Bennet, Portman Reintroduce Bill to Reduce Overall Carbon Emissions and Boost Domestic Energy Production
Press Release
U.S. Senators Michael Bennet (D-CO) and Rob Portman (R-OH) today reintroduced a bill to make it easier for power plants and industrial facilities to finance the purchase and installation of carbon capture, utilization, and storage equipment.
"Reducing carbon pollution while creating good-paying jobs is something that Democrats, Republicans, labor unions, industry, and environmentalists can all get behind," said Bennet. "Our legislation would help reduce carbon pollution by making it more cost effective for power plants and industrial facilities to invest in carbon capture equipment. This is a significant step to ensure we are boosting Colorado's clean energy economy and keeping our air clean as the threat of climate change continues to grow."
"This bill is a win-win for jobs and the environment, and I'm proud to continue my work on this issue with Senator Bennet," said Portman. "Carbon capture is a common-sense solution that will allow states like Ohio to continue to utilize our natural resources while protecting our environment at the same time. This bipartisan measure is supported by business groups, energy groups, and environmental groups alike, and I urge all of my colleagues to support it."
The Carbon Capture Improvement Act would allow businesses to use private activity bonds (PABs) issued by local or state governments to finance a carbon capture project. These bonds are beneficial to consumers and businesses because they are tax-exempt and can be paid back over a longer period of time. If more than 65 percent of carbon dioxide emissions from a given facility are captured and injected underground, then 100 percent of the eligible equipment can be financed with PABs. If less than 65 percent is captured and sequestered, then tax-exempt financing is permitted on a pro-rated basis. PABs have been used for decades to finance pollution control equipment at U.S. power and industrial facilities; capturing carbon dioxide is a logical next step.
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