HouseH.R. 9975119th Congress

Carbon Dioxide Removal Leadership Act of 2026

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[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9975 Introduced in House (IH)]

<DOC>

119th CONGRESS
  2d Session
                                H. R. 9975

 To require the Secretary of Energy to remove carbon dioxide directly 
         from ambient air or seawater, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             July 27, 2026

 Mr. Tonko (for himself and Mr. Peters) introduced the following bill; 
       which was referred to the Committee on Energy and Commerce

_______________________________________________________________________

                                 A BILL

 
 To require the Secretary of Energy to remove carbon dioxide directly 
         from ambient air or seawater, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Carbon Dioxide Removal Leadership 
Act of 2026''.

SEC. 2. FEDERAL REQUIREMENT TO REMOVE CARBON DIOXIDE.

    (a) Required Amounts.--The Secretary shall, to the extent 
economically feasible as provided in subsection (d), remove--
            (1) 50,000 net metric tons of carbon dioxide, calculated on 
        a lifecycle basis, for each of fiscal years 2026 through 2027;
            (2) 500,000 net metric tons of carbon dioxide, calculated 
        on a lifecycle basis, for each of fiscal years 2028 through 
        2030;
            (3) 5,000,000 net metric tons of carbon dioxide, calculated 
        on a lifecycle basis, for each of fiscal years 2031 through 
        2035; and
            (4) 10,000,000 net metric tons of carbon dioxide, 
        calculated on a lifecycle basis, for fiscal year 2036 and each 
        fiscal year thereafter.
    (b) Timing.--The Secretary shall remove each amount of carbon 
dioxide required under subsection (a) by not later than 3 years after 
the beginning of the fiscal year for which such removal is required.
    (c) Small Removal Project Set-aside.--To the extent practicable, at 
least 20 percent of the net metric tons of carbon dioxide required to 
be removed for each of fiscal years 2026 through 2035 under subsection 
(a) shall be removed by small removal projects.
    (d) Economic Feasibility.--
            (1) In general.--The removal of carbon dioxide under this 
        section shall be considered economically feasible if such 
        removal can be accomplished or, in the case of a contract, 
        purchased--
                    (A) with respect to such removal carried out for 
                any of fiscal years 2026 through 2027, at a price per 
                metric ton of carbon dioxide of not more than $750 
                (which the Secretary may adjust for inflation);
                    (B) with respect to such removal carried out for 
                any of fiscal years 2028 through 2030, at a price per 
                metric ton of carbon dioxide of not more than $500 
                (which the Secretary may adjust for inflation);
                    (C) with respect to such removal carried out for 
                any of fiscal years 2031 through 2033, at a price per 
                metric ton of carbon dioxide of not more than $300 
                (which the Secretary may adjust for inflation);
                    (D) with respect to such removal carried out for 
                any of fiscal years 2034 through 2036, at a price per 
                metric ton of carbon dioxide of not more than $200 
                (which the Secretary may adjust for inflation); and
                    (E) with respect to such removal carried out for 
                fiscal year 2037 and each fiscal year thereafter, at a 
                price per metric ton of carbon dioxide of not more than 
                $150 (which the Secretary may adjust for inflation).
            (2) Inclusion of measurement, monitoring, reporting, and 
        verification costs.--In determining whether the removal of 
        carbon dioxide is considered economically feasible under 
        paragraph (1), the price for such removal shall include any 
        costs associated with the measurement, monitoring, reporting, 
        and verification required under subsection (f)(1), including 
        where such costs are directly paid to an independent entity 
        conducting the measurement, monitoring, reporting, or 
        verification.
            (3) Multi-year contracts.--Notwithstanding paragraph (1), 
        the removal of carbon dioxide carried out pursuant to a multi-
        year contract entered into under subsection (h) shall be 
        considered economically feasible if such removal can be 
        accomplished at or below the applicable dollar amount for the 
        first fiscal year of the contract, as provided in paragraph 
        (1), through the entire length of such contract.
    (e) Federal Assistance.--Funds received pursuant to a contract 
entered into under subsection (h) shall not be considered Federal 
assistance or otherwise affect eligibility for any Federal assistance, 
including tax incentives.
    (f) Measurement, Monitoring, Reporting, and Verification.--
            (1) In general.--The Secretary shall measure, monitor, 
        report, and verify, through an independent third party, the net 
        metric tons of carbon dioxide the Secretary removed for 
        purposes of this section. If the Secretary enters into a 
        contract with an entity under subsection (h), the Secretary 
        shall include as a term or condition of such contract that such 
        entity measure, monitor, report, and verify through an 
        independent third party the net metric tons of carbon dioxide 
        removed by such entity for purposes of this section.
            (2) Standards.--Not later than 1 year after the date of 
        enactment of this section, the Secretary, in consultation with 
        the Administrator of the National Oceanic and Atmospheric 
        Administration, the Administrator of the Environmental 
        Protection Agency, the Secretary of the Department of 
        Agriculture, the Director of the National Institute of 
        Standards and Technology, and other relevant Federal agencies 
        as determined appropriate by the Secretary, shall establish 
        standards for evaluation of the measurement, monitoring, 
        reporting, and verification methods of net metric tons of 
        carbon dioxide removed pursuant to this section. Such standards 
        shall--
                    (A) require the use of the best available practices 
                used by similar carbon dioxide removal projects;
                    (B) ensure safe, effective, and efficient removal 
                of carbon dioxide;
                    (C) require independent, third-party verification 
                of carbon dioxide removal and provide for effective 
                oversight of such entities;
                    (D) ensure additionality, durability, and net-
                negativity of carbon dioxide removal;
                    (E) include criteria to determine whether the 
                storage of captured carbon dioxide is durable;
                    (F) ensure scientifically rigorous and transparent 
                methods for measurement, monitoring, reporting, and 
                verifying under paragraph (1); and
                    (G) be regularly reviewed and, as necessary, 
                updated to account for scientific and technological 
                advancements.
            (3) Prohibition on double counting.--Carbon dioxide that is 
        removed for the purposes of compliance with any other 
        greenhouse gas emissions management program, including any 
        foreign, Federal, State, local, or private greenhouse gas 
        emissions management program, as determined by the Secretary, 
        may not be considered removed under subsection (a) for purposes 
        of meeting the requirements of such subsection.
    (g) Priorities.--In carrying out this section, the Secretary shall 
give priority to a project for the removal of carbon dioxide based on 
the degree to which the project--
            (1) minimizes the amount of greenhouse gas emissions 
        released by carrying out such project;
            (2) supports the commercialization of innovative removal 
        technologies that demonstrate--
                    (A) near- and long-term cost competitiveness 
                relative to similar technologies; and
                    (B) a potential to achieve the economic feasibility 
                requirements established under subsection (d);
            (3) increases the diversity of commercially available 
        eligible technologies;
            (4) may provide for domestic job creation, with a further 
        preference for partnerships with labor organizations, small 
        businesses, minority-owned businesses, and women-owned 
        businesses across value chains;
            (5) sources supply chain materials domestically;
            (6) results in economic development or economic 
        diversification in regions or localities that have historically 
        generated significant economic activity from the production, 
        processing, transportation, or combustion of fossil fuels, 
        including through the use of coal mines, fossil fuel-fired 
        electricity generating units, and petroleum refining 
        facilities;
            (7) quantifies and mitigates risks from carbon dioxide 
        removal activities on, and provides measurable co-benefits to, 
        nearby communities and residents, the environment, agriculture, 
        and public health, including by--
                    (A) improving local air quality, water quality, and 
                soil quality;
                    (B) minimizing land, water, and energy footprints; 
                and
                    (C) using zero-emission energy to the extent 
                practically feasible; and
            (8) includes robust public engagement and community 
        benefits, including the use of enforceable community benefit 
        agreements.
    (h) Contracts.--
            (1) In general.--After a transparent and competitive 
        process, the Secretary may enter into one or more contracts to 
        meet the requirements of subsection (a).
            (2) Length.--A contract entered into under this subsection 
        may not be for a term of more than 15 years.
            (3) Maintenance of removal commitments.--The Secretary 
        shall include as a term or condition in each contract entered 
        into under this subsection that the entity that enters into the 
        contract shall be liable to remove an additional amount of 
        carbon dioxide that is equal to any amount of carbon dioxide 
        that is released from any location where the entity stored 
        carbon dioxide pursuant to the contract.
            (4) Limitation.--To the extent that there is a sufficient 
        number of entities capable of removing carbon dioxide in a 
        manner that meets the standards and requirements of this 
        section under a contract entered into pursuant to this 
        subsection, the Secretary shall ensure that no one entity is 
        responsible for removing more than 25 percent of the net metric 
        tons of carbon dioxide required under subsection (a) in any 
        fiscal year.
    (i) Report.--Not later than January 1, 2029, and every 2 years 
thereafter, the Secretary shall submit to Congress, and release to the 
public, a report on the progress of carrying out the requirements of 
this section, which such report shall include--
            (1) the amounts verified under subsection (f)(1) and the 
        corresponding names of each independent third party that 
        provided such verified amount;
            (2) the total price, and price per metric ton, to remove 
        carbon dioxide for the applicable fiscal year as required under 
        subsection (a);
            (3) each technology category, the amount of energy, and 
        each storage mechanism used to remove carbon dioxide for the 
        applicable fiscal year as required under subsection (a);
            (4) any location where carbon dioxide was removed for the 
        applicable fiscal year as required under subsection (a);
            (5) the methods associated with the measurement, 
        monitoring, reporting, and verification required under 
        subsection (f)(1);
            (6) the names of each entity conducting such measurement, 
        monitoring, reporting, and verification required under 
        subsection (f)(1);
            (7) an estimate of how removing carbon dioxide under this 
        section affects nearby communities and residents, the 
        environment, agriculture, and public health;
            (8) information on potential labor impacts and job creation 
        resulting from fulfilling the requirements of subsection (a); 
        and
            (9) an explanation of how the Secretary prioritized 
        projects under subsection (g).
    (j) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary to carry out this section.
    (k) Definitions.--In this section:
            (1) Eligible technology.--
                    (A) In general.--The term ``eligible technology'' 
                means, as determined by the Secretary, any equipment, 
                technique, or technology that--
                            (i) was placed into service after January 
                        1, 2022; and
                            (ii) removes carbon dioxide directly from 
                        ambient air or seawater.
                    (B) Exclusion.--The term ``eligible technology'' 
                does not include any equipment, technique, or 
                technology that--
                            (i) removes carbon dioxide which is 
                        deliberately released from naturally occurring 
                        subsurface springs;
                            (ii) removes carbon dioxide using natural 
                        photosynthesis, except as provided in 
                        subparagraph (C); or
                            (iii) uses captured carbon dioxide in 
                        enhanced oil recovery.
                    (C) Expansion of eligible technology.--
                Notwithstanding subparagraph (B)(ii), any equipment, 
                technique, or technology that removes carbon dioxide 
                using gasification, pyrolysis, or sequestration of 
                solid, nonhazardous, and cellulosic waste materials may 
                be considered an eligible technology under this section 
                if the Secretary, by rule--
                            (i) determines an entity that carries out a 
                        removal project under this section is able to 
                        adequately measure, monitor, report, and verify 
                        the amount of greenhouse gas emissions, 
                        calculated on a lifecycle basis (including 
                        direct emissions and significant indirect 
                        emissions), removed using such equipment, 
                        technique, or technology;
                            (ii) determines an entity that carries out 
                        a removal project under this section is able to 
                        adequately mitigate the environmental impacts 
                        (including impacts on biodiversity, land use, 
                        and air and water quality) associated with such 
                        equipment, technique, or technology; and
                            (iii) requires an entity carrying out a 
                        removal project under this section to--
                                    (I) adequately measure, monitor, 
                                report, and verify the amount and 
                                storage durability of greenhouse gas 
                                emissions, calculated on a lifecycle 
                                basis (including direct emissions and 
                                significant indirect emissions), 
                                associated with using such equipment, 
                                technique, or technology; and
                                    (II) adequately mitigate the 
                                environmental impacts (including 
                                impacts on biodiversity, land use, and 
                                air, soil, and water quality) 
                                associated with using such equipment, 
                                technique, or technology.
            (2) Lifecycle basis.--The term ``lifecycle basis'' means 
        the net sum of all greenhouse gas emissions (using mass values 
        for all greenhouse gases that are adjusted to account for their 
        relative global warming potential, as determined by the 
        Secretary in consultation with the Administrator of the 
        Environmental Protection Agency) associated with a carbon 
        dioxide removal activity from cradle to grave, including any 
        emissions associated with--
                    (A) energy and feedstock inputs in the carbon 
                dioxide removal activity, including inputs in the 
                distribution and transportation of carbon dioxide;
                    (B) indirect effects, such as land-use change, as 
                scientifically justified;
                    (C) the carbon dioxide removal process;
                    (D) carbon dioxide transport and storage, including 
                any leakage, use, and disposal of any materials or 
                products associated with such transport and storage; 
                and
                    (E) embodied emissions of the equipment used in the 
                carbon dioxide removal activity.
            (3) Remove.--The term ``remove'' means to extract carbon 
        dioxide from the atmosphere by--
                    (A) capturing carbon dioxide using eligible 
                technology; and
                    (B) durably storing, on a timescale equivalent to 
                geologic storage, such captured carbon dioxide--
                            (i) pursuant to a permit issued under part 
                        C of the Safe Drinking Water Act (42 U.S.C. 
                        300h et seq.) for a Class V or Class VI 
                        injection well (as such classes of wells are 
                        described in section 144.6 of title 40, Code of 
                        Federal Regulations (or successor 
                        regulations));
                            (ii) in building materials and mineralized 
                        carbon materials; or
                            (iii) using other durable storage methods, 
                        as determined by the Secretary.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (5) Small removal project.--The term ``small removal 
        project'' means a project for the removal of carbon dioxide 
        that, on an annual basis, does not remove more than 5 percent 
        of the net metric tons of carbon dioxide required to be removed 
        for the applicable fiscal year under subsection (a).

SEC. 3. STUDY ON THE LONG-TERM FUTURE OF FEDERAL CARBON DIOXIDE REMOVAL 
              MANAGEMENT.

    Not later than 1 year after the date of enactment of this Act, the 
Secretary of Energy, in consultation with the Administrator of the 
National Oceanic and Atmospheric Administration, the Administrator of 
the Environmental Protection Agency, the Secretary of the Department of 
Agriculture, and other relevant Federal agencies, shall submit to the 
Committee on Energy and Commerce of the House of Representatives and 
the Committee on Energy and Natural Resources of the Senate a report 
that evaluates and makes recommendations for potential program design 
elements and financing options for a Federal carbon dioxide removal 
offtake program that can be scaled to achieve carbon dioxide removal 
from the atmosphere and the oceans at a gigaton scale annually by 2050. 
Such report shall include consideration of potential management and 
organizational structures for the program, including--
            (1) a government sponsored enterprise;
            (2) a government corporation;
            (3) a program office with the Department of Energy or other 
        Federal agency; and
            (4) a contracted service provider.
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