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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

PG&E Executes Contract for 290 MW of Solar Power

LCG, October 16, 2009--Pacific Gas and Electric Company (PG&E) yesterday announced a new power purchase agreement (PPA) with Agua Caliente Solar, LLC, a subsidiary of NextLight Renewable Power, LLC, for solar power from a 290-MW project to be built in Yuma County, Arizona. The project will incorporate photovoltaic (PV) panels for solar power generation.

The Agua Caliente project is scheduled to commence power deliveries to the grid in mid-2012 and to be fully operational by late 2014. The agreement is subject to approval by the California Public Utilities Commission (CPUC).

California passed a Renewable Portfolio Standard (RPS) Program that requires utilities like PG&E to increase their electric supply procurement of eligible renewable generating resources by one percent of load per year. Last month, the Governor signed an Executive Order that increased the requirement to 33 percent by 2020 and that now applies to all utilities, including publicly-owned municipal utilities.
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