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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

New York Energy Highway Blueprint Received by Governor

LCG, October 24, 2012--The Governor of New York received Monday his Energy Highway Task Force's Blueprint, a comprehensive plan that will add up to 3,200 MW of additional electric generation and transmission capacity, including 270 MW of renewable generating capacity, through approximately $5.7 billion in private investments.

The Governor introduced the energy initiative in his 2012 State of the State address with the goal to ensure that New York's energy grid is the most advanced in the nation and promotes increased business investment in the state.

The Governor stated, "As we work to grow New York's economy, we need reliable, affordable, and clean power to leverage significant private sector investments, to allow businesses to grow, and to create jobs. The energy highway will ensure that businesses and residential consumers across New York State have access to the affordable power they need to plan for not just today, but also for the future. An economy built to last requires a power infrastructure that gives businesses the confidence and security they need to hire new workers and plan for years to come, and this Blueprint continues to position New York State as a national leader in clean energy production and investment."

The Energy Highway highlights include plans to: (i) invest $1 billion for 1,000 MW of new electric transmission capacity, (ii) initiate $250 million in new renewable energy projects, plus $425 million in private investment to create 270 MW of new renewable energy capacity; (iii) modernize and repower existing inefficient, high emission plants to create 750 MW of power, enabled by approximately $1.5 - $2.0 billion investment; (iv) generate 1,200 MW of additional capacity through approximately $1 - $2 billion investment to help meet reliability needs to address retiring power plants across the state; (v) accelerate $1.3 billion of investment in existing transmission and distribution projects to enhance reliability, improve safety, reduce cost to customers and reduce emissions; (vi) invest $250 million to develop Smart Grid technologies and create the most advanced energy management control center in the country; and (vii) initiate field studies of Atlantic Ocean offshore wind development potential.

The Energy Highway Task Force members are: Gil C. Quiniones, president and chief executive officer of the New York Power Authority; Joseph Martens, commissioner of the New York State Department of Environmental Conservation; Kenneth Adams, president, chief executive officer and commissioner of Empire State Development; Garry A. Brown, chairman of the New York State Public Service Commission; and Francis J. Murray, Jr., president and chief executive officer of the New York State Energy Research and Development Authority.

The interagency Energy Highway Task Force will implement the plans, and the State believes these steps, including a first-of-its-kind solicitation of new transmission projects by the Department of Public Service, will significantly compress the schedule to develop the energy infrastructure.

The Energy Highway Task Force created the Blueprint after reviewing over 100submittals provided by 85 entities including investor-owned utilities (IOUs), private developers and investors in response to its Request for Information (RFI), issued in April.
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