01/21/2022 | Press release | Distributed by Public on 01/21/2022 19:10
WASHINGTON - Senator John Hoeven today issued the following statement after the North Dakota Industrial Commission (NDIC) approved the Class VI permit for the geologic storage of CO2 from Project Tundra. This carbon capture, utilization and storage (CCUS) project is able to advance due to the45Q tax credit, which helps make efforts like this commercially-viable by providing up to $50 per ton of CO2 stored. Hoeven previously worked to pass legislation to reform and expand the 45Q tax credit, and secured final 45Q regulations last year.
Further, today's approval was made using authority that Hoeven worked to put in place. His efforts include:
"Through Project Tundra and similar efforts, North Dakota is leading the way in developing and implementing CCUS technologies, which will allow us to produce more energy from all of our abundant resources while reducing emissions," said Hoeven. "We've worked since 2008 to lay the groundwork for CCUS in our state, and I appreciate the NDIC for making good use of the authority we've secured to help move Project Tundra forward. Now, we continue working to enhance the 45Q tax credit and make it more accessible to project developers, which is key to bringing these technologies to market."
Securing the 45Q Tax Credit
The 45Q tax credit provides an important new revenue stream for CCUS projects of up to $50 per ton for CO2 permanently stored, or up to $35 per ton for CO2 stored and used for enhanced oil recovery. After helping pass legislation to reform and expand the 45Q tax credit, Hoeven worked to advance its implementation. His efforts included:
Cracking the Code on CCUS
Moving forward, Hoeven is advancing the following priorities to crack the code on CCUS, which will enable the nation to continue making use of its abundant energy resources, while reducing emissions:
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