Carbon Management

Carbon management refers to cutting-edge technologies and practices like carbon capture, utilization and storage (CCUS) and carbon dioxide removal (CDR) that permanently reduce excess carbon dioxide in the atmosphere.

Innovation in carbon management technologies can provide American businesses and project developers with proven, voluntary tools they can deploy across the energy and industrial sectors to reduce emissions, grow global demand for high-value American products and ensure long-term market access for American energy.


NET Power Facility

Why is carbon management important for growing our economy and maintaining U.S. energy dominance?

  • Carbon management is a major emerging global market. The CDR market alone was valued at $370 million in 2022 and is projected to surge to $8.1 billion by 2028, reflecting growing demand for durable, scalable carbon innovation.
  • American companies have a competitive edge. The U.S. operates over 40% of the world’s commercial carbon capture facilities and leads in early-stage carbon removal innovation with over 200 CCUS projects at various stages of development across the U.S. and two advanced million-ton scale direct air capture projects in Texas and Louisiana.
  • Carbon management is needed to maximize domestic fossil resources. These technologies are well-positioned to advance American competitiveness in the growing $17.6 billion enhanced oil recovery (EOR) market by supplying carbon dioxide for extraction. The U.S. EOR market represents about 36% of the global EOR market.

American leadership in carbon management is at risk. Today, other countries are pulling ahead of the U.S. in capturing these global markets. China’s public investments in carbon management now outpace the U.S. The EU aims to capture 280 million metric tons of CO2 by 2040. Without sustained investment and policy certainty, the U.S. risks losing its competitive edge in a sector critical to energy security and industrial competitiveness.

Solutions

Streamline permitting for carbon management infrastructure. Finalize updated, streamlined regulations for CO2 transportation through pipelines; clarify permitting processes for new, innovative solutions such as carbon storage through enhanced mineralization and marine carbon dioxide removal pathways; and support the buildout of regional carbon management hubs to safely capture, transport and utilize or store carbon at scale.
The U.S. Department of Energy’s Office of Fossil Energy, Advanced Research Projects Agency–Energy, and Energy Efficiency and Renewable Energy (EERE) are supporting some of this work, but more is needed.
Strengthen financial incentives for carbon management investments. Bolster the deployment of carbon capture and removal technologies to achieve commercial scale through bipartisan incentives such as 45Q. These innovations also create high-quality jobs, strengthen American energy and industrial leadership and provide practical, scalable solutions for reducing emissions across hard-to-abate sectors.
Ensure the durability of federal carbon management policies. Support legislation that advances these solutions, such as the Next Generation Pipelines Research and Development Act, the Enhanced Energy Recovery Act, and the Carbon Removal and Emissions Storage Technologies Act.
Uses of Carbon Dioxide
Here’s the CCUS and use image to pull from, but just put the “convert it” piece at the bottom:
Carbon is a feedstock: It can enhance energy and manufacturing while reducing emissions.
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