Coalition Writes Treasury: Reaffirms Consensus Recommendations on Demonstration of Secure Geologic Storage
March 5, 2020 | Blog
The Carbon Capture Coalition submitted a letter to the Department of Treasury today reaffirming the Coalition’s consensus recommendations regarding the demonstration of secure geologic storage of carbon dioxide (CO2) in the context of enhanced oil recovery (CO2-EOR) to claim the 45Q tax credit.
The Carbon Capture Coalition’s model guidance on the demonstration of secure geologic storage in the context of CO2-EOR were included in consensus comments submitted by the Coalition to Treasury and the IRS in response to IRS Notice 2019-32 requesting public comment last year. The Coalition’s highly diverse membership reached consensus on recommended methods for demonstrating secure geologic storage, thereby providing a broadly supported path forward for Treasury and the IRS to accomplish this.
In the letter, the Coalition noted that recent congressional inquiry into the MRV basis for credits previously claimed under the pre-2018 45Q program and growing media attention to this topic underscore how vitally important it is that pending IRS requirements for the demonstration of secure geologic storage serve to ensure the integrity, public trust and support for the new 45Q program going forward.
Click here to read the letter.