Louisiana Governor Jeff Landry has issued a temporary moratorium on new carbon capture and storage (CCS) well applications, citing the need for greater transparency and community engagement in the state’s growing carbon storage industry.
The 12-page executive order, released Wednesday, calls for companies to work more closely with local governments and residents before submitting new project proposals. Landry framed the pause as a way to “provide a clear roadmap” for citizens while acknowledging the heavy administrative load each application represents, roughly 2,000 hours of review time per project.
“Local government and citizens have a right to be heard to ensure safety, transparency, and local input,” the order states.
Industry Pushback and Community Tension
The announcement immediately drew concern from energy and manufacturing groups, who warned the move could stall billions in investment and cost Louisiana its early lead in CCS.
“[This] sends the wrong message to the market at a pivotal moment for Louisiana’s economy,” said David Cresson, CEO of the Louisiana Chemical Association, whose members have invested more than $60 billion in projects linked to carbon storage.
LABI President Will Green added that the state’s momentum “is no accident” and depends on maintaining regulatory certainty. Opposition to CCS, however, has grown across rural parishes – often areas traditionally supportive of the energy sector. Residents have raised concerns over land rights, groundwater safety, and the use of public funds to support carbon storage under private land.
Relevant: Louisiana Carbon Capture Projects Could Unlock $3.5B In Federal Tax Credits
State officials, including Department of Conservation and Energy leader Dustin Davidson, say the pause is intended to balance economic opportunity with legitimate public unease.
The department is prioritizing six existing CCS projects while developing stricter review and community engagement frameworks:
- Capio Sherburne CCS Well No. 1 in Pointe Coupee Parish.
- Central Louisiana Regional Carbon Storage (CENLA) Hub by CapturePoint in Vernon Parish.
- Goose Lake by Gulf Coast Sequestration in Calcasieu Parish.
- Minerva by Gulf Coast Sequestration in Cameron Parish.
- Louisiana Green Fuels Columbia in Caldwell Parish.
- River Parish Sequestration – RPN 1 in Ascension Parish.
Louisiana gained federal “primacy” authority over CCS permitting in early 2024, allowing it to approve storage sites without federal intervention. Since then, only one carbon storage project has been approved – a sign of how politically charged and technically complex the issue remains.
Read more: ExxonMobil To Transport & Store CO2 From The AtmosClear BECCS Project In Louisiana
