Carbon Utilization

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Carbon Utilization ( carbon-utilization )

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agencies, including multiple DOE offices and the Pen- tagon. These offices separately manage CCU research, with little high-level coordination of various research priorities and outcomes. Creation of an Interagency CCU Task Force could elevate carbon utilization in the govern- ment’s science agenda and help inform decisions about future Funding Opportunity Announcements (FOAs). Along with DOE-FE, DOE’s Bioenergy Technology Office (BETO) also receives carbon utilization research funding. Increasing funding for BETO’s algae carbon utilization research alongside that for the DOE-FE R&D program would advance algae project development. Other federal agencies that receive funding for synthetic biology include DOE’s Advanced Research Projects Agency-Energy (ARPA-E) and the Pentagon’s Defense Advanced Research Projects Agency (DARPA). Better coordinating the goals of all of these programs would ensure alignment of research priorities. CO2 Transportation Infrastructure Pipelines A threshold issue for most carbon use applications is the siting and building of transportation infrastructure to move captured CO2 to users. For example, capturing CO2 from ethanol production plants is relatively inexpensive given that the process emits a high-purity stream. However, ethanol plants are often located far from where developers could use the CO2 and the compression and transportation costs can be substantial. The USE IT bill includes language to spur federal, state, and non-governmental collaboration in the development of facilities and CO2 pipelines needed to capture and transport CO2 from source to market. Another potential legislative vehicle for creating a national CO2 pipeline network would be national infrastructure legislation, which has been discussed for years and may finally advance in the 116th Congress. If Congress moves forward on this front, inclusion of language authorizing CO2 pipelines adequate to linking sources of CO2 with both geologic storage and potential CO2 utilization opportunities would be helpful. Also, the Carbon Capture Coalition has suggested authorizing the “supersizing” of new CO2 pipelines to account for future demand for CO2 transportation needs.25 (Since most pipeline construction costs are fixed, increasing pipeline diameter to substantially expand capacity adds little to total project costs.) This would be helpful for handling the growth in CO2 transportation demand that future utilization projects would create. CO Opportunity Zones 2 A continuing challenge is simply access to low-cost, high- purity CO2 itself. Currently, most CO2 for utilization applications is purchased in relatively small quantities and transported by truck. One approach to solving the access problem would be to locate utilization development near high-purity CO2 sources. Co-location of CO2 utilization facilities with major industrial sources of CO2 could be mutually beneficial and would reduce or eliminate the cost of transportation infrastructure. (Power generation is not a good source of low-cost, high- purity CO2, given the impurities in flue gas, compared with a “pure stream” that can be captured from ethanol production, for instance.) To help with this, incentives such as tax preferences that encouraged locating multiple utilization CO2 ap- plications near large sources of high-purity CO2 would be helpful. This may be best accomplished by state-level policies that take economic development into account; for instance, tax forgiveness for a particular period. Such designated “opportunity zones,” where investment is focused on CCU applications (among other clean energy technologies), could generate a variety of economic ben- efits, including new investment and jobs. Market Enablers In the absence of an economy-wide price on carbon, federal and state governments can help create a market for beneficial utilization products in a number of ways. These include improved disclosure requirements (including green labeling), so products can be compared on an “apples to apples” basis, as well as updated industry standards that allow and encourage procurement of low-carbon technologies including the use of captured carbon. To encourage low-carbon markets, consistent stan- dards are needed for determining the carbon footprint of materials, especially the lifecycle emissions of those products. Many companies are interested in the carbon footprint of their operations, including their building and materials. Companies increasingly disclose these metrics to various sustainability platforms and standards. Climate reporting and disclosure has grown significantly in recent years, particularly in response to recommenda- tions made by the Task Force on Climate-related Finan- CARBON UTILIZATION—A VITAL AND EFFECTIVE PATHWAY FOR DECARBONIZATION 19

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