U.S. Sen. Shelley Moore Capito (R-WV) was part of a broad bipartisan group of senators working to cut carbon emissions and preserve a diverse energy mix by reintroducing the Furthering carbon capture, Utilization, Technology, Underground storage, and Reduced Emissions (FUTURE) Act.
Specifically, the bill would extend and expand the 45Q tax credit in an effort to encourage technological innovation toward reducing carbon emissions, according to Capito and Sens. Heidi Heitkamp (D-ND) and Sheldon Whitehouse (D-RI), who helped reintroduce the bill on Wednesday.
The extended 45Q tax credit would maintain a place in the nation’s energy mix for existing resources like coal and natural gas by encouraging development and use of carbon capture, utilization and storage (CCUS) technologies and processes. The bill also would aim to spur adoption of low-carbon technologies to transform carbon pollution into useable products, the senators said.
The measure also would incentivize investments for the deployment of proven carbon capture systems, which are “a key component of pursuing a true all-of-the-above energy strategy,” said Capito, who has been focused on preventing bureaucracy from discouraging investments having potential economic and environmental benefits in her role as chairman of the Senate Environment and Public Works Committee’s Clean Air and Nuclear Safety Subcommittee.
In addition to extending the 45Q tax credit, the bill would strengthen support for carbon capture technologies by increasing what’s commonly called the commence construction window. Under the bill, that window for carbon capture projects would rise from five years to seven years and the number of years to claim the credits would increase from 10 years to 12 years.
“The United States has an opportunity to be a leader when it comes to carbon capture technologies and the FUTURE Act will help us achieve that goal,” Capito said yesterday in a statement.
Since the original bill was introduced last July by Sen. Joe Manchin (D-WV), Capito and the senators have worked to build up bipartisan support in Congress for it.
In the process, Capito said they’ve also gained support from a wide cross-section of coal companies, utilities, environmental groups and labor organizations.
“Not only will it help us protect our coal industry, which is so critical to states like West Virginia, but it will also help us expand our oil production, reduce our emissions and compete internationally as other countries continue to build coal plants to power their economic development,” Capito said.