Capito, Warner Reintroduce Methane Reduction and Economic Growth Act

WASHINGTON, D.C.— U.S. Senators Shelley Moore Capito (R-W.Va.) and Mark Warner (D-Va.) recently reintroduced theMethane Reduction and Economic Growth Act, legislation to create a tax credit that will incentivize the capture and repurposing of methane emissions from active and abandoned mines.
“I’m proud to help reintroduce the Methane Reduction and Economic Growth Act, which will help capture and utilize mine methane emissions as a fuel source from coal mines. This legislation will result in positive environmental and economic impacts, and create another step for West Virginia to continue to lead the nation in an ‘all-of-the-above’ energy approach,”Senator Capito said.

“This legislation takes a critical step in boosting Virginia’s efforts to address the harmful impact of methane when emitted into the atmosphere while simultaneously creating good-paying jobs and supporting economic growth,”Senator Warner said. “By incentivizing the reduction of methane emissions, we’re not only protecting the environment but also strengthening our energy independence, I’m proud to reintroduce this legislation.”

BACKGROUND:
TheMethane Reduction and Economic Growth Actwould amendSection 45Qof the Internal Revenue Code – which houses an existing tax credit for carbon capture and sequestration – to create a Mine Methane Capture Incentive Credit. The new credit would be attributed to taxpayers based on the amount of qualified methane that is captured and injected into a pipeline or is otherwise used for producing heat or energy. Qualified methane includes methane which:

A copy of the bill text can be foundhere.

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Tags:Energy & Environment