Wyoming Allows Utilities To Charge Customers For Carbon Capture

Wyoming Allows Utilities To Charge Customers For Carbon Capture - Carbon Herald
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Last week, Wyoming Gov. Mark Gordon signed a bill that will enable utilities to charge their customers retrofitting their power plants with carbon capture technology. 

The bill, which was initially met with significant opposition, is now officially signed into law and will push forward the deadline given for coal-fired power plants to be equipped with carbon capture from 2030 to 2033.

Travis Deti, executive director of the Wyoming Mining Association, welcomed the new legislation by saying: “Commercially viable carbon capture technology for emissions on power generating and industrial facilities is important not only for our coal industry, but also our industrial mineral producers that are responding to their customer demands.”

“The legislation is important for keeping those efforts moving forward,” Deti stated. 

The new law will allow Wyoming utilities to implement a system where they can collect a surcharge from customers. This surcharge will be capped at 2% of a customer’s total electricity bill.

The collected funds will be used by utilities to invest in carbon capture technologies, which aim to reduce the amount of greenhouse gasses released by coal plants. The Wyoming Public Service Commission will be responsible for overseeing these investments.

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In recognition of the potential financial strain on smaller businesses, the law exempts utilities serving fewer than 10,000 customers from implementing the surcharge.

The law also loosens regulations around carbon capture technology. Previously, plants were required to capture at least 90% of their greenhouse gas emissions, whereas now, the minimum capture rate is reduced to 75%.

Finally, the legislation aligns with existing federal tax breaks for companies investing in carbon capture technologies. This allows utilities to recoup some of their upfront costs through these expiring tax credits.

Read more: Frontier Carbon Solutions Receives The First Three Class VI Permits In Wyoming

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