Carbon Removal Roundup - December 25
US introduces act for marine CDR; Saudi Arabia's GHG program focused on nature-based solutions; Estimating a carbon price for shipping; Verra guidance for applying ICVCM principles
In this newsletter
RGGI Auction Results and Proceeds
Rayonier and Reliant Partner for Carbon Capture in Alabama
Impact of Negative Emissions Technologies on Environmental Preservation
FIFA's World Cup Host Selection: Climate Concerns and Ethical Issues
Bipartisan ReSCUE Oceans Act to Boost Ocean Carbon Dioxide Removal in US
RGGI's 2021 Monitoring Report on CO2 Emissions
Saudi Arabia’s GHG program focused on nature-based solutions
US DoE funds CO2 transport in Texas
Research: EU ETS for consumer durables - impact on inflation
Verra guidance for applying ICVCM core principles
Climate Cartel Colluded to Take Over ExxonMobil
Frontier offers forward offtake agreements for CO2 storage hub
Largest carbon capture testing facility in Wyoming
ArcelorMittal & Lanza converting CO2 into ethanol
Estimating Carbon Price for Shipping
RGGI Auction Results and Proceeds
The Regional Greenhouse Gas Initiative (RGGI) has conducted 66 auctions, generating a total of $8,616,386,174.45 in proceeds. Auction 66, held on 2024-12-04, saw 15,943,608 allowances sold at a clearing price of $20.05, generating $319,669,340.40.
Rayonier and Reliant Partner for Carbon Capture in Alabama
US-based Rayonier Inc. has entered an underground pore space easement agreement with Reliant Carbon Capture & Storage for approximately 104,000 acres in Alabama. This will enable Reliant to sequester CO2 emissions from power plants and industrial sites into secure geologic formations. The collaboration supports Rayonier’s land-based solutions strategy and Reliant’s efforts to create a large-scale sequestration hub for reducing carbon emissions from the region’s heavy industry.
Impact of Negative Emissions Technologies on Environmental Preservation
Researchers have modeled the impact of Negative Emissions Technologies (NETs) on environmental preservation using a restorable common-pool resource game and a laboratory experiment. The study shows that crowding out of virtuous behaviors (mitigation efforts) only emerges when NETs are surely available and cheap. The availability of NETs did not lead to longer conservation of common resources or higher earnings, and it made earnings distribution more unequal.
FIFA's World Cup Host Selection: Climate Concerns and Ethical Issues
FIFA awarded the 2030 World Cup to Spain, Portugal, Morocco, and South American countries, and the 2034 World Cup to Saudi Arabia. The decision has raised climate concerns due to the significant carbon footprint anticipated from travel and construction of new stadiums, particularly in Saudi Arabia, where 11 new stadiums are planned. The process has been criticized for prioritizing financial interests over environmental and human rights considerations.
Bipartisan ReSCUE Oceans Act to Boost Ocean Carbon Dioxide Removal in US
The U.S. Congress introduced the bipartisan ReSCUE Oceans Act to provide additional federal funding and support for research, development, and demonstration of ocean-based carbon dioxide removal (CDR) approaches and technologies. The act highlights the importance of ocean-based CDR in achieving global climate goals, given the ocean's role as a significant carbon sink. World Resources Institute supports the act, emphasizing the need for responsible development and deployment of these approaches.
RGGI's 2021 Monitoring Report on CO2 Emissions
The Regional Greenhouse Gas Initiative (RGGI), a cooperative effort of Eastern states to reduce carbon dioxide emissions, released its 2021 Monitoring Report. The report summarizes data on electricity generation, net electricity imports, and related CO2 emissions for eleven participating states from 2006-2021, comparing them to a 2006-2008 baseline. Key findings include decreases in CO2 emissions from RGGI and non-RGGI sources, despite an increase in non-RGGI generation, largely offsetting the increase in generation.
Saudi Arabia’s GHG program focused on nature-based solutions
Saudi Arabia, through the National Center for Vegetation Cover Development and Combating Desertification (NCVC) and the International Carbon Registry (ICR), has signed a Memorandum of Understanding (MoU) to develop and implement a Greenhouse Gas (GHG) Program focused on Nature-Based Solutions (NBS). The program will include initiatives such as afforestation, mangrove restoration, biochar production, and algae cultivation, aiming to mitigate desertification, enhance biodiversity, and establish Saudi Arabia as a leader in global carbon markets.
US DoE funds CO2 transport in Texas
The U.S. Department of Energy has invested $6 million for a project to design an onshore/offshore carbon dioxide transport system in Texas, connecting industrial and power facilities around Port of Corpus Christi to offshore storage sites. DOE has also announced an additional $48 million funding opportunity for regional CO2 transport networks under the Bipartisan Infrastructure Law. The project includes front-end engineering and design studies for modular, open-hub transportation networks connecting to storage sites in the Mustang Island and Port Aransas North tracts.
Research: EU ETS for consumer durables - impact on inflation
European Union has announced plans to extend its carbon emissions trading scheme to include consumer durables. Research indicates this green transition could lead to increased headline inflation by approximately 20 basis points over a four-year period if standard monetary policy is maintained. The study highlights a policy trade-off between strict inflation targeting and the pace of green transition.
Verra guidance for applying ICVCM core principles
Carbon market standards organization Verra has released guidance for applying ICVCM Core Carbon Principles (CCP) labels to Verified Carbon Units. The guidance follows ICVCM's approvals of Verra's VCS Program and methodologies for forest carbon projects. Projects using ICVCM-approved methodologies will automatically receive CCP labels if they meet additional criteria, with a digital request form launching in 2025.
Climate Cartel Colluded to Take Over ExxonMobil
US House Judiciary Committee's interim staff report details a climate cartel's alleged collusion to influence ExxonMobil's board and impose net-zero goals. The cartel, including major asset managers and public pensions, coordinated pressure campaigns, including replacing board members, resulting in ExxonMobil's adoption of net-zero commitments. At least 70 investors have since withdrawn from Climate Action 100+.
Frontier offers forward offtake agreements for CO2 storage hub
US-based Frontier Carbon Solutions announced an offering of forward offtake agreements for its Sweetwater Carbon Storage Hub, designed to sequester 400,000 metric tons of CO2 annually. The project utilizes Union Pacific's rail infrastructure to transport CO2 for permanent storage in Wyoming, creating carbon removal credits for the voluntary carbon market. EcoEngineers conducted a preliminary life-cycle analysis estimating up to 85% efficiency in carbon removal.
Largest carbon capture testing facility in Wyoming
US-based Membrane Technology and Research (MTR) Carbon Capture has completed the world's largest membrane-based carbon capture testing facility at the Wyoming Integrated Test Center in Gillette, Wyoming. The facility will capture up to 150 tonnes of CO2 per day (approximately 55,000 tonnes annually) from Basin Electric's Dry Fork Station coal-fired power plant using MTR's Polarisâ„¢ membrane technology that requires no chemicals and minimal water usage.
ArcelorMittal & Lanza converting CO2 into ethanol
Belgium's ArcelorMittal and LanzaTech achieved a milestone with the first barge shipment of ethanol from the Steelanol facility in Ghent. The facility converts industrial emissions into ethanol, reducing carbon emissions by 125,000 tonnes annually. The plant can produce 80 million litres of ethanol per year, supporting the EU's 2030 Climate Target Plan.
Estimating Carbon Price for Shipping
The Mærsk Mc-Kinney Møller Center for Zero Carbon Shipping has analyzed the importance of reduction values (Z-factors) in a Global Fuel Standard (GFS) for achieving net-zero shipping emissions by 2050. Using their NavigaTE model, they evaluated three different proposals for Market-based Measures (MTMs) and found that a remedial unit cost of at least 450 USD/tCO2eq combined with appropriate Z-factors is needed to meet IMO's 2023 GHG Strategy targets. The analysis demonstrates that all three MTM proposals can achieve required emissions reductions when properly structured.
