FY23 Geologic Storage Innovation Letter

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FY23 Geologic Storage Innovation Letter

May 6, 2022 

The Honorable Patrick Leahy, Chair Senate Committee on Appropriations 437 Russell Senate Office Building Washington, DC 20510 

The Honorable Rosa DeLauro, Chair House Committee on Appropriations 2413 Rayburn House Office Building Washington, DC 20515 

The Honorable Richard Shelby, Vice Chair Senate Committee on Appropriations 304 Russell Senate Office Building Washington, DC 20510 

The Honorable Kay Granger, Ranking Member House Committee on Appropriations 1016 Longworth House Office Building Washington, DC 20515 

Dear Chair Leahy, Vice Chair Shelby, Chair DeLauro, and Ranking Member Granger, 

The organizations and companies listed below appreciate and commend the House and Senate Appropriations Committees’ historic support for geologic storage. We write to request that you build upon that support with much-needed increases in funding for the Department of Energy’s (DOE) Carbon Storage Program and the Environmental Protection Agency’s (EPA) Underground Injection Control program. 

Geologic sequestration of CO2 is a critical enabling technology for most technological carbon removal pathways, including direct air capture (DAC). Dedicated geologic storage involves injecting CO2 into rock formations deep underground, where it remains for tens of thousands of years. By taking carbon emissions from the atmosphere and locking them in the ground with high permanence, dedicated geologic storage is a powerful tool for mitigating climate change. The US has a unique capacity for geologic storage of CO2 at billions of tons, which is more than 5,000 times the country’s 2018 CO2 emissions. These geologic storage resources will be the largest and most cost-effective method for long-term storage of carbon removed from the atmosphere via technologies. Additionally, geologic storage, when paired with carbon removal solutions, has the potential to create high-quality jobs in frontline communities and other local benefits. 

The recently passed Bipartisan Infrastructure Law (BIL) provides DOE with substantial funding to finance carbon transportation and storage infrastructure through the Large-Scale Carbon Storage Commercialization Program, which will provide $2.5 billion for geologic storage projects over the next five years. This funding aligns well with other crucial investments through the Regional Direct Air Capture Hubs program, the Clean Hydrogen Hubs program, and the Carbon Dioxide Transportation Infrastructure Finance and Innovation (CIFIA) program authorized and appropriated through the BIL. However, to make full use of these programs and ensure that a lack of established storage opportunities do not impede the advancement of carbon removal technologies, greater support is needed for research and development (R&D) as well as rigorous and efficient permitting through the EPA Underground Injection Control program. 

Increased federal investments are needed to ensure that geologic storage sites are available for carbon removal technology developers, like those signed below, to deploy their technologies. Additional innovative pathways also require additional R&D, such as unmined coal and shale beds, basalts and ultramafic formations, and the storage of non-gaseous carbon waste streams — biomass-derived, for example. These promising opportunities can only deploy at the commercial scale with additional research, development, and demonstration. We make the following recommendations for appropriations in FY2023. 

DOE Carbon Storage program should receive at least $175 million, including 

● $50 million for the CarbonSAFE Initiative for the assessment, development, and commercialization of geologic storage sites; 

● $75 million for large-scale commercial carbon storage demonstration through programs such as the Regional Carbon Sequestration Partnerships (RCSP); and 

● $50 million for crosscutting research and development across areas such as social science, public engagement, and improved monitoring, reporting, and verification technologies. 

EPA Underground Injection Control (UIC) Class VI Program should receive at least $6.2 million, including 

● $5 million for the expansion of staffing and resource capacity for both Class VI geologic storage well permit and state primacy review; and 

● $1.2 million for training, education, and resource development to augment technical and personnel expertise on dedicated geologic storage. 

These funding needs are well supported by engagement with experts in the industry, academica, and policy. They are justified by the recommendations in reports from the National Academies of Sciences, Negative Emissions Technologies and Reliable Sequestration: A Research Agenda, and the Energy Future Initiative, Clearing the Air. Investing in these areas now could pay dividends in driving the carbon removal industry forward in communities across the US. We appreciate your consideration of these requests and are available to discuss them in greater detail. 

Sincerely,