‘‘(C) SOURCE
OF
CARBON
DIOXIDE
FOR 
LARGE-SCALE
SEQUESTRATION
DEMONSTRA-
TIONS.—In the process of any acquisition of car-
bon dioxide for sequestration demonstrations 
under subparagraph (A), the Secretary shall give 
preference to purchases of carbon dioxide from 
industrial and coal-fired electric generation fa-
cilities. To the extent feasible, the Secretary shall 
prefer test projects from industrial and coal-fired 
electric generation facilities that would facilitate 
the creation of an integrated system of capture, 
transportation and storage of carbon dioxide. 
Until coal-fired electric generation facilities, ei-
ther new or existing, are operating with carbon 
dioxide capture technologies, other industrial 
sources of carbon dioxide should be pursued 
under this paragraph. The preference provided 
for under this subparagraph shall not delay the 
implementation of the large-scale sequestration 
tests under this paragraph. 
‘‘(D) DEFINITION.—For purposes of this 
paragraph, the term ‘large-scale’ means the injec-
tion of more than 1,000,000 metric tons of car-
bon dioxide annually, or a scale that demon-
strably exceeds the necessary thresholds in key 
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geologic transients to validate the ability con-
tinuously to inject quantities on the order of sev-
eral million metric tons of industrial carbon di-
oxide annually for a large number of years. 
‘‘(4) LARGE-SCALE DEMONSTRATION OF CARBON 
DIOXIDE CAPTURE TECHNOLOGIES.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
carry out at least 3 and no more than 5 dem-
onstrations, that include each of the technologies 
described in subparagraph (B), for the large- 
scale capture of carbon dioxide from industrial 
sources of carbon dioxide, at least 2 of which are 
facilities that generate electric energy from fossil 
fuels. Candidate facilities for other demonstra-
tions under this paragraph shall include facili-
ties that refine petroleum, manufacture iron or 
steel, manufacture cement or cement clinker, 
manufacture commodity chemicals, and ethanol 
and fertilizer plants. Consideration may be given 
to capture of carbon dioxide from industrial fa-
cilities and electric generation carbon sources 
that are near suitable geological reservoirs and 
could continue sequestration. To ensure reduced 
carbon dioxide emissions, the Secretary shall 
take necessary actions to provide for the integra-
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tion of the program under this paragraph with 
the long-term carbon dioxide sequestration dem-
onstrations described in paragraph (3). These ac-
tions should not delay implementation of the 
large-scale sequestration tests authorized in 
paragraph (3). 
‘‘(B) TECHNOLOGIES.—The technologies re-
ferred to in subparagraph (A) are precombustion 
capture, post-combustion capture, and oxycom-
bustion. 
‘‘(C) SCOPE OF AWARD.—An award under 
this paragraph shall be only for the portion of 
the project that carries out the large-scale cap-
ture (including purification and compression) of 
carbon dioxide, as well as the cost of transpor-
tation and injection of carbon dioxide. 
‘‘(5) PREFERENCE IN PROJECT SELECTION FROM 
MERITORIOUS
PROPOSALS.—In making competitive 
awards under this subsection, subject to the require-
ments of section 989, the Secretary shall give pref-
erence to proposals from partnerships among indus-
trial, academic, and government entities. 
‘‘(6) COST SHARING.—Activities under this sub-
section shall be considered research and development 
activities that are subject to the cost-sharing require-
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ments of section 988(b), except that the Federal share 
of a project under paragraph (4) shall not exceed 50 
percent. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.— 
‘‘(1) IN GENERAL.—There are authorized to be 
appropriated to the Secretary for carrying out this 
section, other than subsection (c)(3) and (4)— 
‘‘(A) $100,000,000 for fiscal year 2008; 
‘‘(B) $100,000,000 for fiscal year 2009; 
‘‘(C) $100,000,000 for fiscal year 2010; and 
‘‘(D) $100,000,000 for fiscal year 2011. 
‘‘(2) SEQUESTRATION.—There are authorized to 
be appropriated to the Secretary for carrying out sub-
section (c)(3)— 
‘‘(A) $140,000,000 for fiscal year 2008; 
‘‘(B) $140,000,000 for fiscal year 2009; 
‘‘(C) $140,000,000 for fiscal year 2010; and 
‘‘(D) $140,000,000 for fiscal year 2011. 
‘‘(3) CARBON CAPTURE.—There are authorized to 
be appropriated to the Secretary for carrying out sub-
section (c)(4)— 
‘‘(A) $180,000,000 for fiscal year 2009; 
‘‘(B) $180,000,000 for fiscal year 2010; 
‘‘(C) $180,000,000 for fiscal year 2011; and 
‘‘(D) $180,000,000 for fiscal year 2012.’’. 
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