42 USC 16292 - Carbon capture technology program

Collapse to view only § 16292. Carbon capture technology program

§ 16291. Fossil energy
§ 16291a. Property interests
§ 16292. Carbon capture technology program
§ 16293. Carbon storage validation and testing
§ 16294. Research and development for coal mining technologies
§ 16295. Oil and gas research programs
§ 16296. Low-volume oil and gas reservoir research program
§ 16297. Complex Well Technology Testing Facility
§ 16298. Carbon utilization program
§ 16298a. Carbon utilization program
§ 16298b. High efficiency turbines
§ 16298c. National Energy Technology Laboratory reforms
§ 16298d. Carbon removal
§ 16298e. Carbon dioxide removal task force and report

§ 16291. Fossil energy

(a) Establishment

(1) In general

(2) ObjectivesThe programs described in paragraph (1) shall take into consideration the following objectives:

(A) Increasing the energy conversion efficiency of all forms of fossil energy through improved technologies.

(B) Decreasing the cost of all fossil energy production, generation, and delivery.

(D) Decreasing the dependence of the United States on foreign energy supplies.

(E) Improving United States energy security.

(F) Decreasing the environmental impact of energy-related activities, including technology development to reduce emissions of carbon dioxide and associated emissions of heavy metals within coal combustion residues and gas streams resulting from fossil fuel use and production.

(G) Increasing the export of fossil energy-related equipment, technology, including emissions control technologies, and services from the United States.

(H) Decreasing the cost of emissions control technologies for fossil energy production, generation, and delivery.

(I) Significantly lowering greenhouse gas emissions for all fossil fuel production, generation, delivery, and utilization technologies.

(J) Developing carbon removal and utilization technologies, products, and methods that result in net reductions in greenhouse gas emissions, including direct air capture and storage, and carbon use and reuse for commercial application.

(K) Improving the conversion, use, and storage of carbon oxides produced from fossil fuels.

(L) Reducing water use, improving water reuse, and minimizing surface and subsurface environmental impact in the development of unconventional domestic oil and natural gas resources.

(3) Priority

(b) Authorization of appropriationsThere are authorized to be appropriated to the Secretary to carry out fossil energy research, development, demonstration, and commercial application activities, including activities authorized under this part—

(1) $611,000,000 for fiscal year 2007;

(2) $626,000,000 for fiscal year 2008; and

(3) $641,000,000 for fiscal year 2009.

(1) For activities under section 16292 1

1 See References in Text note below.

of this title—

(A) $367,000,000 for fiscal year 2007;

(B) $376,000,000 for fiscal year 2008; and

(2) For activities under section 16294 of this title—

(A) $20,000,000 for fiscal year 2007;

(B) $25,000,000 for fiscal year 2008; and

(3) For activities under section 16296 of this title—

(A) $1,500,000 for fiscal year 2007; and

(B) $450,000 for each of fiscal years 2008 and 2009.

(4) For the Office of Arctic Energy under section 7144d of this title $25,000,000 for each of fiscal years 2007 through 2009.

(d) Extended authorization

(e) Limitations

(1) Uses

(2) Institutions of higher education

(Pub. L. 109–58, title IX, § 961, Aug. 8, 2005, 119 Stat. 889; Pub. L. 116–260, div. Z, title IV, § 4001, Dec. 27, 2020, 134 Stat. 2527.)

§ 16291a. Property interests

That for all programs funded under Fossil Energy appropriations in this and subsequent Acts, the Secretary may vest fee title or other property interests acquired under projects in any entity, including the United States.

(Pub. L. 113–76, div. D, title III, Jan. 17, 2014, 128 Stat. 165.)

§ 16292. Carbon capture technology program

(a) DefinitionsIn this section:

(1) Large-scale pilot projectThe term “large-scale pilot project” means a pilot project that—

(A) represents the scale of technology development beyond laboratory development and bench scale testing, but not yet advanced to the point of being tested under real operational conditions at commercial scale;

(B) represents the scale of technology necessary to gain the operational data needed to understand the technical and performance risks of the technology before the application of that technology at commercial scale or in commercial-scale demonstration; and

(i) to validate scaling factors; and

(ii) to demonstrate the interaction between major components so that control philosophies for a new process can be developed and enable the technology to advance from large-scale pilot project application to commercial-scale demonstration or application.

(2) Natural gasThe term “natural gas” means any fuel consisting in whole or in part of—

(A) natural gas;

(B) liquid petroleum gas;

(D) any mixture of natural gas and synthetic gas; or

(E) biomethane.

(3) Natural gas electric generation facility

(A) In general

(B) InclusionsThe term “natural gas electric generation facility” includes without limitation a new or existing—

(i) simple cycle plant;

(ii) combined cycle plant;

(iii) combined heat and power plant; or

(iv) steam methane reformer that produces hydrogen from natural gas for use in the production of electric energy.

(4) Program

(5) Transformational technology

(A) In general

(B) InclusionsThe term “transformational technology” includes a broad range of potential technology improvements, including—

(i) thermodynamic improvements in energy conversion and heat transfer, including—(I) advanced combustion systems, including oxygen combustion systems and chemical looping; and(II) the replacement of steam cycles with supercritical carbon dioxide cycles;

(ii) improvements in steam or carbon dioxide turbine technology;

(iii) improvements in carbon capture, utilization, and storage systems technology;

(iv) improvements in small-scale and modular coal-fired technologies with reduced carbon output or carbon capture that can support incremental power generation capacity additions;

(v) fuel cell technologies for low-cost, high-efficiency modular power systems;

(vi) advanced gasification systems;

(vii) thermal cycling technologies; and

(viii) any other technology the Secretary recognizes as transformational technology.

(b) Carbon capture technology program

(1) In general

(2) RequirementsThe program shall include—

(A) a research and development program;

(B) large-scale pilot projects;

(D) a front-end engineering and design program for carbon capture technologies; and

(E) a front-end engineering and design program for carbon dioxide transport infrastructure necessary to enable deployment of carbon capture, utilization, and storage technologies.

(3) Program goals and objectivesIn consultation with the interested entities described in paragraph (6)(C), the Secretary shall develop goals and objectives for the program to be applied to the transformational technologies developed within the program, taking into consideration the following:

(A) Increasing the performance of coal electric generation facilities and natural gas electric generation facilities, including by—

(i) ensuring reliable, low-cost power from new and existing coal electric generation facilities and natural gas electric generation facilities;

(ii) achieving high conversion efficiencies;

(iii) addressing emissions of carbon dioxide and other air pollutants;

(iv) developing small-scale and modular technologies to support incremental capacity additions and load following generation, in addition to large-scale generation technologies;

(v) supporting dispatchable operations for new and existing applications of coal and natural gas generation; and

(vi) accelerating the development of technologies that have transformational energy conversion characteristics.

(B) Using carbon capture, utilization, and sequestration technologies to decrease the carbon dioxide emissions, and the environmental impact from carbon dioxide emissions, from new and existing coal electric generation facilities and natural gas electric generation facilities, including by—

(i) accelerating the development, deployment, and commercialization of technologies to capture and sequester carbon dioxide emissions from new and existing coal electric generation facilities and natural gas electric generation facilities;

(ii) supporting sites for safe geological storage of large volumes of anthropogenic sources of carbon dioxide and the development of the infrastructure needed to support a carbon dioxide utilization and storage industry;

(iii) improving the conversion, utilization, and storage of carbon dioxide produced from fossil fuels and other anthropogenic sources of carbon dioxide;

(iv) lowering greenhouse gas emissions for all fossil fuel production, generation, delivery, and use, to the maximum extent practicable;

(v) developing carbon utilization technologies, products, and methods, including carbon use and reuse for commercial application;

(vi) developing net-negative carbon dioxide emissions technologies; and

(vii) developing technologies for the capture of carbon dioxide produced during the production of hydrogen from natural gas.

(i) further reducing non-carbon dioxide air emissions; and

(ii) reducing the use, and managing the discharge, of water in power plant operations.

(D) Accelerating the development of technologies to significantly decrease emissions from manufacturing and industrial facilities, including—

(i) nontraditional fuel manufacturing facilities, including ethanol or other biofuel production plants or hydrogen production plants; and

(ii) energy-intensive manufacturing facilities that produce carbon dioxide as a byproduct of operations.

(E) Entering into cooperative agreements to carry out and expedite demonstration projects (including pilot projects) to demonstrate the technical and commercial viability of technologies to reduce carbon dioxide emissions released from coal electric generation facilities and natural gas electric generation facilities for commercial deployment.

(F) Identifying any barriers to the commercial deployment of any technologies under development for the capture of carbon dioxide produced by coal electric generation facilities and natural gas electric generation facilities.

(4) Demonstration projects

(A) In general

(B) Technical assistance

(D) Commercial-scale demonstration projects

(i) In general

(ii) Requirement

(E) RequirementOf the demonstration projects carried out under subparagraph (A)—

(i) 2 shall be designed to capture carbon dioxide from a natural gas electric generation facility;

(ii) 2 shall be designed to capture carbon dioxide from a coal electric generation facility; and

(iii) 2 shall be designed to capture carbon dioxide from an industrial facility not purposed for electric generation.

(F) GoalsEach demonstration project under the demonstration program under subparagraph (A)—

(i) shall be designed to further the development, deployment, and commercialization of technologies to capture and sequester carbon dioxide emissions from new and existing coal electric generation facilities, natural gas electric generation facilities, and industrial facilities;

(ii) shall be financed in part by the private sector; and

(iii) if necessary, shall secure agreements for the offtake of carbon dioxide emissions captured by qualifying technologies during the project.

(G) Applications

(i) In general

(ii) Review of applicationsIn reviewing applications submitted under clause (i), the Secretary, to the maximum extent practicable, shall—(I) ensure a broad geographic distribution of project sites;(II) ensure that a broad selection of electric generation facilities are represented;(III) ensure that a broad selection of technologies are represented; and(IV) leverage existing public-private partnerships and Federal resources.

(H) GAO study and report

(i) Study and report(I) In general(II) ConsiderationsIn conducting the study under subclause (I), the Comptroller General of the United States shall consider—(aa) applicant and contractor qualifications;(bb) project management practices at the Department;(cc) economic or market changes and other factors impacting project viability;(dd) completion of third-party agreements, including power purchase agreements and carbon dioxide offtake agreements;(ee) regulatory challenges; and(ff) construction challenges.

(ii) RecommendationsThe Secretary shall—(I) consider any relevant recommendations, as determined by the Secretary, provided in the report required under clause (i)(I); and(II) adopt such recommendations as the Secretary considers appropriate.

(I) Report

(i) In generalNot later than 180 days after the date on which the Secretary solicits applications under subparagraph (G), and annually thereafter, the Secretary shall submit to the appropriate committees of jurisdiction of the Senate and the House of Representatives a report that includes a detailed description of how the applications under the demonstration program established under subparagraph (A) were or will be solicited and how the applications were or will be evaluated, including—(I) a list of any activities carried out by the Secretary to solicit or evaluate the applications; and(II) a process for ensuring that any projects carried out under a cooperative agreement entered into under subparagraph (A) are designed to result in the development or demonstration of qualifying technologies.

(ii) InclusionsThe Secretary shall include—(I) in the first report required under clause (i), a detailed list of technical milestones for the development and demonstration of each qualifying technology pursued under the demonstration program established under subparagraph (A);(II) in each subsequent report required under clause (i), a description of the progress made towards achieving the technical milestones described in subclause (I) during the applicable period covered by the report; and(III) in each report required under clause (i)—(aa) an estimate of the cost of licensing, permitting, constructing, and operating each carbon capture facility expected to be constructed under the demonstration program established under subparagraph (A);(bb) a schedule for the planned construction and operation of each demonstration or pilot project under the demonstration program; and(cc) an estimate of any financial assistance, compensation, or incentives proposed to be paid by the host State, Indian Tribe, or local government with respect to each facility described in item (aa).

(5) Intraagency coordination for carbon capture, utilization, and sequestration activities

(6) Consultations requiredIn carrying out the program, the Secretary shall—

(A) undertake international collaborations, taking into consideration the recommendations of the National Coal Council and the National Petroleum Council;

(B) use existing authorities to encourage international cooperation; and

(i) coal and natural gas producers;

(ii) industries that use coal and natural gas;

(iii) organizations that promote coal, advanced coal, and natural gas technologies;

(iv) environmental organizations;

(v) organizations representing workers; and

(vi) organizations representing consumers.

(1) In general

(2) Update

(d) Funding

(1) Authorization of appropriationsThere are authorized to be appropriated to the Secretary to carry out this section, to remain available until expended—

(A) for activities under the research and development program component described in subsection (b)(2)(A)—

(i) $230,000,000 for each of fiscal years 2021 and 2022; and

(ii) $150,000,000 for each of fiscal years 2023 through 2025;

(B) subject to paragraph (2), for activities under the large-scale pilot projects program component described in subsection (b)(2)(B)—

(i) $225,000,000 for each of fiscal years 2021 and 2022;

(ii) $200,000,000 for each of fiscal years 2023 and 2024; and

(iii) $150,000,000 for fiscal year 2025;

(i) $500,000,000 for each of fiscal years 2021 though 2024; and

(ii) $600,000,000 for fiscal year 2025;

(D) for activities under the front-end engineering and design program described in subsection (b)(2)(D), $50,000,000 for each of fiscal years 2021 through 2024; and

(E) for activities under the front-end engineering and design program described in subsection (b)(2)(E), $100,000,000 for the period of fiscal years 2022 through 2026.

(2) Cost sharing for large-scale pilot projects

(e) Carbon capture test centers

(1) In general

(2) PurposeEach Center shall—

(A) advance research, development, demonstration, and commercial application of carbon capture technologies;

(B) support large-scale pilot projects and demonstration projects and test carbon capture technologies; and

(3) Selection

(A) In general

(B) Competitive basis

(C) Priority criteriaIn selecting entities to receive grants under this subsection, the Secretary shall prioritize consideration of applicants that—

(i) have access to existing or planned research facilities for carbon capture technologies;

(ii) are institutions of higher education with established expertise in engineering for carbon capture technologies, or partnerships with such institutions of higher education; or

(iii) have access to existing research and test facilities for bulk materials design and testing, component design and testing, or professional engineering design.

(D) Existing centers

(4) Formula for awarding grants

(5) Schedule

(A) In general

(B) Renewal

(6) Termination

(7) Authorization of appropriations

(Pub. L. 109–58, title IX, § 962, as added Pub. L. 116–260, div. Z, title IV, § 4002(a), Dec. 27, 2020, 134 Stat. 2528; amended Pub. L. 117–58, div. D, title III, § 40303, Nov. 15, 2021, 135 Stat. 988.)

§ 16293. Carbon storage validation and testing

(a) DefinitionsIn this section:

(1) Large-scale carbon sequestrationThe term “large-scale carbon sequestration” means a scale that—

(A) demonstrates the ability to inject into geologic formations and sequester carbon dioxide; and

(B) has a goal of sequestering not less than 50 million metric tons of carbon dioxide.

(2) Program

(b) Carbon storage program

(1) In general

(2) Program activitiesActivities under the program shall include—

(A) in coordination with relevant Federal agencies, developing and maintaining mapping tools and resources that assess the capacity of geologic storage formation in the United States;

(B) developing monitoring tools, modeling of geologic formations, and analyses—

(i) to predict carbon dioxide containment; and

(ii) to account for sequestered carbon dioxide in geologic storage sites;

(i) potential environmental, safety, and health impacts in the event of a leak into the atmosphere or to an aquifer; and

(ii) any corresponding mitigation actions or responses to limit harmful consequences of such a leak;

(D) evaluating the interactions of carbon dioxide with formation solids and fluids, including the propensity of injections to induce seismic activity;

(E) assessing and ensuring the safety of operations relating to geologic sequestration of carbon dioxide;

(F) determining the fate of carbon dioxide concurrent with and following injection into geologic formations;

(G) supporting cost and business model assessments to examine the economic viability of technologies and systems developed under the program;

(H) providing information to the Environmental Protection Agency, States, local governments, Tribal governments, and other appropriate entities, to ensure the protection of human health and the environment; and

(I) evaluating the quantity, location, and timing of geologic carbon storage deployment that may be needed, and developing strategies and resources to enable the deployment.

(3) Geologic settingsIn carrying out research activities under this subsection, the Secretary shall consider a variety of candidate onshore and offshore geologic settings, including—

(A) operating oil and gas fields;

(B) depleted oil and gas fields;

(D) unconventional reservoirs and rock types;

(E) unmineable coal seams;

(F) saline formations in both sedimentary and basaltic geologies;

(G) geologic systems that may be used as engineered reservoirs to extract economical quantities of brine from geothermal resources of low permeability or porosity; and

(H) geologic systems containing in situ carbon dioxide mineralization formations.

(1) In general

(2) Existing regional carbon sequestration partnerships

(3) Demonstration components

(4) ClearinghouseThe National Energy Technology Laboratory shall act as a clearinghouse of shared information and resources for—

(A) existing or completed demonstration projects receiving additional funding under paragraph (2); and

(B) any new demonstration projects funded under this subsection.

(5) ReportNot later than 1 year after December 27, 2020, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Science, Space, and Technology of the House of Representatives a report that—

(A) assesses the progress of all regional carbon sequestration partnerships carrying out a demonstration project under this subsection;

(B) identifies the remaining challenges in achieving large-scale carbon sequestration that is reliable and safe for the environment and public health; and

(C) creates a roadmap for carbon storage research and development activities of the Department through 2025, with the goal of reducing economic and policy barriers to commercial carbon sequestration.

(d) Integrated storage

(1) In general

(2) Goals and objectivesThe goals and objectives of the Secretary in seeking to transition large-scale carbon sequestration demonstration projects into integrated commercial storage complexes under paragraph (1) shall be—

(A) to identify geologic storage sites that are able to accept large volumes of carbon dioxide acceptable for commercial contracts;

(B) to understand the technical and commercial viability of carbon dioxide geologic storage sites; and

(C) to carry out any other activities necessary to transition the large-scale carbon sequestration demonstration projects under subsection (c) into integrated commercial storage complexes.

(e) Large-scale carbon storage commercialization program

(1) In general

(2) Applications; selection

(A) In general

(B) Application processThe Secretary shall establish an application process that, to the maximum extent practicable—

(i) is open to projects at any stage of development described in paragraph (1); and

(ii) facilitates expeditious development of projects described in that paragraph.

(i) projects with substantial carbon dioxide storage capacity; or

(ii) projects that will store carbon dioxide from multiple carbon capture facilities.

(f) Preference in project selection from meritorious proposalsIn making competitive awards under this section, subject to the requirements of section 16353 of this title, the Secretary shall—

(1) with respect to the research, development, demonstration program components described in subsections (b) through (d) give preference to proposals from partnerships among industrial, academic, and government entities; and

(2) require recipients to provide assurances that all laborers and mechanics employed by contractors and subcontractors in the construction, repair, or alteration of new or existing facilities performed in order to carry out a demonstration or commercial application activity authorized under this section shall be paid wages at rates not less than those prevailing on similar construction in the locality, as determined by the Secretary of Labor in accordance with subchapter IV of chapter 31 of title 40, and the Secretary of Labor shall, with respect to the labor standards in this paragraph, have the authority and functions set forth in Reorganization Plan Numbered 14 of 1950 (15 Fed. Reg. 3176; 5 U.S.C. Appendix) and section 3145 of title 40.

(g) Cost sharing

(h) Authorization of appropriations

(Pub. L. 109–58, title IX, § 963, Aug. 8, 2005, 119 Stat. 891; Pub. L. 110–140, title VII, § 702(a), Dec. 19, 2007, 121 Stat. 1704; Pub. L. 116–260, div. Z, title IV, § 4003(a), Dec. 27, 2020, 134 Stat. 2536; Pub. L. 117–58, div. D, title III, § 40305, Nov. 15, 2021, 135 Stat. 1001.)

§ 16294. Research and development for coal mining technologies

(a) Establishment

(b) Cooperation

(1) be guided by the mining research and development priorities identified by the Mining Industry of the Future Program and in the recommendations from relevant reports of the National Academy of Sciences on mining technologies;

(2) include activities exploring minimization of contaminants in mined coal that contribute to environmental concerns including development and demonstration of electromagnetic wave imaging ahead of mining operations;

(3) develop and demonstrate coal bed electromagnetic wave imaging, spectroscopic reservoir analysis technology, and techniques for horizontal drilling in order to—

(A) identify areas of high coal gas span;

(B) increase methane recovery efficiency;

(D) minimize water disposal associated with methane extraction; and

(4) expand mining research capabilities at institutions of higher education.

(Pub. L. 109–58, title IX, § 964, Aug. 8, 2005, 119 Stat. 892.)

§ 16295. Oil and gas research programs

(a) In general

The Secretary shall conduct a program of research, development, demonstration, and commercial application of oil and gas, including—

(1) exploration and production;

(2) gas hydrates;

(3) reservoir life and extension;

(4) transportation and distribution infrastructure;

(5) ultraclean fuels;

(6) heavy oil, oil shale, and tar sands; and

(7) related environmental research.

(b) Objectives

(d) Integrated clean power and energy research

(1) Establishment of center

(2) Focus areas

The center or consortium shall conduct a program of research, development, demonstration, and commercial application on integrating the following 6 focus areas:

(A) Efficiency and reliability of gas turbines for power generation.

(B) Reduction in emissions from power generation.

(D) Effectively using alternative fuels and renewable energy.

(E) Development of advanced materials technology for oil and gas exploration and use in harsh environments.

(F) Education on energy and power generation issues.

(Pub. L. 109–58, title IX, § 965, Aug. 8, 2005, 119 Stat. 892.)

§ 16296. Low-volume oil and gas reservoir research program

(a) Definition of GIS

(b) Program

Under the program, the Secretary shall collect data on—

(1) the status and location of marginal wells and oil and gas reservoirs;

(2) the production capacity of marginal wells and oil and gas reservoirs;

(3) the location of low-pressure gathering facilities and pipelines; and

(4) the quantity of natural gas vented or flared in association with crude oil production.

(d) Analysis

Under the program, the Secretary shall—

(1) estimate the remaining producible reserves based on variable pipeline pressures; and

(2) recommend measures that will enable the continued production of those resources.

(e) Study

(1) In general

(2) Organization with no GIS capabilities

(3) State geologists

(f) Public information

(Pub. L. 109–58, title IX, § 966, Aug. 8, 2005, 119 Stat. 893.)

§ 16297. Complex Well Technology Testing Facility

The Secretary, in coordination with industry leaders in extended research drilling technology, shall establish a Complex Well Technology Testing Facility at the Rocky Mountain Oilfield Testing Center to increase the range of extended drilling technologies.

(Pub. L. 109–58, title IX, § 967, Aug. 8, 2005, 119 Stat. 894.)

§ 16298. Carbon utilization program

(a) In general

(b) ActivitiesUnder the program described in subsection (a), the Secretary shall—

(1) assess and monitor—

(A) potential changes in lifecycle carbon dioxide and other greenhouse gas emissions; and

(B) other environmental safety indicators of new technologies, practices, processes, or methods used in enhanced hydrocarbon recovery as part of the activities authorized under section 16293 of this title;

(2) identify and evaluate novel uses for carbon (including conversion of carbon oxides) that, on a full lifecycle basis, achieve a permanent reduction, or avoidance of a net increase, in carbon dioxide in the atmosphere, for use in commercial and industrial products such as—

(A) chemicals;

(B) plastics;

(D) fuels;

(E) cement;

(F) products of coal utilization in power systems or in other applications; and

(G) other products with demonstrated market value;

(3) identify and assess carbon capture technologies for industrial systems; and

(4) identify and assess alternative uses for coal that result in zero net emissions of carbon dioxide or other pollutants, including products derived from carbon engineering, carbon fiber, and coal conversion methods.

(c) PrioritizationIn supporting demonstration and commercialization research under the program described in subsection (a), the Secretary shall prioritize consideration of projects that—

(1) have access to a carbon dioxide emissions stream generated by a stationary source in the United States that is capable of supplying not less than 250 metric tons per day of carbon dioxide for research;

(2) have access to equipment for testing small-scale carbon dioxide utilization technologies, with onsite access to larger test bays for scale-up; and

(3) have 1 or more existing partnerships with a National Laboratory, an institution of higher education, a private company, or a State or other government entity.

(d) Coordination

(e) Authorization of appropriations

(Pub. L. 109–58, title IX, § 969, as added Pub. L. 116–260, div. S, § 102(c)(1), Dec. 27, 2020, 134 Stat. 2248.)

§ 16298a. Carbon utilization program

(a) In generalThe Secretary shall establish a program of research, development, and demonstration for carbon utilization—

(1) to assess and monitor—

(A) potential changes in lifecycle carbon dioxide and other greenhouse gas emissions; and

(2) to identify and assess novel uses for carbon, including the conversion of carbon and carbon oxides for commercial and industrial products and other products with potential market value;

(3) to develop or obtain, in coordination with other applicable Federal agencies and standard-setting organizations, standards and certifications, as appropriate, to facilitate the commercialization of the products and technologies described in paragraph (2);

(4) to identify and assess carbon capture technologies for industrial systems; and

(5) to identify and assess alternative uses for raw coal and processed coal products in all phases that result in no significant emissions of carbon dioxide or other pollutants, including products derived from carbon engineering, carbon fiber, and coal conversion methods.

(b) Demonstration programs for the purpose of commercialization

(1) In general

(2) Grant program

(A) In general

(B) Eligible entitiesTo be eligible to receive a grant under this paragraph, an entity shall be—

(i) a State;

(ii) a unit of local government; or

(iii) a public utility or agency.

(D) Use of fundsAn eligible entity shall use a grant received under this paragraph to procure and use commercial or industrial products that—

(i) use or are derived from anthropogenic carbon oxides; and

(ii) demonstrate significant net reductions in lifecycle greenhouse gas emissions compared to incumbent technologies, processes, and products.

(3) Cost sharing

(1) In generalIn carrying out the program under subsection (a), the Secretary shall establish and operate a national Carbon Utilization Research Center (referred to in this subsection as the “Center”), which shall focus on early stage research and development activities including—

(A) post-combustion and pre-combustion capture of carbon dioxide;

(B) advanced compression technologies for new and existing fossil fuel-fired power plants;

(D) advanced carbon dioxide storage technologies that consider a range of storage regimes.

(2) SelectionThe Secretary shall—

(A) select the Center under this subsection on a competitive, merit-reviewed basis; and

(B) consider applications from the National Laboratories, institutions of higher education, multiinstitutional collaborations, and other appropriate entities.

(3) Existing centers

(4) Duration

(5) Renewal

(6) Termination

(d) Authorization of appropriationsThere are authorized to be appropriated to the Secretary to carry out this section—

(1) $41,000,000 for fiscal year 2022;

(2) $65,250,000 for fiscal year 2023;

(3) $66,562,500 for fiscal year 2024;

(4) $67,940,625 for fiscal year 2025; and

(5) $69,387,656 for fiscal year 2026.

(e) Coordination

(Pub. L. 109–58, title IX, § 969A, as added Pub. L. 116–260, div. Z, title IV, § 4004(a)(1), Dec. 27, 2020, 134 Stat. 2539; amended Pub. L. 117–58, div. D, title III, § 40302, Nov. 15, 2021, 135 Stat. 987.)

§ 16298b. High efficiency turbines

(a) In general

(b) Program elementsThe program shall—

(1) support first-of-a-kind engineering and detailed gas turbine design for small-scale and utility-scale electric power generation, including—

(A) high temperature materials, including superalloys, coatings, and ceramics;

(B) improved heat transfer capability;

(C) manufacturing technology required to construct complex 3-dimensional geometry parts with improved aerodynamic capability;

(D) combustion technology to produce higher firing temperature while lowering nitrogen oxide and carbon monoxide emissions per unit of output;

(E) advanced controls and systems integration;

(F) advanced high performance compressor technology; and

(G) validation facilities for the testing of components and subsystems;

(2) include technology demonstration through component testing, subscale testing, and full-scale testing in existing fleets;

(3) include field demonstrations of the developed technology elements to demonstrate technical and economic feasibility;

(4) assess overall combined cycle and simple cycle system performance;

(5) increase fuel flexibility by enabling gas turbines to operate with high proportions of, or pure, hydrogen or other renewable gas fuels;

(6) enhance foundational knowledge needed for low-emission combustion systems that can work in high-pressure, high-temperature environments required for high-efficiency cycles;

(7) increase operational flexibility by reducing turbine start-up times and improving the ability to accommodate flexible power demand; and

(8) include any other elements necessary to achieve the goals described in subsection (c), as determined by the Secretary, in consultation with private industry.

(1) In generalThe goals of the program shall be—

(A) in phase I, to develop a conceptual design of, and to develop and demonstrate the technology required for—

(i) advanced high efficiency gas turbines to achieve, on a lower heating value basis—(I) a combined cycle efficiency of not less than 65 percent; or(II) a simple cycle efficiency of not less than 47 percent; and

(ii) aviation gas turbines to achieve a 25 percent reduction in fuel burn by improving fuel efficiency to existing best-in-class turbo-fan engines; and

(B) in phase II, to develop a conceptual design of advanced high efficiency gas turbines that can achieve, on a lower heating value basis—

(i) a combined cycle efficiency of not less than 67 percent; or

(ii) a simple cycle efficiency of not less than 50 percent.

(2) Additional goals

(d) Financial assistance

(1) In general

(2) Proposals

(3) ConsiderationsIn selecting proposed projects to receive financial assistance under this subsection, the Secretary shall give special consideration to the extent to which the proposed project will—

(A) stimulate the creation or increased retention of jobs in the United States; and

(B) promote and enhance technology leadership in the United States.

(4) Competitive awards

(5) Cost sharing

(e) Authorization of appropriations

(Pub. L. 109–58, title IX, § 969B, as added Pub. L. 116–260, div. Z, title IV, § 4005(a), Dec. 27, 2020, 134 Stat. 2542.)

§ 16298c. National Energy Technology Laboratory reforms

(a) Special hiring authority for scientific, engineering, and project management personnel

(1) In generalThe Director of the National Energy Technology Laboratory (referred to in this section as the “Director”) may—

(A) make appointments to positions in the National Energy Technology Laboratory to assist in meeting a specific project or research need, without regard to civil service laws, of individuals who—

(i) have an advanced scientific or engineering background; or

(ii) have a business background and can assist in specific technology-to-market needs;

(B) fix the basic pay of any employee appointed under subparagraph (A) at a rate not to exceed level II of the Executive Schedule under section 5313 of title 5; and

(C) pay any employee appointed under subparagraph (A) payments in addition to the basic pay fixed under subparagraph (B), subject to the condition that the total amount of additional payments paid to an employee under this subparagraph for any 12-month period shall not exceed the least of—

(i) $25,000;

(ii) the amount equal to 25 percent of the annual rate of basic pay of that employee; and

(iii) the amount of the limitation that is applicable for a calendar year under section 5307(a)(1) of title 5.

(2) Limitations

(A) In general

(B) Full-time employees

(b) Laboratory-directed research and development

(1) In general

(2) Authorization of funding

(A) In general

(B) Use

(i) shall be administered by the Secretary;

(ii) shall be available without fiscal year limitation; and

(iii) shall not be subject to appropriation.

(3) Requirement

(4) Annual report on use of authority

(d) ReviewNot later than 2 years after December 27, 2020, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Science, Space, and Technology of the House of Representatives a report assessing the management and research activities of the National Energy Technology Laboratory, which shall include—

(1) an assessment of the quality of science and research at the National Energy Technology Laboratory, relative to similar work at other National Laboratories;

(2) a review of the effectiveness of authorities provided in subsections (a) and (b); and

(3) recommendations for policy changes within the Department and legislative changes to provide the National Energy Technology Laboratory with the necessary tools and resources to advance the research mission of the National Energy Technology Laboratory.

(Pub. L. 109–58, title IX, § 969C, as added Pub. L. 116–260, div. Z, title IV, § 4006(a), Dec. 27, 2020, 134 Stat. 2544.)

§ 16298d. Carbon removal

(a) Establishment

(b) Intraagency coordination

(1) direct air capture and storage technologies;

(2) bioenergy with carbon capture and sequestration;

(3) enhanced geological weathering;

(4) agricultural practices;

(5) forest management and afforestation; and

(6) planned or managed carbon sinks, including natural and artificial.

(d) RequirementsIn developing and identifying carbon removal technologies and strategies under the program, the Secretary shall consider—

(1) land use changes, including impacts on natural and managed ecosystems;

(2) ocean acidification;

(3) net greenhouse gas emissions;

(4) commercial viability;

(5) potential for near-term impact;

(6) potential for carbon reductions on a gigaton scale; and

(7) economic cobenefits.

(e) Air capture prize competitions

(1) DefinitionsIn this subsection:

(A) Dilute media

(B) Prize competition

(i) In generalThe term “qualified carbon dioxide” means any carbon dioxide that—(I) is captured directly from the ambient air; and(II) is measured at the source of capture and verified at the point of disposal, injection, or utilization.

(ii) Inclusion

(iii) Exclusion

(D) Qualified direct air capture facility

(i) In generalThe term “qualified direct air capture facility” means any facility that—(I) uses carbon capture equipment to capture carbon dioxide directly from the ambient air; and(II) captures more than 50,000 metric tons of qualified carbon dioxide annually.

(ii) ExclusionThe term “qualified direct air capture facility” does not include any facility that captures carbon dioxide—(I) that is deliberately released from naturally occurring subsurface springs; or(II) using natural photosynthesis.

(2) EstablishmentNot later than 2 years after December 27, 2020, the Secretary, in consultation with the Administrator of the Environmental Protection Agency, shall establish as part of the program a competitive technology prize competition to award prizes for—

(A) precommercial carbon dioxide capture from dilute media; and

(B) commercial applications of direct air capture technologies.

(3) RequirementsIn carrying out this subsection, the Secretary, in accordance with section 3719 of title 15, shall develop requirements for—

(A) the prize competition process; and

(B) monitoring and verification procedures for projects selected to receive a prize under the prize competition.

(4) Eligible projects

(A) Precommercial air capture projectsWith respect to projects described in paragraph (2)(A), to be eligible to be awarded a prize under the prize competition, a project shall—

(i) meet minimum performance standards set by the Secretary;

(ii) meet minimum levels set by the Secretary for the capture of carbon dioxide from dilute media; and

(iii) demonstrate in the application of the project for a prize—(I) a design for a promising carbon capture technology that will—(aa) be operated on a demonstration scale; and(bb) have the potential to achieve significant reduction in the level of carbon dioxide in the atmosphere;(II) a successful bench-scale demonstration of a carbon capture technology; or(III) an operational carbon capture technology on a commercial scale.

(B) Commercial direct air capture projects

(i) In general

(ii) Amount of awardThe amount of the award per metric ton under clause (i)—(I) shall be equal for each qualified direct air capture facility selected for a prize under the prize competition; and(II) shall be determined by the Secretary and in any case shall not exceed—(aa) $180 for qualified carbon dioxide captured and stored in saline storage formations;(bb) a lesser amount, as determined by the Secretary, for qualified carbon dioxide captured and stored in conjunction with enhanced oil recovery operations; or(cc) a lesser amount, as determined by the Secretary, for qualified carbon dioxide captured and utilized in any activity consistent with section 45Q(f)(5) of title 26.

(iii) Requirement

(f) Direct air capture test center

(1) In general

(2) PurposeEach Center shall—

(A) advance research, development, demonstration, and commercial application of direct air capture and storage technologies;

(B) support large-scale pilot and demonstration projects and test direct air capture and storage technologies; and

(3) Selection

(A) In general

(B) Competitive basis

(C) Priority criteriaIn selecting entities to receive grants under this subsection, the Secretary shall prioritize consideration of applicants that—

(i) have access to existing or planned research facilities for direct air capture and storage technologies;

(ii) are institutions of higher education with established expertise in engineering for direct air capture and storage technologies, or partnerships with such institutions of higher education; or

(iii) have access to existing research and test facilities for bulk materials design and testing, component design and testing, or professional engineering design.

(4) Formula for awarding grants

(5) Schedule

(A) In general

(B) Renewal

(6) Termination

(g) Pilot and demonstration projectsIn supporting the technology development activities under this section, the Secretary is encouraged to support carbon removal pilot and demonstration projects, including—

(1) pilot projects that test direct air capture systems capable of capturing 10 to 100 tonnes of carbon oxides per year to provide data for demonstration-scale projects; and

(2) direct air capture demonstration projects capable of capturing greater than 1,000 tonnes of carbon oxides per year.

(h) Intraagency collaboration

(i) Accounting

(j) Regional direct air capture hubs

(1) DefinitionsIn this subsection:

(A) Eligible project

(B) Regional direct air capture hub

(2) Establishment of program

(A) In general

(B) Regional direct air capture hubsEach of the 4 regional direct air capture hubs developed under the program under subparagraph (A) shall be a regional direct air capture hub that—

(i) facilitates the deployment of direct air capture projects;

(ii) has the capacity to capture and sequester, utilize, or sequester and utilize at least 1,000,000 metric tons of carbon dioxide from the atmosphere annually from a single unit or multiple interconnected units;

(iii) demonstrates the capture, processing, delivery, and sequestration or end-use of captured carbon; and

(iv) could be developed into a regional or interregional carbon network to facilitate sequestration or carbon utilization.

(3) Selection of projects

(A) Solicitation of proposals

(i) In general

(ii) Additional solicitations

(B) Selection of projects for the development of regional direct air capture hubs

(i) Carbon intensity of local industryTo the maximum extent practicable, each eligible project shall be located in a region with—(I) existing carbon-intensive fuel production or industrial capacity; or(II) carbon-intensive fuel production or industrial capacity that has retired or closed in the preceding 10 years.

(ii) Geographic diversity

(iii) Carbon potential

(iv) Hubs in fossil-producing regions

(v) Scalability

(vi) Employment

(vii) Additional criteria

(D) Coordination

(E) Funding of eligible projects

(4) Authorization of appropriations

(k) Authorization of appropriationsThere are authorized to be appropriated to the Secretary to carry out this section—

(1) $175,000,000 for fiscal year 2021, of which—

(A) $15,000,000 shall be used to carry out subsection (e)(2)(A), to remain available until expended; and

(B) $100,000,000 shall be used to carry out subsection (e)(2)(B), to remain available until expended;

(2) $63,500,000 for fiscal year 2022;

(3) $66,150,000 for fiscal year 2023;

(4) $69,458,000 for fiscal year 2024; and

(5) $72,930,000 for fiscal year 2025.

(Pub. L. 109–58, title IX, § 969D, as added Pub. L. 116–260, div. Z, title V, § 5001(a), Dec. 27, 2020, 134 Stat. 2547; amended Pub. L. 117–58, div. D, title III, § 40308(a), Nov. 15, 2021, 135 Stat. 1003.)

§ 16298e. Carbon dioxide removal task force and report

(a) Definition of carbon dioxide removalIn this section, the term “carbon dioxide removal” means the capture of carbon dioxide directly from ambient air or, in dissolved form, from seawater, combined with the sequestration of that carbon dioxide, including through—

(1) direct air capture and sequestration;

(2) enhanced carbon mineralization;

(3) bioenergy with carbon capture and sequestration;

(4) forest restoration;

(5) soil carbon management; and

(6) direct ocean capture.

(b) ReportNot later than 180 days after December 27, 2020, the Secretary of Energy (in this section referred to as the “Secretary”), in consultation with the heads of any other relevant Federal agencies, shall prepare a report that—

(1) estimates the magnitude of excess carbon dioxide in the atmosphere that will need to be removed by 2050 to achieve net-zero emissions and stabilize the climate;

(2) inventories current and emerging approaches of carbon dioxide removal and evaluates the advantages and disadvantages of each of the approaches; and

(3) identifies recommendations for legislation, funding, rules, revisions to rules, financing mechanisms, or other policy tools that the Federal Government can use to sufficiently advance the deployment of carbon dioxide removal projects in order to meet, in the aggregate, the magnitude of needed removals estimated under paragraph (1), including policy tools, such as—

(A) grants;

(B) loans or loan guarantees;

(D) direct procurement;

(E) incentives, including subsidized Federal financing mechanisms available to project developers;

(F) advance market commitments;

(G) regulations; and

(H) any other policy mechanism determined by the Secretary to be beneficial for advancing carbon dioxide removal methods and the deployment of carbon dioxide removal projects.

(1) submit the report prepared under subsection (b) to the Committee on Energy and Natural Resources of the Senate and the Committees on Energy and Commerce and Science, Space, and Technology of the House of Representatives; and

(2) as soon as practicable after completion of the report, make the report publicly available.

(d) Evaluation; revision

(1) In general

(2) RevisionAfter completing each evaluation under paragraph (1), the Secretary shall—

(A) revise the report as necessary; and

(B) if the Secretary revises the report under subparagraph (A), submit and publish the updated report in accordance with subsection (c).

(e) Task force

(1) Establishment and dutiesNot later than 60 days after December 27, 2020, the Secretary shall establish a task force—

(A) to identify barriers to advancement of carbon dioxide removal methods and the deployment of carbon dioxide removal projects;

(B) to inventory existing or potential Federal legislation, rules, revisions to rules, financing mechanisms, or other policy tools that are capable of advancing carbon dioxide removal methods and the deployment of carbon dioxide removal projects;

(C) to assist in preparing the report described in subsection (b) and any updates to the report under subsection (d); and

(D) to advise the Secretary on matters pertaining to carbon dioxide removal.

(2) Members and selectionThe Secretary shall—

(A) develop criteria for the selection of members to the task force established under paragraph (1); and

(B) select members for the task force in accordance with the criteria developed under subparagraph (A).

(3) Meetings

(4) EvaluationNot later than 7 years after December 27, 2020, the Secretary shall—

(A) reevaluate the need for the task force established under paragraph (1); and

(B) submit to Congress a recommendation as to whether the task force should continue.

(Pub. L. 116–260, div. Z, title V, § 5002, Dec. 27, 2020, 134 Stat. 2550.)