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US Policy Shift to Carbon Capture, Utilization, and Storage

October 22, 2012
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The Atlantic Council’s Energy and Environment Program has released an issue brief entitled: “US Policy Shift to Carbon Capture, Utilization, and Storage Driven by Carbon Dioxide Enhanced Oil Recovery.” The issue brief is one in a series the Atlantic Council is publishing analyzing carbon capture, utilization, and storage (CCUS). Contributors to this brief include Pamela Tomski, senior fellow, Energy and Environment Program; Vello Kuuskraa, president, Advanced Resources International; and Michael Moore, executive director of the North American Carbon Capture and Storage Association and vice president of Business Development with Blue Strategies. Each is an internationally recognized experts on CO2 enhanced oil recovery (EOR) and carbon markets. 

In the absence of US legislative action on climate policy, there has been a shift in US policy emphasis from carbon capture and storage (CCS) technology to CCUS with the “U” for “utilization” for EOR. Although there are many uses for carbon dioxide (CO2), the primary utilization opportunity in the United States is enhanced oil recovery. Currently, CO2-EOR offers the only significant price signal for carbon, and it provides the nation’s most viable commercial CCUS pathway, increasing domestic oil production and helping to revitalize the US economy. The report states that the extent to which CO2-EOR will be leveraged for wide-scale CCUS deployment depends largely on how the CO2-EOR market develops and on what type of policy actions are taken to incentivize CO2 capture.

The Energy and Environment Program also released an issue brief on "The Business Case for Carbon Capture, Utilization, and Storage."

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