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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

AEP Moves Another Step Closer to Retiring 4,400 MW of Coal-fired Generating Facilities by Summer

LCG, March 25, 2015--American Electric Power (AEP) will close six coal-fired power plants by the end of May, with four additional retirements scheduled by year-end. The plant closings are part of the utility's compliance plan for new Environmental Protection Agency EPA regulations, primarily the Mercury and Air Toxics Standard (MATS) rule that commence in June.

An AEP spokesperson stated that AEP has sent notices to employees at the Kanawha River (400 MW), Philip Sporn (600 MW) and Kammer (630 MW) plants in West Virginia; the Glen Lyn (335 MW) plant in Virginia; the Muskingum River (1,440 MW) plant in Ohio; and the Tanners Creek (995 MW) plant in Indiana that these facilities will cease operations by May 31, 2015. The combined generating capacity of these plants that will be closed prior to the summer peak season is 4,400 MW.

AEP also plans to retire Clinch River, Unit 3 (235 MW), in Virginia; Big Sandy, Unit 2 (800 MW), in Kentucky; and the Beckjord Generating Station (53 MW) and Picway, Unit 5 (100 MW) in Ohio by year-end. These closures total another 953 MW of generating capacity.

In 2016 AEP plans to retire Northeastern Station, Unit 4 (470 MW), in Oklahoma; and Welsh, Unit 2 (528 MW), in Texas. In total, these retirements will eliminate 6,586 MW of electric generating capacity.
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