TCEP Support
Texas and the TCE Project
• For decades, Texas has been the oil and gas capital of the United States.
• Texas is the nation’s wind leader, with more than 8,000 megawatts of installed capacity.
• The Bureau of Economic Geology (TBEG) at the University of Texas is a national leader on carbon capture and sequestration (CCS) and has participated in several sequestration projects sponsored by the U.S. Department of Energy.
Texas has mobilized state and local forces in support of TCEP:
• The Odessa Chamber of Commerce will provide the 600-acre project site.
• In its 2009 session, the Texas Legislature enacted House Bill 469 by unanimous vote in the Senate and a vote of 141-5 in the House. The bill provides tax incentives, similar to those enacted in 2007 for FutureGen, for the first three "clean energy projects" built in Texas that achieve a minimum of 70 percent carbon capture and sequestration. The bill’s incentives also include a 30-year severance tax reduction for oil produced using man-made carbon dioxide for EOR.
In addition, HB 469 also gives responsibility (and a funding mechanism) for the Texas Bureau of Economic Geology to design the world's first CCS programs and protocols for carbon dioxide used in EOR operations, including an entire monitoring, verification, and accounting (MVA) program. This will enable Texas to create a model for the nation in the use of carbon dioxide for EOR as a recognized and qualifying form of CCS. For these and other reasons, H.B. 469 stands as one of the most progressive carbon-related laws yet enacted anywhere in the United States.
Summit has contracted with Blue Source, LLC to manage the commercial sale and CCS-related aspects of TCEP’s captured carbon dioxide. The Blue Source website is www.bluesource.com.
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