US CO₂ Storage and Transport – The Role of the SCALE Act

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The briefing outlines how the SCALE Act would drive the deployment of CO₂ infrastructure in the U.S. through cost-sharing for storage hubs, increased EPA permitting funding, and the creation of the CO₂ Infrastructure Finance and Innovation Act (CIFIA) for low-interest loans. It argues that shared 'hubs' are essential for decarbonizing emissions-intensive industries like steel and cement and for scaling Direct Air Capture. The author highlights a 'chicken-and-egg challenge' where capture projects cannot proceed without infrastructure, and infrastructure cannot be funded without committed capture projects. While other nations like Canada, Norway, and the UK have implemented significant funding for such networks, the U.S. currently lacks an equivalent policy, risking a loss of competitiveness despite the existence of the Section 45Q tax credit.

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  • The SCALE Act proposes four primary policy pillars to accelerate CO₂ infrastructure: the Secure Geologic Storage Infrastructure Development Program for commercial storage hubs, increased funding for EPA Class VI permitting (including grants for state-led programs), a DOE Front-End Engineering and Design (FEED) grant program, and the CO₂ Infrastructure Finance and Innovation Act (CIFIA) to provide low-interest loans and grants for transport infrastructure.
  • Shared CO₂ transport and storage 'hubs' are critical for achieving net-zero emissions because they enable capture in regions without suitable geology, provide economies of scale to lower unit costs per ton of CO₂, and reduce financing risk by connecting multiple buyers and sellers.
  • The deployment of CO₂ infrastructure in the U.S. is hindered by a 'chicken-and-egg challenge' where capture projects require certain infrastructure to be committed, but infrastructure developers require committed capture projects to justify investment. Additionally, the Section 45Q tax credit is insufficient to fund the major new transport and storage infrastructure required for individual projects.
  • While the U.S. has 5,000 miles of CO₂ pipelines primarily used for enhanced oil recovery, it has only one commercial-scale dedicated CO₂ storage site. In contrast, other governments have provided substantial funding for shared infrastructure, such as Canada's $550 million for the Alberta Carbon Trunk Line, Norway's $2 billion for the Northern Lights project, and the UK's £1 billion CCS infrastructure fund.

Cite the original document

APA
Beck, L. (2021). US CO₂ Storage and Transport – The Role of the SCALE Act. Clean Air Task Force. https://www.catf.us/2021/03/us-co%e2%82%82-transport-and-storage-infrastructure/
Chicago
Beck, Lee. US CO₂ Storage and Transport – The Role of the SCALE Act. Clean Air Task Force, 2021. https://www.catf.us/2021/03/us-co%e2%82%82-transport-and-storage-infrastructure/.
Wikipedia
{{cite report |last1=Beck |first1=Lee |title=US CO₂ Storage and Transport – The Role of the SCALE Act |publisher=Clean Air Task Force |date=15 March 2021 |url=https://www.catf.us/2021/03/us-co%e2%82%82-transport-and-storage-infrastructure/ |access-date=23 October 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{beck2021storage, author = {Beck, Lee}, title = {{US CO₂ Storage and Transport – The Role of the SCALE Act}}, institution = {Clean Air Task Force}, year = {2021}, month = mar, url = {https://www.catf.us/2021/03/us-co%e2%82%82-transport-and-storage-infrastructure/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }

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