WASHINGTON, D.C. — The U.S. Department of Energy’s (DOE) Office of Fossil Energy and Carbon Management (FECM) today announced more than $518 million to support 23 selected projects across 19 states that will fight climate change by developing the infrastructure needed for national decarbonization. The projects, funded by the Bipartisan Infrastructure Law, will provide for the development and validation of commercial large-scale carbon storage infrastructure to significantly and responsibly reduce carbon dioxide (CO₂) emissions from industrial operations and power plants, as well as from legacy emissions in the atmosphere, while supporting good jobs and environmental priorities in local communities. DOE is also seeking information from stakeholders on carbon storage infrastructure needs prior to opening the next round of this funding opportunity.

“President Biden’s Investing in America Agenda is generating record-breaking levels of public and private investment in critical infrastructure across the Nation to achieve historic climate and clean energy goals,” said Brad Crabtree, Assistant Secretary of Fossil Energy and Carbon Management. “The funding announced today will help ensure that carbon storage projects—crucial to slashing harmful carbon pollution—are designed, built, and operated safely and responsibly across all phases of development, to deliver healthier communities as well as high-quality American jobs.”

Carbon Storage Validation and Testing Project Selections

Twenty-three projects were selected for negotiation to support the development of new and expanded commercial large-scale carbon storage projects with the capability to store 50 or more million metric tons of CO₂ over a 30-year period. All projects will support the Carbon Storage Assurance Facility Enterprise (CarbonSAFE) Initiative, managed by FECM, and focus on the detailed site characterization, planning, permitting, and construction stages of project development under CarbonSAFE.  

• Twelve projects were selected for CarbonSAFE Phase II: Storage Complex Feasibility. These projects will undertake assessments of potential CO₂ storage complexes, particularly in regions that lack these facilities.
  
  
• Nine projects were selected for CarbonSAFE Phase III: Site Characterization and Permitting. These project teams have completed initial field investigations of subsurface conditions and will now focus on conducting detailed site characterization projects and obtaining Underground Injection Control Class VI permits, which are required by the U.S. Environmental Protection Agency.
  
  
• One project was selected for CarbonSAFE Phase III.5: NEPA, FEED Studies, and Storage Field Development Plan Only. The funding granted during this phase provides an opportunity for DOE to complete National Environmental Policy Act (NEPA) requirements for the project.
  
  
• One project was selected for CarbonSAFE Phase IV: Construction. The project will construct the commercial large-scale secure geologic storage facility and prepare it for CO₂ injection.

The selected project teams were required, as part of their applications, to submit Community Benefits Plans to demonstrate meaningful engagement with and tangible benefits to the communities in which these projects will be located. These plans provide details on their commitments to community and labor engagement; quality job creation; diversity, equity, inclusion, and accessibility; and benefits to disadvantaged communities as part of the Justice40 Initiative. The Biden-Harris Administration’s Justice40 Initiative sets a goal that 40% of the overall benefits of certain federal investments in climate, clean energy, and other areas flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution.

DOE’s selections are subject to environmental review in accordance with the NEPA review process. DOE reserves the right to terminate award negotiations at any time for any reason.

DOE’s National Energy Technology Laboratory (NETL), under the purview of FECM, will manage projects selected under this funding opportunity. Additional details about the selected projects can be found here.

Request for Information – DOE’s CarbonSAFE Initiative

Prior to the next release of this funding opportunity, DOE will evaluate the CarbonSAFE Initiative to ensure that it is supporting the deployment of carbon storage infrastructure in the most responsible, efficient, and effective manner possible. As part of this evaluation, DOE is releasing a request for information (RFI) that seeks input from multiple stakeholders including carbon storage project developers, storage site operators, federal/state land managers, researchers, regulators, investors, insurers, community advocacy leaders, labor unions, environmental organizations, and others. The goal is to obtain these individual stakeholders’ perspectives regarding:

• The aspects of this funding opportunity that have been the most successful in achieving the DOE Carbon Transport and Storage Program’s stated vision of “supporting rapid deployment of carbon storage necessary to enable the decarbonization of the U.S. economy.”
• How the CarbonSAFE Initiative, its objectives, and the design of this funding opportunity can be modified or improved to better achieve this vision.

The RFI can be accessed via this link.

DOE’s Broader Advancement of Carbon Storage Technologies

With the selections announced today, FECM has announced investments of more than $1.41 billion in projects since January 2021 that advance the research, development, and deployment of carbon transport and storage technologies and infrastructure. This includes $242 million for nine projects selected in May 2023 and $444 million for 16 projects selected in November 2023 under the first and second closings of the Carbon Storage Validation and Testing funding opportunity. This progress is essential to help drive economic development, technological innovation, and high-wage jobs as we build a clean energy and industrial economy.

FECM minimizes environmental and climate impacts of fossil fuels and industrial processes while working to achieve net-zero emissions across the U.S economy. Priority areas of technology work include carbon capture, carbon conversion, carbon dioxide removal, carbon dioxide transport and storage, hydrogen production with carbon management, methane emissions reduction, and critical minerals production. To learn more, visit the FECM website, sign up for FECM news announcements, and visit the NETL website.