Injection and Geologic Sequestration of Carbon Dioxide: Federal Role and Issues for Congress

"For several decades, the federal government has funded efforts to explore the feasibility of mitigating the release of greenhouse gases (GHGs) while burning fossil fuels as a source of energy. Carbon capture and storage (CCS)—the process of capturing manmade carbon dioxide (CO2) at its source and storing it before its release into the atmosphere—has been proposed as a technological solution for mitigating emissions into the atmosphere while continuing to use fossil energy. Permanent underground carbon storage, known as geologic sequestration, is the long-term containment of a fluid (including gas or liquid CO2) in subsurface geologic formations. CO2 may be injected, and a portion incidentally stored, as part of enhanced oil recovery (EOR) operations that increase production from aging oil reservoirs.

The U.S. Department of Energy (DOE) leads the federal government’s carbon storage research and development (R&D) as part of the agency’s fossil energy programs. The agency conducts CCS research and carries out public-private partnerships for testing and development of CO2 injection and storage projects. Congress has recently directed DOE to expand its R&D activities to support deployment and commercialization of CCS projects.

The Safe Drinking Water Act (SDWA), administered by the U.S. Environmental Protection Agency (EPA), provides authorities for regulating underground injection of fluids and serves as the framework for regulation of injection of CO2 for geologic sequestration and EOR. The major purpose of the act’s Underground Injection Control (UIC) provisions is to prevent endangerment of underground sources of drinking water from injection activities. EPA has promulgated regulations and established minimum federal requirements for six classes of injection wells. In 2010, EPA promulgated regulations for the underground injection of CO2 for long-term storage and established UIC Class VI, a new class of wells solely for geologic sequestration of CO2. The well performance standards and other requirements established in the Class VI Rule are based on the distinctive features of CO2 injection compared to other types of injection. Two Class VI wells, both in Illinois, are currently permitted by EPA. EOR, including CO2-EOR, is conducted using Class II wells classified for disposal of fluids associated with oil and gas production. SDWA authorizes states to administer the federal UIC programs in lieu of EPA, known as primacy. For Class VI CO2 geologic sequestration wells, North Dakota and Wyoming have primacy under SDWA. For Class II wells, SDWA authorizes states to regulate these wells under their own state programs, and most oil- and gasproducing states have primacy for Class II wells. Currently in the United States, one geologic sequestration facility, the ADM facility in Illinois, has EPA Class VI permits and is actively injecting CO2 from an ethanol plant for geologic sequestration. North Dakota has issued two state Class VI permits for geologic sequestration..."
Injection and Geologic Sequestration of Caron Dioxide 

How Carbon Dioxide is Affecting Marine Life and Our Oceans

"Carbon dioxide isn’t just causing shifts in our earth’s climate. About one fourth of the carbon dioxide (CO2) released into the air from the burning of fossil fuels to power our homes and cars ultimately ends up in the ocean, causing a change called ocean acidification. U.S. West Coast shellfish growers have already felt the impacts, and those in other regions recognize that change is in motion and want to understand potential impacts and how best to adapt.

Seawater rich in CO2 is deplete of a key building block shellfish like oysters, clams and mussels need to grow and maintain shells. These shellfish are particularly vulnerable when they are very young and just forming their shells. This higher-CO2, more-acidic water can lead to increased mortality among these young shellfish. NOAA and partners are working with shellfish growers around our nation to provide the tools that are needed to rise to this challenge..."Carbon dioxide and marine life

Energy-related CO2 emissions for first six months of 2016 are lowest since 1991

"U.S. energy-related carbon dioxide (CO2) emissions totaled 2,530 million metric tons in the first six months of 2016. This was the lowest emissions level for the first six months of the year since 1991, as mild weather and changes in the fuels used to generate electricity contributed to the decline in energy-related emissions. EIA’sShort-Term Energy Outlook projects that energy-associated CO2 emissions will fall to 5,179 million metric tons in 2016, the lowest annual level since 1992..."
Carbon_Dioxide, Co2

U.S. Carbon Dioxide Emission Trends and the Role of the Clean Power Plan

"Recent international negotiations and domestic policy developments have generated interest in current and projected U.S. greenhouse gas (GHG) emission levels. GHG emissions are generated throughout the United States from millions of discrete sources. Of the GHG source categories, carbon dioxide (CO2) emissions from fossil fuel combustion account for the largest percentage (76%) of total U.S. GHG emissions. The electric power sector contributes the largest percentage (39%) of CO2 emissions from fossil fuel combustion.

In the context of international climate change negotiations, President Obama announced, on separate occasions, U.S. GHG emission reduction goals for both 2020 and 2025: 17% below 2005 levels by 2020 and 26% to 28% below 2005 levels by 2025. In 2014, U.S. GHG levels were 7.5% below 2005 levels. Whether the United States achieves its goals would likely depend, to some degree, on CO2 emissions from power plants..."
carbon dioxide emissions

How to Store Carbon

"Carbon capture and storage is a key component of the U.S. Department of Energy’s approach to combatting climate change. The concept is simple: capture CO2 before it leaves a power plant so it can’t trap heat in the atmosphere. Energy innovators have developed many technologies to separate CO2 from the gas stream of coal-fired power plants, but what happens once CO2 has been captured? CO2 storage is a little more complicated than simply locking the captured gas into a vessel and throwing away the key..."
Carbon

U.S. Energy-Related Carbon Dioxide Emissions, 2014

View the latest data on carbon dioxide emissions as collected by the U.S. Energy Information Administration.
Carbon dioxide emissions

Effects of a Carbon Tax on the Economy and the Environment

"Lawmakers could increase federal revenues and encourage reductions in emissions of carbon dioxide (CO2) by establishing a carbon tax, which would either tax those emissions directly or tax fuels that release CO2 when they are burned (fossil fuels, such as coal, oil, and natural gas).
Emissions of CO2 and other greenhouse gases accumulate in the atmosphere and contribute to climate change—a long-term and potentially very costly global problem..."
https://www.cbo.gov/sites/default/files/cbofiles/attachments/44223_Carbon_0.pdf

Light-Duty Automotive Technology, Carbon Dioxide Emissions, and Fuel Economy Trends: 1975 Through 2012

"EPA’s annual report that tracks the fuel economy of vehicles sold in the United States is signaling a significant 1.4 mile per gallon (mpg) increase for 2012 cars and trucks – along with a continued decrease in carbon pollution.

The expected 1.4 mpg improvement in 2012 is based on sales estimates provided to EPA by automakers. EPA’s projections show a reduction in carbon dioxide (CO₂) emissions to 374 grams per mile and an increase in average fuel economy to 23.8 mpg..." http://www.epa.gov/otaq/fetrends.htm

Offsetting a Carbon Tax’s Costs on Low-Income Households

"Imposing a tax on carbon dioxide emissions would reduce the damage from climate change but would also impose a larger burden, relative to income, on low-income households than on high-income households. This paper evaluates two broad groupings of options for reducing the regressive effects of a carbon tax; one group of options would affect large segments of the economy, for example by reducing payroll taxes, and the other group of options would be targeted at low-income households, for example by providing an additional payment to households currently receiving electronic transfer benefits..."
Offsetting a Carbon Tax’s Costs on Low-Income Households

State-Level Energy-Related Carbon Dioxide Emissions, 2000-2009

"Over the time period from 2000 to 2009, carbon dioxide emissions fell in the United States and most individual States (Table 1). Thirteen States, however, experienced emissions increases in that time period. The greatest percentage increase was in Nebraska at 13.3 percent (5.5 million metric tons), while Colorado experienced the greatest absolute increase (8.9 million metric tons or 10.5 percent). Other States that experienced growth included: Arizona (9.5 percent), Iowa (7.5 percent), South Dakota (5.1 percent), Missouri (4.7 percent), and Oklahoma (4.4 percent)..."

U.S. Energy-Related Carbon Dioxide Emissions, 2010
"This analysis examines the level and drivers of energy-related carbon dioxide emissions in 2010. After a historic decline in 2009, energy-related carbon dioxide emissions rebounded in 2010, but still remain 358 million metric tons (6 percent) below the 2005 level..."

U.S. Carbon Dioxide Emissions in 2009: A Retrospective Review
"The U.S. Energy Information Administration (EIA) recently expanded its reporting of energy-related carbon dioxide emissions starting in the fall of 2009. This analysis examines the level and drivers of energy-related carbon dioxide emissions in 2009.

What happened to carbon dioxide emissions from energy use in 2009?

In 2009, energy-related carbon dioxide emissions in the United States saw their largest absolute and percentage decline (405 million metric tons or 7.0 percent) since the start of EIA’s comprehensive record of annual energy data that begins in 1949, more than 60 years ago. While emissions have declined in three out of the last four years, 2009 was exceptional. As discussed below, emissions developments in 2009 reflect a combination of factors, including some particular to the economic downturn, other special circumstances during the year, and other factors that may reflect persistent trends in our economy and our energy use..."

New Trends Report: Fuel Economy Increases as CO2 Decreases
"For the fifth consecutive year, EPA is reporting an increase in fuel efficiency with a corresponding decrease in average carbon dioxide (CO2) emissions for new cars and light duty trucks. This marks the first time that data for CO2 emissions are included in the annual report, “Light-Duty Automotive Technology, Carbon Dioxide Emissions, and Fuel Economy Trends: 1975 through 2009”.

“American drivers are increasingly looking for cars that burn cleaner, burn less gas and won’t burn a hole in their wallets,” said EPA Administrator Lisa P. Jackson. “We’re working to help accelerate this trend with strong investments in clean energy technology – particularly for the cars and trucks that account for almost 60 percent of greenhouse gases from transportation sources. Cleaner, more efficient vehicles can help reduce our dangerous dependence on foreign oil, cut harmful pollution, and save people money -- and it’s clear that’s what the American car buyer wants.”

For 2008, the last year for which EPA has final data from automakers, the average fuel economy value was 21.0 miles per gallon (mpg). EPA projects a small improvement in 2009, based on pre-model year sales estimates provided to EPA by automakers, to 21.1 mpg..."

Fuel Economy Increases as CO2 Decreases
"For the fifth consecutive year, EPA is reporting an increase in fuel efficiency with a corresponding decrease in average carbon dioxide (CO2) emissions for new cars and light duty trucks. This marks the first time that data for CO2 emissions are included in the annual report, “Light-Duty Automotive Technology, Carbon Dioxide Emissions, and Fuel Economy Trends: 1975 through 2009”.

“American drivers are increasingly looking for cars that burn cleaner, burn less gas and won’t burn a hole in their wallets,” said EPA Administrator Lisa P. Jackson. “We’re working to help accelerate this trend with strong investments in clean energy technology – particularly for the cars and trucks that account for almost 60 percent of greenhouse gases from transportation sources. Cleaner, more efficient vehicles can help reduce our dangerous dependence on foreign oil, cut harmful pollution, and save people money -- and it’s clear that’s what the American car buyer wants.”

For 2008, the last year for which EPA has final data from automakers, the average fuel economy value was 21.0 miles per gallon (mpg). EPA projects a small improvement in 2009, based on pre-model year sales estimates provided to EPA by automakers, to 21.1 mpg..."

DOE Report Assesses Potential for Carbon Dioxide Storage Beneath Federal Lands
"As a complementary document to the U.S. Department of Energy’s Carbon Sequestration Atlas of the United States and Canada issued in November 2008, the Office of Fossil Energy's National Energy Technology Laboratory has now released a report that provides an initial estimate of the potential to store carbon dioxide (CO2) underneath millions of acres of Federal lands.

The report, Storage of Captured Carbon Dioxide Beneath Federal Lands, estimates and characterizes the storage potential that lies beneath some of the more than 400 million acres of Federal land available for lease. Estimated at between 126 to 375 billion metric tons of CO2, the majority of this storage potential (about 85 percent) is located west of the Mississippi River, where most of the leasable Federal acreage (92 percent) is found..."

Issues in Designing a Cap-and-Trade Program for Carbon Dioxide Emissions
"...Reducing greenhouse-gas emissions would be beneficial in limiting the degree of risk associated with climate change, especially the risk of significant damage. However, decreasing those emissions would also impose costs on the economy—in the case of CO2, because much economic activity is based on fossil fuels, which release carbon in the form of that gas when they are burned. Much of those costs will be passed along to consumers in the form of higher prices for energy and energy-intensive goods.

Designing a cap-and-trade program to achieve such reductions would include
important decisions about whether to sell or give away allowances. Those rights
to emit greenhouse gases would have substantial value, and policymakers’ choices about how to allocate them could have significant effects on the federal budget and on how the gains and losses brought about by the program were distributed among U.S. households. If policymakers chose to sell the allowances, they could use the revenue that would arise in many different ways, including to offset other taxes, to assist workers or low-income households that might be adversely affected by the cap, to support other legislative priorities, or to reduce the budget deficit. Policymakers would also need to decide whether to include provisions to help contain the cost of the policy by allowing firms flexibility as to when they reduced their emissions and whether to include provisions to address effects on international trade, particularly for energy-intensive goods."

Containing the Cost of a Cap-and-Trade Program for Carbon Dioxide Emissions
May 20, 2008, Testimony before the Committee on Energy and Natural Resources, United States Senate

CBO TESTIMONY Statement of Peter R. Orszag Director, Implications of a Cap-and-Trade Program for Carbon Dioxide Emissions
"Chairman Baucus, Senator Grassley, and Members of the Committee, thank you for the invitation to discuss the implications of cap-and-trade programs that are designed to reduce U.S. emissions of greenhouse gases, most prominently carbon dioxide (CO2).

Global climate change is one of the nation’s most significant long-term policy challenges. Human activities are producing increasingly large quantities of greenhouse gases, particularly CO2. The accumulation of those gases in the atmosphere is expected to have potentially serious and costly effects on regional climates throughout the world. The magnitude of such damage remains highly uncertain, but there is growing recognition of the risk that the damage may be extensive and perhaps even catastrophic..."

NOAA Reports Carbon Dioxide, Methane Rise Sharply in 2007"Last year alone global levels of atmospheric carbon dioxide, the primary driver of global climate change, increased by 0.6 percent, or 19 billion tons. Additionally methane rose by 27 million tons after nearly a decade with little or no increase. NOAA scientists released these and other preliminary findings today as part of an annual update to the agency’s greenhouse gas index, which tracks data from 60 sites around the world."