be used to offset the amount of tax owed by the managing entity of the facility or sold to other companies to offset their state tax burden.
- Bonding Authority—give the State the constitutional authority to issue bonds that could be used to make low-interest loans to the managing entity of an advanced clean energy facility.
- State Off-Take of CO2a—For a limited number of early movers, have the State take ownership of the CO2a produced in connection with the generation of electricity and stored at a state permitted storage site. This would relieve the managing entity of the risk of liability for the storage and disposal of the CO2a.
- CO2a on State Lands/Off-take Agreements—study the capacity for storing CO2a on State lands (including university lands) in various geologic formations and develop a means of using CO2a on State-owned lands for EOR.
- State Level Allowances—use emission allowances made available to the State via a federal cap-and-trade program to promote the development of carbon capture, transport and storage technology.