I 

118TH CONGRESS 

2D SESSION H. R. 7054 

To require the Secretary of Energy to remove carbon dioxide directly from 

ambient air or seawater, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 18, 2024 

Mr. TONKO (for himself and Mr. PETERS) introduced the following bill; which 

was referred to the Committee on Energy and Commerce 

A BILL 

To require the Secretary of Energy to remove carbon dioxide 

directly from ambient air or seawater, and for other 

purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Carbon Dioxide Re5 moval Leadership Act of 2024’’. 

6 SEC. 2. FEDERAL REQUIREMENT TO REMOVE CARBON DI7 OXIDE. 

8 (a) REQUIRED AMOUNTS.—The Secretary shall, to 

9 the extent economically feasible as provided in subsection 

10 (d), remove— 


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1 (1) 50,000 net metric tons of carbon dioxide, 

2 calculated on a lifecycle basis, for each of fiscal 

3 years 2024 through 2025; 

4 (2) 500,000 net metric tons of carbon dioxide, 

5 calculated on a lifecycle basis, for each of fiscal 

6 years 2026 through 2028; 

7 (3) 5,000,000 net metric tons of carbon dioxide, 

8 calculated on a lifecycle basis, for each of fiscal 

9 years 2029 through 2034; and 

10 (4) 10,000,000 net metric tons of carbon diox11 ide, calculated on a lifecycle basis, for fiscal year 

12 2035 and each fiscal year thereafter. 

13 (b) TIMING.—The Secretary shall remove each 

14 amount of carbon dioxide required under subsection (a) 

15 by not later than 3 years after the beginning of the fiscal 

16 year for which such removal is required. 

17 (c) SMALL REMOVAL PROJECT SET-ASIDE.—To the 

18 extent practicable, at least 20 percent of the net metric 

19 tons of carbon dioxide required to be removed for each 

20 of fiscal years 2024 through 2034 under subsection (a) 

21 shall be removed by small removal projects. 

22 (d) ECONOMIC FEASIBILITY.— 

23 (1) IN GENERAL.—The removal of carbon diox24 ide under this section shall be considered economiVerDate Sep 11 2014 00:07 Jan 25, 2024 Jkt 049200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H7054.IH H7054

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1 cally feasible if such removal can be accomplished or, 

2 in the case of a contract, purchased— 

3 (A) with respect to such removal carried 

4 out for any of fiscal years 2024 through 2025, 

5 at a price per metric ton of carbon dioxide of 

6 not more than $750 (which the Secretary may 

7 adjust for inflation); 

8 (B) with respect to such removal carried 

9 out for any of fiscal years 2026 through 2028, 

10 at a price per metric ton of carbon dioxide of 

11 not more than $500 (which the Secretary may 

12 adjust for inflation); 

13 (C) with respect to such removal carried 

14 out for any of fiscal years 2029 through 2031, 

15 at a price per metric ton of carbon dioxide of 

16 not more than $300 (which the Secretary may 

17 adjust for inflation); 

18 (D) with respect to such removal carried 

19 out for any of fiscal years 2032 through 2034, 

20 at a price per metric ton of carbon dioxide of 

21 not more than $200 (which the Secretary may 

22 adjust for inflation); and 

23 (E) with respect to such removal carried 

24 out for fiscal year 2035 and each fiscal year 

25 thereafter, at a price per metric ton of carbon 


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1 dioxide of not more than $150 (which the Sec2 retary may adjust for inflation). 

3 (2) INCLUSION OF MONITORING, REPORTING, 

4 AND VERIFICATION COSTS.—In determining whether 

5 the removal of carbon dioxide is considered economi6 cally feasible under paragraph (1), the price for such 

7 removal shall include any costs associated with the 

8 monitoring, reporting, and verification required 

9 under subsection (f)(1). 

10 (3) MULTI-YEAR CONTRACTS.—Notwith11 standing paragraph (1), the removal of carbon diox12 ide carried out pursuant to a multi-year contract en13 tered into under subsection (h) shall be considered 

14 economically feasible if such removal can be accom15 plished at the applicable dollar amount for the first 

16 fiscal year of the contract, as provided in paragraph 

17 (1), through the entire length of such contract. 

18 (e) FEDERAL ASSISTANCE.—Funds received pursu19 ant to a contract entered into under subsection (h) shall 

20 not be considered Federal assistance or otherwise affect 

21 eligibility for any Federal assistance, including tax incen22 tives. 

23 (f) MONITORING, REPORTING, AND VERIFICATION.— 

24 (1) IN GENERAL.—The Secretary, or an entity 

25 the Secretary enters into a contract with under subVerDate Sep 11 2014 00:07 Jan 25, 2024 Jkt 049200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H7054.IH H7054

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1 section (h), shall monitor, report, and verify the net 

2 metric tons of carbon dioxide the Secretary or such 

3 entity, as applicable, removed for purposes of this 

4 section. 

5 (2) STANDARDS.—Not later than 1 year after 

6 the date of enactment of this section, the Secretary, 

7 in consultation with the Administrator of the Na8 tional Oceanic and Atmospheric Administration, the 

9 Administrator of the Environmental Protection 

10 Agency, the Secretary of the Department of Agri11 culture, and other relevant Federal agencies as de12 termined appropriate by the Secretary, shall estab13 lish standards for the monitoring, reporting, and 

14 verification of net metric tons of carbon dioxide re15 moved pursuant to this section. Such standards 

16 shall— 

17 (A) require the use of the best available 

18 practices used by similar carbon dioxide re19 moval projects; 

20 (B) ensure safe, effective, and efficient re21 moval of carbon dioxide; 

22 (C) require independent, third-party 

23 verification of carbon dioxide removal; 

24 (D) ensure additionality, permanence, and 

25 net-negativity of carbon dioxide removal; 


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1 (E) include criteria to determine whether 

2 the storage of captured carbon dioxide is per3 manent; 

4 (F) ensure scientifically rigorous and 

5 transparent methods for monitoring, reporting, 

6 and verifying under paragraph (1); and 

7 (G) be regularly reviewed and, as nec8 essary, updated to account for scientific and 

9 technological advancements. 

10 (3) PROHIBITION ON DOUBLE COUNTING.—Car11 bon dioxide that is removed for the purposes of com12 pliance with any other greenhouse gas emissions 

13 management program, including any foreign, Fed14 eral, State, local, or private greenhouse gas emis15 sions management program, as determined by the 

16 Secretary, may not be considered removed under 

17 subsection (a) for purposes of meeting the require18 ments of such subsection. 

19 (g) PRIORITIES.—In carrying out this section, the 

20 Secretary shall give priority to a project for the removal 

21 of carbon dioxide based on the degree to which the 

22 project— 

23 (1) minimizes the amount of greenhouse gas 

24 emissions released by carrying out such project; 


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1 (2) supports the commercialization of innovative 

2 removal technologies; 

3 (3) increases the diversity of commercially 

4 available eligible technologies; 

5 (4) may provide for domestic job creation, with 

6 a further preference for partnerships with labor or7 ganizations, small businesses, minority-owned busi8 nesses, and women-owned businesses across value 

9 chains; 

10 (5) results in economic development or eco11 nomic diversification in regions or localities that 

12 have historically generated significant economic ac13 tivity from the production, processing, transpor14 tation, or combustion of fossil fuels, including 

15 through the use of coal mines, fossil fuel-fired elec16 tricity generating units, and petroleum refining fa17 cilities; 

18 (6) quantifies and mitigates risks from carbon 

19 dioxide removal activities on, and provides measur20 able co-benefits to, environmental justice commu21 nities, the environment, agriculture, and public 

22 health, including by— 

23 (A) improving local air quality, water qual24 ity, and soil quality; 


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1 (B) minimizing land, water, and energy 

2 footprints; and 

3 (C) using zero-emission energy; and 

4 (7) includes robust public engagement and com5 munity benefits. 

6 (h) CONTRACTS.— 

7 (1) IN GENERAL.—After a transparent and 

8 competitive process, the Secretary may enter into a 

9 contract to meet the requirements of subsection (a). 

10 (2) LENGTH.—A contract entered into under 

11 this subsection may not be for a term of more than 

12 15 years. 

13 (3) MAINTENANCE OF REMOVAL COMMIT14 MENTS.—The Secretary shall include as a term or 

15 condition in each contract entered into under this 

16 subsection that the entity that enters into the con17 tract shall permanently store an additional amount 

18 of carbon dioxide that is equal to any amount of car19 bon dioxide that is released after permanent storage 

20 by such entity. 

21 (4) LIMITATION.—To the extent that there is a 

22 sufficient number of entities capable of removing 

23 carbon dioxide in a manner that meets the standards 

24 and requirements of this section under a contract 

25 entered into pursuant to this subsection, the SecVerDate Sep 11 2014 00:07 Jan 25, 2024 Jkt 049200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H7054.IH H7054

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1 retary shall ensure that no one entity is responsible 

2 for removing more than 25 percent of the net metric 

3 tons of carbon dioxide required under subsection (a) 

4 in any fiscal year. 

5 (i) REPORT.—Not later than January 1, 2027, and 

6 every 2 years thereafter, the Secretary shall submit to 

7 Congress, and release to the public, a report on the 

8 progress of carrying out the requirements of this section, 

9 which such report shall include— 

10 (1) the amounts verified under subsection (f)(1) 

11 and the corresponding names of each entity that 

12 provided such verified amount; 

13 (2) the total price, and price per metric ton, to 

14 remove carbon dioxide for the applicable fiscal year 

15 as required under subsection (a); 

16 (3) the methods associated with the monitoring, 

17 reporting, and verification required under subsection 

18 (f)(1); 

19 (4) an estimate of how removing carbon dioxide 

20 under this section affects environmental justice com21 munities, the environment, agriculture, and public 

22 health; 

23 (5) information on potential labor impacts and 

24 job creation resulting from fulfilling the require25 ments of subsection (a); and 


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1 (6) an explanation of how the Secretary 

2 prioritized projects under subsection (g). 

3 (j) AUTHORIZATION OF APPROPRIATIONS.—There 

4 are authorized to be appropriated such sums as are nec5 essary to carry out this section. 

6 (k) DEFINITIONS.—In this section: 

7 (1) ELIGIBLE TECHNOLOGY.— 

8 (A) IN GENERAL.—The term ‘‘eligible 

9 technology’’ means, as determined by the Sec10 retary, any equipment, technique, or technology 

11 that— 

12 (i) was placed into service after Janu13 ary 1, 2022; and 

14 (ii) removes carbon dioxide directly 

15 from ambient air or seawater. 

16 (B) EXCLUSION.—The term ‘‘eligible tech17 nology’’ does not include any equipment, tech18 nique, or technology that— 

19 (i) removes carbon dioxide which is 

20 deliberately released from naturally occur21 ring subsurface springs; 

22 (ii) removes carbon dioxide using nat23 ural photosynthesis, except as provided in 

24 subparagraph (C); or 


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1 (iii) uses captured carbon dioxide in 

2 enhanced oil recovery. 

3 (C) EXPANSION OF ELIGIBLE TECH4 NOLOGY.—Notwithstanding subparagraph 

5 (B)(ii), any equipment, technique, or technology 

6 that removes carbon dioxide using gasification, 

7 pyrolysis, or sequestration of solid, nonhaz8 ardous, and cellulosic waste materials may be 

9 considered an eligible technology under this sec10 tion if the Secretary, by rule— 

11 (i) determines an entity that carries 

12 out a removal project under this section is 

13 able to adequately monitor, report, and 

14 verify the amount of greenhouse gas emis15 sions, calculated on a lifecycle basis (in16 cluding direct emissions and significant in17 direct emissions), removed using such 

18 equipment, technique, or technology; 

19 (ii) determines an entity that carries 

20 out a removal project under this section is 

21 able to adequately mitigate the environ22 mental impacts (including impacts on bio23 diversity, land use, and air and water qual24 ity) associated with such equipment, tech25 nique, or technology; and 


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1 (iii) requires an entity carrying out a 

2 removal project under this section to— 

3 (I) adequately monitor, report, 

4 and verify the amount and storage 

5 permanence of greenhouse gas emis6 sions, calculated on a lifecycle basis 

7 (including direct emissions and signifi8 cant indirect emissions), associated 

9 with using such equipment, technique, 

10 or technology; and 

11 (II) adequately mitigate the envi12 ronmental impacts (including impacts 

13 on biodiversity, land use, and air, soil, 

14 and water quality) associated with 

15 using such equipment, technique, or 

16 technology. 

17 (2) LIFECYCLE BASIS.—The term ‘‘lifecycle 

18 basis’’ means the net sum of all greenhouse gas 

19 emissions (using mass values for all greenhouse 

20 gases that are adjusted to account for their relative 

21 global warming potential, in consultation with the 

22 Administrator of the Environmental Protection 

23 Agency) and removals associated with carbon dioxide 

24 removal activity from cradle to grave, including any 

25 emissions associated with— 


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1 (A) energy and feedstock inputs; 

2 (B) the carbon dioxide removal process; 

3 (C) carbon dioxide storage, including use 

4 and disposal of any materials or products asso5 ciated with carbon dioxide storage; and 

6 (D) embodied emissions of the equipment. 

7 (3) REMOVE.—The term ‘‘remove’’ means to— 

8 (A) capture carbon dioxide using eligible 

9 technology; and 

10 (B) permanently store such captured car11 bon dioxide— 

12 (i) in dedicated subsurface geologic 

13 storage reported under sections 98.440 

14 and 146.91(e) of title 40, Code of Federal 

15 Regulations (or successor regulations); 

16 (ii) in building materials and mineral17 ized carbon materials; or 

18 (iii) using other permanent storage 

19 methods, as determined by the Secretary. 

20 (4) SECRETARY.—The term ‘‘Secretary’’ means 

21 the Secretary of Energy. 

22 (5) SMALL REMOVAL PROJECT.—The term 

23 ‘‘small removal project’’ means a project for the re24 moval of carbon dioxide that does not remove more 

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1 ide required to be removed for the applicable fiscal 

2 year under subsection (a). 

3 SEC. 3. STUDY ON THE LONG-TERM FUTURE OF FEDERAL 

4 CARBON DIOXIDE REMOVAL MANAGEMENT. 

5 Not later than 1 year after the date of enactment 

6 of this Act, the Secretary of Energy, in consultation with 

7 the Administrator of the National Oceanic and Atmos8 pheric Administration, the Administrator of the Environ9 mental Protection Agency, the Secretary of the Depart10 ment of Agriculture, and other relevant Federal agencies, 

11 shall submit to the Committee on Energy and Commerce 

12 of the House of Representatives and the Committee on 

13 Energy and Natural Resources of the Senate a report that 

14 evaluates and makes recommendations for potential pro15 gram design elements and financing options for a Federal 

16 carbon dioxide removal offtake program that can be scaled 

17 to achieve carbon dioxide removal from the atmosphere 

18 and the oceans at a gigaton scale annually by 2050. Such 

19 report shall include consideration of potential management 

20 and organizational structures for the program, includ21 ing— 

22 (1) a government sponsored enterprise; 

23 (2) a government corporation; 

24 (3) a program office with the Department of 

25 Energy or other Federal agency; and 


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1 (4) a contracted service provider. 

Æ 


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