[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 4280 Introduced in Senate (IS)]

<DOC>






117th CONGRESS
  2d Session
                                S. 4280

 To require the Secretary of Energy to remove carbon dioxide directly 
         from ambient air or seawater, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                 May 19 (legislative day, May 17), 2022

  Mr. Coons (for himself and Mr. Whitehouse) introduced the following 
bill; which was read twice and referred to the Committee on Energy and 
                           Natural Resources

_______________________________________________________________________

                                 A BILL


 
 To require the Secretary of Energy to remove carbon dioxide directly 
         from ambient air or seawater, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Federal Carbon Dioxide Removal 
Leadership Act of 2022''.

SEC. 2. FEDERAL REQUIREMENT TO REMOVE CARBON DIOXIDE.

    (a) Definitions.--In this section:
            (1) Eligible technology.--
                    (A) In general.--The term ``eligible technology'' 
                means any equipment, technique, or technology, as 
                determined appropriate by the Secretary, placed into 
                service after January 1, 2022, that removes carbon 
                dioxide directly from ambient air or seawater.
                    (B) Exclusion.--The term ``eligible technology'' 
                does not include any equipment, technique, or 
                technology that--
                            (i) removes carbon dioxide that is 
                        deliberately released from naturally occurring 
                        subsurface springs; or
                            (ii) removes carbon dioxide through natural 
                        photosynthesis, subject to subparagraph (C).
                    (C) Other eligible technology.--
                            (i) In general.--Notwithstanding 
                        subparagraph (B)(ii), the term ``eligible 
                        technology'', with respect to a project for the 
                        removal of carbon dioxide carried out by an 
                        entity with which the Secretary enters into a 
                        contract under subsection (c), includes any 
                        equipment, technique, or technology used in the 
                        project that removes carbon dioxide using 
                        gasification or pyrolysis of solid, 
                        nonhazardous, and cellulosic waste materials if 
                        the Secretary, by rule, determines that the 
                        equipment, technique, or technology, as 
                        applicable, is capable of--
                                    (I) adequately monitoring, 
                                reporting, and verifying the amount of 
                                greenhouse gas emissions (calculated on 
                                a lifecycle basis) that are associated 
                                with the equipment, technique, or 
                                technology; and
                                    (II) adequately mitigating the 
                                environmental impacts (including 
                                impacts on biodiversity, land use, and 
                                air and water quality) associated with 
                                the equipment, technique, or 
                                technology.
                            (ii) Rule.--The Secretary shall review any 
                        rule promulgated pursuant to clause (i) not 
                        less frequently than once every 6 years after 
                        the date on which the rule is promulgated.
            (2) Lifecycle basis.--The term ``lifecycle basis'' means 
        the net sum of all greenhouse gas emissions (using mass values 
        for all greenhouse gases that are adjusted to account for their 
        relative global warming potential, in consultation with the 
        Administrator of the Environmental Protection Agency) and 
        removals associated with carbon dioxide removal activity, 
        including any emissions associated with--
                    (A) energy and feedstock inputs;
                    (B) the carbon dioxide removal process; and
                    (C) carbon dioxide storage, including use and 
                disposal of any materials or products associated with 
                carbon dioxide storage.
            (3) Remove.--The term ``remove'', with respect to carbon 
        dioxide, means--
                    (A) to capture carbon dioxide using an eligible 
                technology; and
                    (B) to permanently store that captured carbon 
                dioxide--
                            (i) in dedicated subsurface geologic 
                        storage reported under sections 98.440 and 
                        146.91(e) of title 40, Code of Federal 
                        Regulations (or successor regulations);
                            (ii) in materials, including building 
                        materials and mineralized carbon materials; or
                            (iii) through another permanent storage 
                        method, as determined by the Secretary.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (5) Small removal project.--The term ``small removal 
        project'' means a project for the removal of carbon dioxide 
        that removes not more than 5 percent of the net metric tons of 
        carbon dioxide required to be removed under subsection (b)(1) 
        for the fiscal year in which the project begins.
    (b) Removal Requirement.--
            (1) Amounts.--The Secretary shall, if economically feasible 
        as determined under paragraph (2), remove--
                    (A) 50,000 net metric tons of carbon dioxide, 
                calculated on a lifecycle basis, for each of fiscal 
                years 2024 and 2025;
                    (B) 500,000 net metric tons of carbon dioxide, 
                calculated on a lifecycle basis, for each of fiscal 
                years 2026 through 2028;
                    (C) 5,000,000 net metric tons of carbon dioxide, 
                calculated on a lifecycle basis, for each of fiscal 
                years 2029 through 2034; and
                    (D) 10,000,000 net metric tons of carbon dioxide, 
                calculated on a lifecycle basis, for fiscal year 2035 
                and each fiscal year thereafter.
            (2) Economic feasibility.--
                    (A) In general.--The removal of carbon dioxide 
                under paragraph (1) shall be considered economically 
                feasible if the removal can be accomplished, or in the 
                case of a contract under subsection (c), purchased--
                            (i) for each of fiscal years 2024 and 2025, 
                        at a price per metric ton of carbon dioxide of 
                        not more than $550;
                            (ii) for each of fiscal years 2026 through 
                        2028, at a price per metric ton of carbon 
                        dioxide of not more than $400;
                            (iii) for each of fiscal years 2029 through 
                        2031, at a price per metric ton of carbon 
                        dioxide of not more than $300;
                            (iv) for each of fiscal years 2032 through 
                        2034, at a price per metric ton of carbon 
                        dioxide of not more than $200; and
                            (v) for fiscal year 2035 and each fiscal 
                        year thereafter, at a price per metric ton of 
                        carbon dioxide of not more than $150.
                    (B) Inclusion of monitoring, reporting, and 
                verification costs.--For purposes of subparagraph (A), 
                the price per metric ton of carbon dioxide shall 
                include any costs associated with the monitoring, 
                reporting, and verification required under subsection 
                (d).
                    (C) Multiyear contracts.--The removal of carbon 
                dioxide carried out pursuant to a multiyear contract 
                entered into under subsection (c) shall be considered 
                economically feasible if such removal can be 
                accomplished at the applicable dollar amount for the 
                first fiscal year of the contract, as provided in 
                subparagraph (A), through the entire length of the 
                contract.
            (3) Timing.--For each fiscal year, the Secretary shall 
        remove the amount of carbon dioxide required under paragraph 
        (1) for that fiscal year not later than 3 years after the 
        beginning of that fiscal year.
            (4) Small removal project set-aside.--To the extent 
        practicable, at least 20 percent of the net metric tons of 
        carbon dioxide required to be removed under paragraph (1) for 
        each of fiscal years 2024 through 2034 shall be removed through 
        small removal projects.
    (c) Contracts for Projects To Remove Carbon Dioxide.--
            (1) In general.--To meet the requirements of subsection 
        (b), the Secretary may enter into contracts to carry out 
        projects for the removal of carbon dioxide, including small 
        removal projects.
            (2) Duration.--A contract entered into under paragraph (1) 
        shall be for a term of not more than 15 years.
            (3) Priorities.--In entering into contracts under paragraph 
        (1), the Secretary shall give priority to contracts for 
        projects that--
                    (A) minimize the amount of greenhouse gas emissions 
                released by carrying out the project;
                    (B) support the commercialization of innovative 
                removal technologies;
                    (C) increase the diversity of commercially 
                available eligible technologies;
                    (D) provide the greatest potential for domestic job 
                creation;
                    (E) result in economic development or economic 
                diversification in regions or localities that have 
                historically generated significant economic activity 
                from the production, processing, transportation, or 
                combustion of fossil fuels, including through the use 
                of coal mines, fossil fuel-fired electricity generating 
                units, and petroleum refining facilities;
                    (F) quantify and mitigate the effect of removing 
                carbon dioxide on environmental justice, the 
                environment, and public health; and
                    (G) include robust public engagement and community 
                benefits.
    (d) Monitoring, Reporting, and Verification.--
            (1) In general.--The Secretary, or an entity with which the 
        Secretary enters into a contract under subsection (c), shall 
        monitor, report, and verify the net metric tons of carbon 
        dioxide that the Secretary or the entity, as applicable, 
        removes for purposes of this section.
            (2) Best practices.--The Secretary shall ensure that any 
        project carried out under a contract entered into under 
        subsection (c) shall follow the best available practices, as 
        determined by the Secretary, for monitoring, reporting, and 
        verifying the net metric tons of carbon dioxide removed under 
        the project, including best practices that--
                    (A) are used by similar carbon dioxide removal 
                projects; and
                    (B) are necessary to ensure safe, effective, and 
                efficient removal of carbon dioxide.
            (3) Prohibition on double counting.--Carbon dioxide that is 
        removed for the purpose of complying with any other greenhouse 
        gas emissions management program, including any foreign, 
        Federal, State, local, or private greenhouse gas emissions 
        management program, as determined by the Secretary, may not be 
        considered removed under subsection (b) for purposes of meeting 
        the requirements of that subsection.
    (e) Federal Assistance.--Funds received pursuant to a contract 
entered into under subsection (c) shall not be considered Federal 
assistance or otherwise affect eligibility for any Federal assistance, 
including a tax incentive.
    (f) Report.--Not later than January 1, 2027, and every 2 years 
thereafter, the Secretary shall submit to Congress, and make publicly 
available, a report that describes the progress made in carrying out 
the requirements of this section, including--
            (1) the amounts of carbon dioxide removed during the period 
        covered by the report, as verified pursuant to subsection (d);
            (2) the total price, and price per metric ton, of removing 
        carbon dioxide for each applicable fiscal year during the 
        period covered by the report;
            (3) the methods of monitoring, reporting, and verification 
        required under subsection (d);
            (4) an assessment, to the extent practicable, of how the 
        amounts of carbon dioxide removed during the period covered by 
        the report have affected environmental justice, the 
        environment, and public health; and
            (5) information on any labor impact or job creation 
        resulting from carrying out the requirements of this section 
        during the period covered by the report.
    (g) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.
                                 <all>