Gov. Burgum signs carbon capture bill

North Dakota Gov. Doug Burgum signed legislation April 24 that will help incentivize the capture of carbon dioxide from the state’s coal-based generation facilities.

Minnkota was closely involved with the development of the bill, which creates various tax exemptions for the use of coal-based CO2 in the process of enhanced oil recovery. Incremental oil produced from the Bakken or Three Forks formations will be exempt for a period of 10 years, and incremental oil produced from other formations will be exempt for a period of 20 years. Also included is a sales and property tax exemption for secure geologic storage of CO2.

The legislation supports Minnkota’s pursuit of Project Tundra, which proposes to equip the Milton R. Young Station’s Unit 2 generator with technology that would capture up to 95% of its CO2 emissions. The project is still in the feasibility assessment phase with research being led by the Energy & Environmental Research Center (EERC).

“This is a win-win for North Dakotans,” Burgum said in a press release. “Our coal industry, partnering with the EERC, has been leading the charge in capturing carbon dioxide emissions. By providing the economic incentive needed to transform these emissions into a valuable commodity, we will continue to be a nationwide leader in environmental stewardship while simultaneously increasing our energy production and strengthening our economy.”