Federal section 45Q carbon capture credits explained

W202B, Second Level
Environmental and Emission Controls

The passage of the 2022 Inflation Reduction Act represents a new beginning for Carbon Capture, Utilization and Storage technologies by providing tax incentives for carbon capture and broadening the universe of projects that can economically benefit from them.

The new law includes increased credits for geologic sequestration, new credits for direct air capture and a lower threshold for project eligibility. It also moves back the construction date start for qualifying CCUS projects.

This is the third iteration of so-called 45Q tax credits that date back to 2008. Join Dr. Richard Esposito of Southern Company’s National Carbon Capture Center to learn how this latest round of federal incentives can help make CCUS technology and project development economically viable.

David Chong, Engineering Fellow - Tampa Electric
Richard Esposito, Program Manager, Geosciences and Carbon Management - Southern Company