For Immediate Release
Today, President Biden is scheduled to sign the Inflation Reduction Act. Touted by supporters as historic climate legislation, the bill holds renewable energy development hostage to continued pollution. One such concession to polluters is an expansion of the federal tax credit known as Section 45Q. Under the current law, companies can rake in up to $50 per ton of carbon dioxide captured and geologically stored; the Inflation Reduction Act increases those numbers to $85 a ton.
Three carbon pipelines proposed for the Midwest are poised to cash in on these lucrative credits. The Inflation Reduction Act could raise the value of the 45Q credit for Summit, Navigator and ADM/Wolf carbon pipelines by 70%, totaling $40 billion in taxpayer dollars for the projects over the next 12 years ($3.4 billion a year). The related side deal leaked last month would fast track federal permitting for select carbon capture projects — all three hazardous carbon pipeline proposals are eligible.
Assured of substantial federal funding, Summit Carbon Solutions began filing requests for eminent domain this month. Thanks to staunch opposition from Iowans refusing to allow the private corporation access to their land, Summit is seeking eminent domain to access 60% of the land parcels required for their proposed route in Iowa. April Food & Water Action polling conducted by Change Research found that 80% of Iowa voters oppose the use of eminent domain for carbon pipelines.
Food & Water Watch Senior Iowa Organizer Emma Schmit issued the following statement:
“Carbon capture and the hazardous pipelines that support it are a distraction from the real work of tackling the climate crisis. The Inflation Reduction Act masquerades as monumental climate action, while hiding corporate giveaways like increased Section 45Q tax credits in plain sight.
“Carbon capture is a waste of taxpayer money with real world consequences that will impact people across Iowa — Summit has already filed to seize and condemn private property across multiple counties to build its pipeline. Regardless of action in Washington, Governor Reynolds has the responsibility to protect Iowans at home from carbon pipeline developers’ corporate greed. She must tell her Iowa Utilities Board to deny eminent domain for private gain and stop these pipelines.”
Contact: Phoebe Galt, [email protected]