US CCUS sector weighs risks and rewards
Many projects look attractive on paper but come with multiple risks for financiers and developers, say speakers at Washington forum
Recent enhancements to the 45Q tax credit regime have transformed the economics of CCUS in the US, but the reality on the ground remains one of multiple risks and complex business models as project financiers and industrial emitters attempt to deploy the technology at scale. The Inflation Reduction Act raises the potential level of 45Q tax credits available to CCUS projects to up to $85/t of CO₂ from up to $50/t previously. It also extends the construction start date deadline for qualifying projects from January 2026 to January 2033 and allows tax credits to be paid directly in cash. “The Gulf Coast in particular, where you have the opportunity to build large-scale hubs very close to e

Also in this section
22 July 2025
Sinopec hosts launch of global sharing platform as Beijing looks to draw on international investors and expertise
22 July 2025
Africa’s most populous nation puts cap-and-trade and voluntary markets at the centre of its emerging strategy to achieve net zero by 2060
17 July 2025
Oil and gas companies will face penalties if they fail to reach the EU’s binding CO₂ injection targets for 2030, but they could also risk building underused and unprofitable CCS infrastructure
9 July 2025
Latin American country plans a cap-and-trade system and supports the scale-up of CCS as it prepares to host COP30