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EPA and Texas Railroad Commission Sign Memorandum of Agreement for Permitting Geologic Storage of Carbon Dioxide

LCG, April 29, 2025--Officials from the U.S. Environmental Protection Agency (EPA) and Texas Railroad Commission (RRC) signed a memorandum of agreement (MOA) today outlining the state’s plans to administer programs related to carbon storage wells, known as Class VI wells. The MOA signing is a required step in the RRC’s application to be granted authority to permit Class VI wells in the state of Texas. EPA is currently preparing a proposed approval of RRC’s primacy application.

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Calpine and ExxonMobil Sign CO2 Transportation and Storage Agreement for CCS Project in Texas

LCG, April 24, 2025--Exxon Mobil Corporation (ExxonMobil) announced yesterday an agreement with Calpine Corporation (Calpine) to transport and permanently store up to 2 million metric tons per annum (MTA) of CO2 from Calpine’s Baytown Energy Center, a natural gas-fired facility located near Houston, Texas. This is part of Calpine’s Baytown Carbon Capture and Storage (CCS) Project that is designed to add CCS for the facility’s CO2 emissions. The Calpine facility could then provide a 24/7 supply of low-carbon electricity to the Texas grid plus steam to nearby industrial facilities.

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Industry News

Northeast Reliability Interconnect Project Costs to be Shared

LCG, August 23, 2004--ISO New England (ISO-NE) has reviewed the proposed Northeast Reliability Interconnect Project, a 345-kV transmission line connecting Maine to New Brunswick, and has determined that the line will improve reliability in New England and that the costs, therefore, should be spread across New England's customer base, rather than borne solely by customers in Maine. Bangor Hydro-Electric Co. (BHE) had proposed the project that will connect Orrington to Keswick, New Brunswick.

There are five, transmission line routes under evaluation. BHE is expected to release the planned route in September, and then pursue permits and regulatory approvals from municipalities, the Maine Public Utilities Commission and the Federal Energy Regulatory Commission. The Maine section of the line will be built, owned and operated by BHE and the New Brunswick section will be built, owned and operated by New Brunswick Power. The goal is to have the line in service by the end of 2006.

The cost sharing of the $90 million project is an important victory for electricity consumers in Maine. Consumers in Connecticut are currently under pressure to pay significant transmission upgrade costs for proposed, incremental costs that are not deemed to benefit all of New England.

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