News & Analysis as of

Carbon Capture and Sequestration Regulatory Requirements

Jackson Walker

IRS Issues Safe Harbor for Section 45Q Carbon Capture Credits

Jackson Walker on

On December 19, 2025, the IRS issued Notice 2026-1, providing a safe harbor for taxpayers seeking to claim the federal income tax credit for qualified carbon oxide sequestration under section 45Q of the Internal Revenue Code...more

Hogan Lovells

Indonesia introduces KBLI 2025: Key changes to business classification framework

Hogan Lovells on

The Government of Indonesia has recently issued a new regulation under Central Statistic Agency (Badan Pusat Statistik,“BPS”)) Regulation No. 7 of 2025 on the Indonesian Standard Industrial Classification (“BPS Reg. 7/2025”)....more

Vinson & Elkins LLP

IRS Provides Certainty on 45Q Amid EPA Reporting Changes

Vinson & Elkins LLP on

On December 19, 2025, the IRS delivered a little holiday cheer in the form of IRS notice 2026-01 (the “45Q Safe Harbor Notice”), which addressed uncertainty created by the Environmental Protection Agency’s (“EPA”)...more

Baker Botts L.L.P.

Treasury Establishes 45Q Carbon Capture Tax Credit Safe Harbor for Verifying CO2 Sequestration

Baker Botts L.L.P. on

On December 19, 2025, Treasury and the IRS released Notice 2026-1 (the “Notice”) establishing an alternative method for taxpayers to substantiate carbon oxide sequestration volumes for section 45Q carbon capture tax credits...more

Bracewell LLP

IRS Notice Provides Guidance to Establish Secure Geological Storage for Purposes of Code Section 45Q

Bracewell LLP on

Notice 2026-1 (the Notice) provides important guidance under Section 45Q of the Internal Revenue Code of 1986, as amended (the Code), for taxpayers claiming that carbon oxides are stored in secure geological storage following...more

Stoel Rives LLP

IRS Issues Guidance Regarding Safe Harbor for Section 45Q Carbon Oxide Sequestration Credit

Stoel Rives LLP on

The IRS today released guidance regarding certain reporting requirements for determining eligibility for the Section 45Q carbon oxide sequestration credit.  The guidance, Notice 2026-1 (the Notice), addresses proposed...more

Bennett Jones LLP

Alberta Energy Regulator Announces New Editions of Directive 071 and Manual 026

Bennett Jones LLP on

Building on our previous blog regarding the AERH2S model, this update addresses the new editions of Alberta Energy Regulator (AER) Directive 071: Emergency Preparedness and Response and the associated Manual 026: Emergency...more

Haynes Boone

EPA Grants Texas Primacy Over Class VI Injection Wells

Haynes Boone on

The U.S. Environmental Protection Agency (EPA) issued a final rule approving the Texas Railroad Commission’s (RRC) application for primacy over Class VI injection wells. Class VI is a category of Underground Injection Control...more

Winstead PC

Texas’ CCS Landscape Shifts with Class VI Primacy and Clearer Pore-Space Ownership Rules

Winstead PC on

On November 12, 2025, the U.S. Environmental Protection Agency (EPA) granted the Texas Railroad Commission (RRC) primacy over the Class VI Underground Injection Control (UIC) program, authorizing Texas to assume primary...more

Mayer Brown

Brazilian Public Consultation Discusses Rules for Carbon Capture and Storage (CCS) Projects

Mayer Brown on

In the context of regulating the Future Fuel Law (Law No. 14,933/2024), the Ministry of Mines and Energy (MME) launched, on November 17, 2025, Public Consultation No. 205, concerning the draft Decree that regulates Carbon...more

Troutman Pepper Locke

Texas Receives Class VI Primacy: What CCS Developers Need to Know

Troutman Pepper Locke on

Last week, the U.S. Environmental Protection Agency (EPA) announced that it will formally grant the Railroad Commission of Texas (RRC) primary authority (known as “primacy”) to administer the Class VI Underground Injection...more

Latham & Watkins LLP

EPA Grants Texas Primacy Over Class VI Carbon Storage Wells

Latham & Watkins LLP on

The rule positions the Railroad Commission of Texas as the primary permitting authority over Class VI wells and could expedite CCS projects in the state....more

Baker Botts L.L.P.

Texas Granted Primacy over Class VI Carbon Sequestration Wells

Baker Botts L.L.P. on

On November 12, 2025, the Railroad Commission of Texas (“RRC”) and U.S. Environmental Protection Agency (“EPA”) announced that EPA had granted Texas primary enforcement authority (“primacy”) under the Safe Drinking Water Act...more

Jones Day

Carbon Capture Utilization and Storage in EMEA

Jones Day on

In July 2025, Jones Day released a White Paper titled, "CCUS Regulation and Incentives in the Asia-Pacific Region: A Comparative Table for Strategic Decision-Making," followed by the publication in August of "Carbon Capture...more

Whiteford

Client Alert: DOE Grant Cancellations: Practical Steps for Recipients Facing Termination

Whiteford on

The Department of Energy (DOE) has recently terminated or suspended a number of high-profile energy grants, withdrawing more than $3.7 billion in commitments for projects involving carbon capture, decarbonization, and...more

Jones Day

Carbon Capture Utilization and Storage in the United States

Jones Day on

Jones Day released a White Paper titled, “CCUS Regulation and Incentives in the Asia-Pacific Region: A Comparative Table for Strategic Decision-Making.” This White Paper is a continuation on that topic, covering carbon...more

Hinshaw & Culbertson LLP

New Session, New Laws, New Lens: How Louisiana’s 2025 Legislative Session and the Federal One Big Beautiful Bill Act Have Reshaped...

A significant piece of legislation seems to have slipped under the radar of many watching the carbon capture & storage (“CCS”) space in Louisiana. While on the national level, contrary to some fears, the One Big Beautiful...more

McGuireWoods LLP

Eighth Circuit Reaffirms Federal Preemption Over Local Pipeline Ordinances

McGuireWoods LLP on

Last month, the U.S. Court of Appeals for the Eighth Circuit issued an opinion discussing the Pipeline Safety Act’s (PSA’s) preemption over local ordinances seeking to regulate pipeline safety — a decision that provides...more

Troutman Pepper Locke

Well, Well: Outlook for CCUS Projects in Texas Improves as EPA Proposes to Delegate Permitting Authority and the Texas Supreme...

Troutman Pepper Locke on

On June 17, the Environmental Protection Agency (EPA) published a proposed rule to approve Texas’s application for primary permitting and enforcement responsibility (primacy) for carbon dioxide (CO2) sequestration wells...more

Jones Day

UK's Climate Change Committee Publishes Seventh Carbon Budget

Jones Day on

The UK's Climate Change Act 2008 requires the UK government to set five-year carbon budgets that cap total greenhouse gas ("GHG") emissions. The UK is currently operating within its Fourth Carbon Budget, which covers the...more

Brownstein Hyatt Farber Schreck

Wyoming Joint Minerals Committee Looks to Enhanced Oil Recovery

On May 21, 2025, the Joint Minerals, Business and Economic Development Committee met in Casper, Wyoming. Lawmakers and industry leaders examined the future of enhanced oil recovery (EOR) in the state—an effort that could...more

Perkins Coie

State Control of Injection Well Permitting Stays in Focus Amid Legal Challenges Over CCS Infrastructure

Perkins Coie on

Key Takeaways - - EPA is evaluating the Texas Railroad Commission's formal primacy application. If granted, Texas will assume primary enforcement authority—or primacy—over Class VI wells. - Carbon capture and storage...more

Oliva Gibbs

Ohio Gets in on the Action: Proposed House Bill 170 Takes Aim at Carbon Capture & Sequestration

Oliva Gibbs on

The Ohio General Assembly has recently introduced their attempt to allow carbon capture and sequestration (hereinafter “CCS”) as a widespread means of reducing carbon emissions within the State. The proposed act (hereinafter...more

Steptoe & Johnson PLLC

U.S. EPA Approves West Virginia’s Request for Primacy Regarding Issuance of Class VI Injection Well Permits

Steptoe & Johnson PLLC on

The U.S. Environmental Protection Agency (EPA) has approved West Virginia’s application to obtain authorization and primacy regarding the issuance of permits for Class VI underground injection control (UIC) wells. This...more

Foley Hoag LLP - Energy & Climate Counsel

Supreme Court Refuses to Halt EPA Power Plant Emissions Rule Pending Federal Appeal

On October 16, 2024, the United States Supreme Court shot down requests from states and industry groups to stay the implementation of the Environmental Protection Agency’s (EPA) rule to reduce carbon emissions from coal-fired...more

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