“Capturing methane emissions from our mines protects our environment, creates new economic opportunities for rural communities and strengthens American energy production.”
WASHINGTON – Sen. Jon Husted (R-Ohio) joined Sens. Shelley Moore Capito (R-W. Va.) and Mark Warner’s (R-Va.) Methane Reduction and Economic Growth Act. This bill would create a tax credit that would incentivize the capture and repurposing of methane emissions from active and abandoned mines.
“As Ohio continues to lead in energy production, we should be using every available resource to its fullest potential. Capturing methane emissions from our mines protects our environment, creates new economic opportunities for rural communities and strengthens American energy production,” said Husted.
“I’m proud to help reintroduce the Methane Reduction and Economic Growth Act, which will help capture and utilize mine methane emissions as a fuel source from coal mines. This legislation will result in positive environmental and economic impacts, and create another step for West Virginia to continue to lead the nation in an ‘all-of-the-above’ energy approach,” said Capito.
“This legislation takes a critical step in boosting Virginia’s efforts to address the harmful impact of methane when emitted into the atmosphere while simultaneously creating good-paying jobs and supporting economic growth. By incentivizing the reduction of methane emissions, we’re not only protecting the environment but also strengthening our energy independence, I’m proud to reintroduce this legislation,” said Warner.
Background:
The Methane Reduction and Economic Growth Act would amend Section 45Q of the Internal Revenue Code, which provides a tax credit for carbon capture and sequestration, to create a Mine Methane Capture Incentive Credit. The new credit would be available to certain mine owners based on the amount of qualified methane that is captured and injected into a pipeline or is otherwise used for producing heat or energy. Qualified methane includes methane, which:
- Is captured from mining activities, including underground mines, abandoned or closed mines or surface mines;
- Would otherwise be released into the atmosphere as industrial greenhouse gas emission; and
- Is measured at the source of capture and verified at the point of injection or utilization.
The full text of the bill is available here.