By: Zwiener H.B. No. 2612

A BILL TO BE ENTITLED

AN ACT

relating to the establishment and functions of the Texas Carbon Dioxide Sequestration Policy Council.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter C, Chapter 81, Natural Resources Code, is amended by adding Section 81.076 to read as follows:

Sec. 81.076. TEXAS CARBON DIOXIDE SEQUESTRATION POLICY COUNCIL. (a) In this section:

(1) "Anthropogenic carbon dioxide" has the meaning assigned by Section 27.002, Water Code.

(2) "Bureau" means the Bureau of Economic Geology of The University of Texas at Austin.

(3) "Carbon capture industry" means the full chain of entities, facilities, and activities involved with the capture, utilization, and storage of carbon dioxide through the use of carbon capture technology and includes:

(A) advanced clean energy projects as defined by Section 382.003, Health and Safety Code;

(B) carbon dioxide repositories as defined by Section 382.501, Health and Safety Code;

(C) storage operators as defined by Section 121.001 of this code; and

(D) anthropogenic carbon dioxide injection wells, geologic storage, geologic storage facilities, and reservoirs as defined by Section 27.002, Water Code.

(4) "Carbon capture technology" means technology employed by the carbon capture industry to capture, store, and use high concentrations of carbon dioxide and includes but is not limited to:

(A) direct air capture;

(B) smokestack capture; and

(C) enhanced oil recovery.

(5) "Council" means the Texas Carbon Dioxide Sequestration Policy Council.

(6) "Sequester" has the meaning assigned by Section 120.001 of this code.

(b) The Texas Carbon Dioxide Sequestration Policy Council is established within the commission to study and make recommendations relating to the commission's policy framework for carbon dioxide sequestration, the carbon capture industry, and carbon capture technology.

(c) The council is composed of:

(1) the chair of the commission or the chair's designee; and

(2) not more than 16 members appointed by the commission to represent as many different types of participants as possible, including:

(A) at least three but not more than five representatives from the carbon capture industry;

(B) at least three but not more than five representatives from the bureau consisting of different types of participants than those appointed from the carbon capture industry; and

(C) at least three but not more than five representatives from state or national nonprofit entities focused on environmental issues and reducing anthropogenic carbon dioxide emissions.

(d) The chair of the commission or the chair's designee is the chair of the council.

(e) A member of the council is not entitled to compensation or reimbursement of expenses for service on the council.

(f) The council shall:

(1) study the development of carbon capture technologies and the carbon capture industry in this state;

(2) study the reliability of long-term geologic storage of carbon dioxide or anthropogenic carbon dioxide;

(3) monitor and assess the accuracy of accounting techniques employed to determine:

(A) the net amount of carbon dioxide sequestered by each carbon capture technology;

(B) the net amount of carbon dioxide sequestered across the carbon capture industry;

(C) fugitive emissions across the carbon capture industry; and

(D) energy use across the carbon capture industry;

(4) coordinate actions with other state agencies and the bureau in studying, monitoring, and supporting the development of this state's carbon capture industry;

(5) develop a state plan for carbon capture technology and carbon capture industry oversight by the commission; and

(6) create an online database of carbon capture projects in this state that includes for each project:

(A) a description of the carbon capture technology employed; and

(B) the net amount of carbon dioxide sequestered.

(g) Not later than September 1, 2026, the council shall prepare and submit a report to the legislature that includes:

(1) recommendations relating to legislative and regulatory changes needed for:

(A) comprehensive and standardized oversight and regulation of carbon capture technologies and the carbon capture industry to ensure net negative carbon emissions;

(B) minimizing and addressing environmental and physical safety risks associated with carbon capture technologies and the carbon capture industry, including industry-wide fugitive emissions, increased seismicity, groundwater contamination, pipeline ruptures, and plume drift;

(D) addressing issues of legal significance, including subsurface trespass and long-term liability;

(E) addressing barriers to the implementation of carbon capture technologies and carbon capture industries, including incentives; and

(F) ensuring accurate inventorying of carbon sequestration, fugitive emissions rates, and plume monitoring.

(2) the methodologies used to calculate the net amount of carbon dioxide sequestered across the various carbon capture technologies employed by the carbon capture industry.

(h) The council is abolished and this section expires January 1, 2032.

SECTION 2. This Act takes effect September 1, 2025.