Hearings to examine advancing carbon capture, utilization and sequestration technologies and ensuring effective implementation of the USE IT Act

Nuclear Regulation and EPA NominationsSenate Environment and Public Works · February 12, 2025 · 119th Congress
The Senate Environment and Public Works Committee convened this hearing to examine implementation of the USE IT Act, focusing on delays in Class VI well permitting and interagency task forces meant to accelerate carbon capture, utilization, and sequestration (CCUS) deployment. Begins at ▶ 0:16:41
Transcript
Highlights

Title

Advancing carbon capture, utilization, and sequestration technology deployment

Purpose

The Senate Environment and Public Works Committee convened this hearing to examine implementation of the USE IT Act, focusing on delays in Class VI well permitting and interagency task forces meant to accelerate carbon capture, utilization, and sequestration (CCUS) deployment. Chair Capito and Ranking Member Whitehouse, longtime bipartisan collaborators on carbon capture policy, led witness testimony from experts on state primacy for underground CO2 injection wells, pipeline permitting, and federal funding programs. Members explored why some states like North Dakota have moved quickly on CCUS permitting while a large national backlog persists. Begins at▶ 0:16:41

Who spoke

• Chair Shelley Moore Capito (R-WV)▶ 0:16:41: Opened by noting West Virginia's carbon capture research efforts and criticized the Biden administration for taking 18 months longer than required to charter USE IT Act task forces, chartered only in April 2024▶ 0:19:14; said West Virginia received Class VI primacy on the Biden administration's last day▶ 0:20:42; later probed witnesses on North Dakota's nine permitted projects and the economics of pairing direct air capture with natural gas▶ 1:00:54▶ 1:25:54.

• Sen. Sheldon Whitehouse (D-RI), Ranking Member▶ 0:21:49: Said 2024 crossed the 1.5°C warming threshold and only 11 of 1,200 IPCC scenarios still offer a pathway to climate safety▶ 0:22:47▶ 0:23:19; cited only 45 carbon capture facilities operating worldwide capturing 50 million tons annually versus the gigaton scale needed▶ 0:24:45; pressed Cavanaugh on DOE's Loan Programs Office reportedly exploring cancellation of $69 billion in issued loans and $41 billion in conditional commitments, including a $1 billion commitment to Monolith in Nebraska▶ 0:52:35; challenged fossil fuel industry's "split personality" of touting carbon capture rhetorically while resisting funding it or regulations requiring it▶ 0:54:18.

• Sen. Kevin Cramer (R-ND)▶ 0:27:43: Introduced witness Kevin Connors and highlighted North Dakota's leadership in CCUS▶ 0:28:10; asked Connors how North Dakota achieved first-in-nation Class VI primacy and about the aquifer exemption barrier blocking use of geologic formations unsuitable for drinking water▶ 1:04:05▶ 1:06:32; cited only eight Class VI wells permitted nationally versus 161 awaiting permits, and a biofuel stakeholder waiting 33 months against a 24-month EPA commitment▶ 1:11:47▶ 1:12:16.

• Kevin Connors, Assistant Director for Regulatory Compliance and Energy Policy, UND Energy and Environmental Research Center▶ 0:30:59: Testified the Class VI primacy process can take four to seven years▶ 0:34:33; identified retrofit costs, pipeline transportation challenges, and permitting delays as the three main barriers to CCUS deployment▶ 0:33:32; explained the Safe Drinking Water Act bars aquifer exemptions for Class VI wells even where formations are geologically unsuitable for drinking water, unlike other well classes▶ 1:07:49▶ 1:08:14; detailed North Dakota's nine permitted projects, including an ethanol plant operating since June 2022 capturing 180,000–200,000 tons annually▶ 1:01:16▶ 1:01:30.

• Dan Yates, Executive Director, Ground Water Protection Council▶ 0:36:33: Said only four states currently hold Class VI primacy while states wait years after submitting applications▶ 0:38:13; testified $1.2 million in congressionally authorized state training funds has not been released by EPA▶ 0:39:59; told Sen. Husted states are better suited to primacy due to staffing focus and existing geologic knowledge from Class I and II programs▶ 0:49:07▶ 0:51:23.

• Jack Cavanaugh, Manager of Carbon Management, Breakthrough Energy▶ 0:42:05: Said the U.S. needs multiple gigatons of carbon capture and removal capacity annually▶ 0:43:29; warned freezing DOE loan guarantees would likely prevent projects like Monolith from reaching final investment decisions▶ 0:53:15; said the federal CCUS task force needs new political appointees confirmed before it can finalize recommendations to Congress▶ 0:45:25.

• Sen. Jon Husted (R-OH)▶ 0:47:37: Argued states are better positioned than EPA to manage Class VI primacy given local geologic knowledge▶ 0:48:33; asked what lessons Ohio's experience with other UIC well classes offers for CO2 injection primacy▶ 0:50:45.

• Sen. Pete Ricketts (R-NE)▶ 1:15:37: Agreed states are more efficient than EPA at permitting and asked whether states can alter environmental stringency requirements under primacy▶ 1:15:57.

• Sen. John Curtis (R-UT)▶ 1:17:19: Asked what actions the administration can take to fully implement the USE IT Act, noting only two projects are listed as FAST-41 covered projects▶ 1:18:14; asked what federal resources exist to help states process Class VI permit reviews▶ 1:21:36.

Key moments

• Whitehouse said review of 1,200 IPCC scenarios found only 11 remain achievable pathways to 1.5°C climate safety, and that review is now three years old, meaning fewer than 11 pathways likely remain▶ 0:22:47▶ 0:23:19.

• Capito said the Biden administration approved only two Class VI projects and granted primacy to just two states (Louisiana after 3.5 years, and West Virginia on its last day in office) despite Congress providing $25 million and $50 million in IIJA funding to speed EPA review▶ 0:19:41▶ 0:20:42.

• Whitehouse disclosed DOE's new Loans Programs Office director is exploring cancellation of loans and guarantees potentially affecting $69 billion issued and $41 billion in conditional commitments, including $1 billion for Nebraska's Monolith carbon utilization project; Cavanaugh confirmed the freeze would likely prevent the project from reaching a final investment decision▶ 0:52:35▶ 0:53:15.

• Connors explained the Safe Drinking Water Act's aquifer exemption prohibition uniquely applies to Class VI wells, excluding geologic formations unsuitable for drinking water — removing billions of tons of storage potential in states like Montana, Colorado, Utah, Oregon, and Alaska — and said fixing it requires either congressional action or EPA rulemaking▶ 0:35:25▶ 1:08:14▶ 1:08:38.

• Cramer cited only eight Class VI wells permitted nationally against 161 awaiting permits, and noted a biofuel stakeholder waited 33 months for a permit despite EPA's stated 24-month commitment, per letters he and Sen. Fischer sent EPA▶ 1:12:16▶ 1:12:44.

• Connors contrasted federal versus state permitting speed: EPA takes about two years to issue a Class VI permit, while North Dakota averages about eight months and Wyoming about 12 months for the first three permits▶ 1:14:40▶ 1:15:07.

• Cramer said the USE IT Act's streamlining cut some permitting processes from 110 steps to 22 steps and reduced review time from 90 to 65 days▶ 1:14:13.

• Curtis noted Texas alone could absorb 35% of the national Class VI application backlog and two additional states in the queue could take another 40%, if EPA granted them primacy▶ 1:20:06.

• Whitehouse accused parts of the fossil fuel industry of a "split personality," touting carbon capture publicly while opposing funding or EPA power-plant regulations that would require it; Cavanaugh responded that public financial disclosures make clear which companies are "actually putting steel in the ground" versus spending on campaigns▶ 0:54:18▶ 0:55:05.

• Connors said direct air capture projects generally need to remove about a million tons of CO2 annually to justify a dedicated Class VI well, and that only one conditional permit — the Brown Pelican project in West Texas — has been issued specifically for direct air capture▶ 1:23:30▶ 1:24:01.

Metadata

CommitteeSenate Environment and Public Works
Chamber / CongressSenate · 119th Congress
DateFebruary 12, 2025
TypeMeeting
Witnesses
(none listed in event metadata)
Videosenate-isvp
Transcript203 caption blocks · 10,506 words · 1:33:44 runtime
EventCongress.gov 336595