Overview of DOE Carbon Management Activities and the Carbon
Dioxide Removal (CDR) Mission
Mark Ackiewicz
DIRECTOR, OFFICE OF CARBON MANAGEMENT TECHNOLOGIES
U.S. Department of Energy
October 4, 2023

Carbon management helps with 3 core pillars of DOE’s climate strategy

Carbon dioxide removal

Industrial decarbonization for netzero economy 2050

Decarbonized, resilient, low-cost,land-efficient power grid

Offset the most expensive-to-abate
GHG emissions and clean up legacy
CO2 pollution

Reduce emissions while alternativemanufacturing methods are developed
over time that avoid production of CO2
altogether

Boosting grid resilience andreducing overall system costs andpollution in high-renewable deepdecarbonization scenarios

2Carbon Management Investments (highlights, not comprehensive)• Bipartisan Infrastructure Law (BIL) – enacted November 15, 2021••••

Over $12 billion in Carbon Management$8 billion for Hydrogen Hubs
$500 million for Industrial Emissions Reduction Technology Development Program$50 million to the U.S. Environmental Protection Agency for states to attain class VI primacy(geologic storage permitting)• Inflation Reduction Act (IRA) – enacted August 16, 2022
• $5.812 billion for Advanced Industrial Facilities Deployment• Tax credit enhancements – 45Q carbon capture, 45V hydrogen• President's Budget Request to Congress – Fiscal Year 20243

Opportunities for the Entire Carbon Management
Value Chain: Bipartisan Infrastructure Law (BIL)
Industrial and Power Plant Carbon Capture••

CCUS Integrated Demos: $2.5 billion (OCED)
Carbon Capture Large Pilot: $1 billion (OCED)

Direct Air Capture••

Regional Direct Air Capture Hubs: $3.5 billion
DAC Technology Prize Competition: $115 million

Project Applications Require NewComponents:• Community and Stakeholder
Engagement• Diversity, Equity, Inclusion, andAccessibility• Justice40 Initiative• Quality jobs

Carbon Transport Systems
Bipartisan
Infrastructure Law
Programs atDepartment of Energy••

FEED Studies for Transport Systems: $100 million
CIFIA – Loans and Future Growth Grants: $2.1 billion

Carbon Dioxide Utilization and Storage••

Carbon Storage Validation and Testing: $2.5 billion
Carbon Utilization Program: $310 million

https://www.energy.gov/fecm/solicitations-and-business-opportunities

FOA Overview: Regional Direct Air Capture Hubs
Closing Date03/13/2023

Applicants must havesubmitted mandatory
LOI by 02/17/2023

Topic Area 1 (TA-1)• “Regional Direct Air Capture Hub”
• A network of direct air capture projects, potential CO2
utilization/conversion offtakers, connective CO2 transport
infrastructure, subsurface resources, and sequestration
infrastructure located within a region.

Feasibility (Phases 0a-0b)

Topic Area 2 (TA-2)• DOE will invest $3.5 billion for the development of four domestic
Regional Direct Air Capture (DAC) Hubs

Design (Phase 1)

Topic Area 3 (TA-3)
Build (Phases 2-4)

• This FOA made $1.236 billion of funding available for three (3)Topic Areas

5DAC Hub Location Map
University of North Dakota EERC
Oliver County, ND
Rock Mountain Institute
Hermiston, OR
Carbon Capture, Inc.
Sweetwater County, WY
University of Illinois
Illinois Basin, IL

University of California, Berkeley
San Joaquin Valley, CA

Fervo Energy Company,Milford, UTArea Federal LLC,
Kern County, CA

Electric Power Research Institute, Inc.
Kern Front and Elk Hills; Kern County, CA

University of Illinois
Pueblo, CO

AZ Board of Regents;
Arizona State University
Four Corners Region

ChevronBakersfield, CASiemens Energy, Inc.
Mt. Simon Sandstone
Basin in Illinois (non-specific)

University of Kentucky
Research Foundation
Eastern Kentucky (non-specific)

Battelle
Calcasieu Parish, LA
General Electric
Houston, TX

ASRC Energy Services, LLC
Multiple Potential Locations, AK

Northwestern University
Midwest Region (non-specific)

University of Illinois
Panama City, FL

1PointFive P2, LLC
Kleberg County, TXLouisiana State University
Baton Rouge, LA

SSEB
Northern Mobile County, AL

TA-1
TA-2
TA-3
Pre-FEED Studies
FEED Studies
Sedimentary Basins

Inflation Reduction Act – “45Q” Carbon Capture Tax Credit
Modifications
OldNew

Commence Construction

January 1, 2026

January 1, 2033

DAC Facility

100,000 metric tons/year*

1,000 metric tons/year

Electric Generator

500,000 metric tons/year*

18,750 metric tons/year

All other facilities

100,000 metric tons/year*

12,500 metric tons/year

Saline Storage Credit$50/metric ton$85/metric ton (industry and power);$180/metric ton (DAC)

EOR and Conversion Credit$35/metric ton$60/metric ton (industry and power);$130/metric ton (DAC)* Non-EOR Conversion facilities were previously 25,000 metric tons/year regardless of facility/source.

Notes: New Modifications allows up to 5 years for direct pay (up to 12 years certain entities)

fecm.energy.gov

7Fossil Energy and Carbon Management Regular Appropriations
H2 with Carbon Management
Conversion of carbon-based
feedstocks to H2 coupled withcarbon management
Carbon Dioxide Removal
Removal of atmospheric CO2 anddurable store
Carbon Utilization
Conversion of CO2 to valueadded products

500450$, millions

400
350300

350.6
307.8

250
200

21150

79

Carbon Capture
Capturing CO2 from new and existing
industrial and power plants

4929

40
23

117.8

459

9585

70

70

5050110

110

135

144

FY23FY24 Request

9779100
50101
122.3

90

Carbon Storage
Safe, cost- effective, andpermanent geologic storageof CO2375

460

86.3

99

FY21

FY220
FY20

Carbon Capture
Carbon Utilization
Hydrogen with Carbon Management
fecm.energy.gov

Carbon Storage
Carbon Dioxide Removal

8Carbon Negative Shot: Key Performance Elements
Carbon Negative Shot’s key performance elements will guide a responsible industry that is responsive to theclimate crisis, such that multiple true, durable removal pathways can be deployed at their most affordable
cost at the scale required to address the climate crisis.

Less than $100/net metric ton CO2e for both capture and storage
Robust accounting of full life cycle emissions
High-quality, durable storage with costs demonstrated for MRV for at least 100 years
Enables necessary gigaton-scale removal
fecm.energy.gov

9Future Investments: Carbon Negative Shot
• DE-FOA-0003082 – Carbon Negative Shot Pilots (expected release
date of early FY24)• Includes four (4) anticipated Areas of Interest (AOIs) related to:• Biomass, Mineralization Pilots, Marine CDR Small Pilots, andMulti-Pathway CDR Testbeds.
• Other intended funding opportunities and prize tracks include:• DAC Pilot Prize (expected release date late FY23)• CDR Purchase Prize (expected release date late FY23)• Regional DAC Hubs (expected release of additional FOA(s) in
FY24/25 and beyond)• Monitoring, Reporting, and Verification (MRV) for CDR (expectedrelease date FY24)• DE-FOA-0002614 – Carbon Management: CDR Technology
Research and Development (expected release date FY24)

CDR Mission Overview
SCOPE:

COALITION:

Accelerate RD&D of technologicalCo-leads – Canada, Saudi Arabia, United States

CDR approaches, including:• Direct Air Capture• Enhanced mineralization• Biomass with carbon removal
and storage

Emphasize long-term, secure CO2
storage and conversion into longlived products.

Members – Australia, European Commission,Japan, Norway, India, United Kingdom
Observers – Germany, Iceland, Bahrain,

Switzerland, Costa Rica
Always open to additional members

Launched at COP-26, November 2021

CDR Mission Priorities for Rest of 2023
Making progress on existing sprints and initiatives• Five active technical tracks and sprints

Measuring impact• Develop/refine KPIs and data sources• Set up mechanisms for tracking progress

Maximizing opportunities for strategic engagements• Identify opportunities for working with private sector• Take advantage of synergies between missions and initiatives

Expanding on momentum• Assess needs and develop actions for MRV working group• Launch new sprint(s) and/or reports• Maintain political support

Thank you
Questions?
mark.ackiewicz@hq.doe.gov