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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 Storage Deployment Program Awaits Governor's Signature

LCG, June 27, 2017--New York State legislators last week unanimously passed legislation that calls for the New York Public Service Commission (PSC) to develop an Energy Storage Deployment Program. If the legislation, Senate Bill 5190 and Assembly Bill 6571, is signed by the Governor, then the PSC will need to develop storage procurement targets for 2030 by the end of this year.

The legislation would require the PSC to start a proceeding to establish an Energy Storage Deployment Program for the State of New York within ninety days of the Bill's effective date. The legislation directs the PSC to work with the New York State Energy and Research Development Agency (NYSERDA) and the Long Island Power Authority (LIPA) to set the targets and develop the storage deployment program.

The sponsors of the legislation state that increased energy storage should improve grid reliability and create jobs. One legislator said, "Storage also increases the resiliency of the electric grid by supplying power in the event of an electrical outage. The creation of an energy storage deployment program will increase the installation of energy storage systems throughout the state and accelerate these benefits."

New York's Clean Energy Standard, which was approved in August 2016, requires that 50 percent of New York's electricity come from renewable resources by 2030 so as to reduce greenhouse gas emissions. With the increased reliance on intermittent renewable generation resources, like wind and solar, the need to rely on energy storage capacity will also rise.
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