[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3982 Introduced in House (IH)]
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118th CONGRESS
1st Session
H. R. 3982
To amend section 45Q of the Internal Revenue Code of 1986 to establish
the mine methane capture incentive credit.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
June 9, 2023
Mrs. Miller of West Virginia (for herself, Ms. Sewell, Mr.
Reschenthaler, and Mr. Deluzio) introduced the following bill; which
was referred to the Committee on Ways and Means
_______________________________________________________________________
A BILL
To amend section 45Q of the Internal Revenue Code of 1986 to establish
the mine methane capture incentive credit.
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 ``Methane Reduction and Economic
Growth Act''.
SEC. 2. MINE METHANE CAPTURE INCENTIVE CREDIT.
(a) In General.--Section 45Q(f) of the Internal Revenue Code of
1986 is amended by adding at the end the following new paragraph:
``(10) Methane capture.--
``(A) In general.--In the case of qualified
methane--
``(i) paragraph (4) of subsection (a) shall
be applied--
``(I) by substituting `per metric
ton of CO2e (as defined in section
45Z(d)(2)) of qualified methane' for
`per metric ton of qualified carbon
oxide',
``(II) by substituting `methane
capture equipment' for `carbon capture
equipment', and
``(III) in subparagraph (B)(i), by
substituting `either--
```(I) injected by the taxpayer for
energy use--
```(aa) in a pipeline which
satisfies the pipeline
integrity management guidelines
of section 192 of title 49,
Code of Federal Regulations,
and is in compliance with
instrumental leak monitoring
and other preventive and
mitigative measures under
section 192.935 of title 49,
Code of Federal Regulations, or
```(bb) in a gathering
system that feeds a pipeline
described in item (aa), or
```(II) otherwise used for
producing heat or energy,
in a manner that does not involve more than de-
minimis release of methane into the atmosphere'
for `used by the taxpayer as a tertiary
injectant in a qualified enhanced oil or
natural gas recovery project and disposed of by
the taxpayer in secure geological storage',
``(ii) the term `qualified facility' shall
mean any mining facility, the construction of
which begins before January 1, 2033, and where
the construction of methane capture equipment
begins before such date, and which captures not
less than 2,500 metric tons of methane during
the taxable year, and
``(iii) this section shall be applied by
substituting `methane capture' for `carbon
capture' and `qualified methane' for `qualified
carbon oxide' oxide' in subsections (b)(2)(B),
(f)(1)(F)(4), (h), (i), and otherwise as
determined by the Secretary.
``(B) Qualified methane defined.--For purposes of
this paragraph, the term `qualified methane' means any
methane which--
``(i) is captured from mining activities,
including underground mines, abandoned or
closed mines, or surface mines, by methane
capture equipment,
``(ii) would otherwise be released into the
atmosphere as industrial emission of greenhouse
gas or lead to such release, and
``(iii) is measured at the source of
capture and verified at the point of injection
or utilization.''.
(b) Effective Date.--The amendments made by this section shall
apply to qualified methane captured after December 31, 2022.
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