Washington, DC - Feb. 9, 2018 - The Algae Biomass Organization (ABO), the trade association for the algae industry, applauded the bipartisan support for a $35 per ton tax incentive for carbon captured and recycled from power plants or industrial facilities using algae or other biologically-based carbon capture and use (CCU) systems.
The tax credit, which was included in the two-year budget deal passed by Congress and signed by President Trump this morning, will accelerate the development of projects that use algae to recycle CO2 into a wide range of sustainable, low-carbon products.
"This is the type of win-win policy that can help boost the nation's technological competitiveness while also supporting environmental objectives.
"We are building the underpinnings of a new industry, creating high-quality jobs across the Unites States and converting carbon into the commodity of the future," said Matt Carr, executive director of the ABO.
"This incentive to use carbon emissions for industry and agriculture will help bring advanced algae farming technologies into the mainstream.
"We expect to see even more sustainable, high-performing algae-based products and applications in markets for food and nutrition, advanced materials, energy and more."
The bill passed today adds algae and a number of other CCU approaches to the existing section 45Q Carbon Capture and Storage (CCS) tax credit, which was previously available only to geologic storage and enhanced oil recovery (EOR) projects.
It also substantially increases the credit rate from the previous $10 a ton to $35 a ton, extends the credit for up to 12 years, and expands the universe of eligible CO2 sources to include industrial and air capture facilities in addition to fossil power plants.
This historic outcome is the result of tireless work by ABO and its supporters in Congress to put algae on a level playing field with CCS and EOR when it comes to carbon capture policy, and to grow federal policy support for the full spectrum of CCU approaches.
ABO is especially grateful for the efforts of Senators Sheldon Whitehouse (D-RI), Heidi Heitkamp (D-N.D.), Shelley Moore Capito (R-W.Va.) and John Barrasso (R-Wyo.) for leading the effort to include carbon utilization in the bill; to the Congressional Algae Caucus for its support in the House, and to the ABO members and algae industry enthusiasts that participated in this historic campaign.
For more information, please contact Nate Kommers at 202-746-4390 or email@example.com