The Wonk Room

Senate ‘Improvements For Integration’ Loophole May Make $4.6 Billion ‘Clean Coal’ Fund A Dirty Giveaway

As the Wonk Room has discussed, the Senate version of the American Recovery and Reinvestment Act adds $2.2 billion to the House’s generous allocation of $2.4 billion for the development of “carbon capture and sequestration technologies” (CCS). Furthermore, the Senate language adds a dangerous loophole that changes a potentially green investment into subsidy for a dirty industry:

Awards for such projects may include plant efficiency improvements for integration with carbon capture technology.

This “improvements for integration” provision is a major loophole, allowing the funds to be spent not just on the actual development and deployment of CCS, but anything else a power company can argue is related. These include the kinds of improvements plant and factory owners are already obligated to make to clean up their mercury, soot, and acid rain pollution. Frank O’Donnell, president of Clean Air Watch, tells the Wonk Room:

It sounds like they’re trying to get free money for what they’re supposed to do anyway.

As yet, the Congressional negotiators hammering out differences between the House and Senate versions of the recovery plan have not announced what the coal funding provisions will end up being.

Below is a chart and table explaining the differences in the House and Senate versions of the recovery plan for advanced coal funding:

Coal Fund Comparison in the Recovery Plan

Decoding Coal Funds in the Recovery Plan
House (H.R. 1)	Senate (S. 336)
For an additional amount for “Fossil Energy”, $2,400,000,000 for necessary expenses to demonstrate carbon capture and sequestration technologies as authorized under section 702 of the Energy Independence and Security Act of 2007.1	For an additional amount for “Fossil Energy Research and Development”, $4,600,000,000, to remain available until September 30, 2010 Provided, That $2,000,000,000 is available for one or more near zero emissions powerplant(s)1 Provided further, $1,000,000,000 is available for selections under the Department’s Clean Coal Power Initiative Round III Funding Opportunity Announcement; notwithstanding the mandatory eligibility requirements of the Funding Opportunity Announcement, the Department shall consider applications that utilize petroleum coke for some or all of the project’s fuel input2 Provided further, $1,520,000,000 is available for a competitive solicitation pursuant to section 703 of Public Law 110-140 for projects that demonstrate carbon capture from industrial sources3 Provided further, That awards for such projects may include plant efficiency improvements for integration with carbon capture technology.

1 “Section 702″ and “one or more near zero emissions [fossil energy] powerplant(s)” refer to the Restructured FutureGen project. 2 The “Clean Coal Power Initiative Round III Funding Opportunity Announcement” refers to a distinct CCS program from FutureGen that has less stringent standards. 3A new funding stream for projects like methane capture from coal mines, landfills, and oil and gas wells.

Update Initial news on the energy elements of the conference version of the recovery plan at Gristmill and Climate Progress.

Update The Wonk Room has acquired a new summary of the conference report: it appears there will be $3.4 billion in coal funds.

4 Responses to “Senate ‘Improvements For Integration’ Loophole May Make $4.6 Billion ‘Clean Coal’ Fund A Dirty Giveaway”

1. Clean Coal Energy Says:

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   Certainly ending coal as a fuel can only be part of a global change. No longer can we afford fossil fuels being burnt for energy use willy-nilly: our continued life on this planet cannot stand it

   February 13th, 2009 at 7:14 am

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2. elektra Says:

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   52% of the US energy comes from coal. There is clean coal remediation technology available that removes pollutants, SO2, NOX, Mercury, Sulfur… there should be investment in this area. Populations are increasing here and worldwide. There is simply not enough new energy capable of being produced to make a difference in the foreseeable future. This is a global issue, not just a US issue. We need to stop talking to ourselves and find realistic solutions.

   February 18th, 2009 at 7:43 am

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3. Michael F. Sarabia Says:

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   Is the Clean Coal Lobby group made up of former members of the Flat Earth Society?
   I am glad they found a new purpose in life but I don´t see why they should make US Scientists look bad.

   To reverse the process that produced CO2, while producing electric power, the Second Law of Thermodynamics implies that a ¨greater¨, not an equivalent, amount of energy must be spend to separate the Carbon from the Oxygen than was produced from the burning of coal that bound them.

   Its the Chemical Bond issue that some one got the Nobel Prize in Chemistry, or Physics, a long time ago. If this is too difficult, ask an engineer you trust to explain it.
   In short: Clean Coal is a contradiction of terms.

   March 2nd, 2009 at 8:22 pm

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4. Michael F. Sarabia Says:

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   There is another fact that seems to have gotten lost.
   The only way to reduce the rate of Global Warming,
   is to stop the production of CO2,
   Not REDUCE but Stop, like in totally, nothing, nada. zip.

   This means no wood, Clean Coal, no Oil and NO Natural Gas burning. Natural Gas is a hydrocarbon, like Oil, the fact that oil has other junk and pollutants is irrelevant.
   If you want try to save Six Billion people, we need to reduce the rate of increase in Global Warming, we must reduce the production of CO2, and CO, to zero -and soon, very soon.

   Note, Methane is 20 times worse than CO2 in its Global Warming effects. When the Gigatons of solid Methane at the bottom of the oceans begins to come out, it is all over!
   That will be the Last Tipping Point.

   Note: A bacteria was found in Siberia, later in Alaska and Canada, that is produced when the PermaFrost melts. It eats other stuff in the soil and releases Methane.
   Don´t be too sure we will win the fight against Global Warming, there are too many decision maker people unaware of key, and deadly, facts.
   For example, CO2 will not last for a Century but FOREVER.

   It is an stable molecule and nothing in the air will make split, regardless how long we wait. At one of your meetings some one said “Carbon Dioxide will last a century?”
   Global Warming will stop when we reach 846 Deg. Fahrenheit, the temperature of the air in Venus.
   At that temperature the heat emitted by the atmosphere will be equal and balance the heat received from the Sun.

   We need a solid prediction on how long it will take for the maximum temperature in Las Vegas to reach 150 Deg Fahrenheit. Two summers ago, it reached 126 Deg. F.

   Don´t pay attention to George Will, the ice cover in the Arctic shrunk by over one Million Sq. Miles and the Northwest Passage between the Atlantic and Pacific was fully open, NASA photos showed, for the first time, in 2008.
   A British swimmer jumped into the waters at the very North Pole and stayed there for about 10 minutes wearing only Speedo Trunks, cap and goggles.
   The best we can do for the Polar Bear is to capture as many as can be preserved in world´s city Zoo.
   ””
   But, can we stop natives from burning down the Rainforest?
   I have serious doubts, if we cannot convince highly educated leaders in the Transportation Agencies to give up oil, what are the chances natives, that don´t even have words for Global Warming in their dialects will risk the survival of their family… and this problem is not even being considered.

   March 2nd, 2009 at 8:52 pm

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