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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

Tucson Electric Power's Renewable PPA's Supported by Arizona Commission

LCG, September 3, 2010--Tucson Electric Power (TEP) announced yesterday that the Arizona Corporation Commission (ACC) expressed its support for the power purchase agreements (PPAs) for ten renewable energy projects having a combined electric generating capacity of nearly 150 MW.

The ACC, which received the PPAs in late May, determined that the agreements are "an appropriate component" of TEP's actions toward achieving compliance with Arizona's renewable energy goals. The renewable project developers are now poised to proceed toward completion of financing, securing land rights, and other necessary steps that will enable construction of the projects, with operations scheduled to commence in 2011 or 2012.

The eight solar projects have a combined capacity of 97 MW and are sited in the Tucson area. The projects include three photovoltaic (PV) facilities that employ fixed panels and have electric generating capacities of 35 MW, 25 MW and 5 MW, respectively. Two other PV projects will employ single-axis tracking devices and have capacities of 12 MW and 4 MW, respectively.

There are three proposed solar projects designed to use concentrating solar power (CSP) PV systems that use mirrors to focus the sun's energy on PV material to increase energy output from each PV cell. The generating capacity of the largest project is 12 MW, and that of the other two projects is 2 MW each.

The largest single renewable project is a proposed 50-MW wind farm sited near TEP's existing natural gas-fired Luna Energy Generating Station in Deming, New Mexico.

A new biogas generator with an electric generating capacity of 2.2 MW is the last renewable project supported by the ACC. The proposed generator will be installed at Pima County's Tangerine Landfill and burn biogas collected from and generated by the landfill.

David Hutchens, Vice President of Energy Efficiency and Resource Planning for TEP and UniSource Energy, stated, "These new systems, combined with other projects already in the works, will give us access to clean, green energy from a wide variety of reasonably priced renewable generating resources."

The development of these "zero-water, renewable energy" projects is a positive step by TEP to comply with Arizona's Renewable Energy Standard (RES), which sets a target for utilities of using renewable power to meet 15 percent of the electricity demand of their customers in 2025.
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