Bill Text: TX SB2243 | 2023-2024 | 88th Legislature | Introduced
Bill Title: Relating to advanced clean energy projects and certain other projects that reduce or eliminate carbon dioxide emissions.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2023-03-22 - Referred to Natural Resources & Economic Development [SB2243 Detail]
Download: Texas-2023-SB2243-Introduced.html
88R4156 JRR-F | ||
By: Johnson | S.B. No. 2243 |
|
||
|
||
relating to advanced clean energy projects and certain other | ||
projects that reduce or eliminate carbon dioxide emissions. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Section 382.003(1-a), Health and Safety Code, is | ||
amended to read as follows: | ||
(1-a) "Advanced clean energy project" means a project | ||
[ |
||
(A) involves the use of coal, biomass, petroleum | ||
coke, solid waste, natural gas, or fuel cells using hydrogen | ||
derived from such fuels, in the generation of electricity, or the | ||
creation of liquid fuels outside of the existing fuel production | ||
infrastructure while co-generating electricity, whether the | ||
project is implemented in connection with the construction of a new | ||
facility or in connection with the modification of an existing | ||
facility and whether the project involves the entire emissions | ||
stream from the facility or only a portion of the emissions stream | ||
from the facility; | ||
(B) with regard to the portion of the emissions | ||
stream from the facility that is associated with the project, is | ||
capable of achieving: | ||
(i) on an annual basis: | ||
(a) a 99 percent or greater reduction | ||
of sulfur dioxide emissions; | ||
(b) if the project is designed for the | ||
use of feedstock, substantially all of which is subbituminous coal, | ||
an emission rate of 0.04 pounds or less of sulfur dioxide per | ||
million British thermal units as determined by a 30-day average; or | ||
(c) if the project is designed for the | ||
use of one or more combustion turbines that burn natural gas, a | ||
sulfur dioxide emission rate that meets best available control | ||
technology requirements as determined by the commission; | ||
(ii) on an annual basis: | ||
(a) a 95 percent or greater reduction | ||
of mercury emissions; or | ||
(b) if the project is designed for the | ||
use of one or more combustion turbines that burn natural gas, a | ||
mercury emission rate that complies with applicable federal | ||
requirements; | ||
(iii) an annual average emission rate for | ||
nitrogen oxides of: | ||
(a) 0.05 pounds or less per million | ||
British thermal units; | ||
(b) if the project uses gasification | ||
technology, 0.034 pounds or less per million British thermal units; | ||
or | ||
(c) if the project is designed for the | ||
use of one or more combustion turbines that burn natural gas, two | ||
parts per million by volume; and | ||
(iv) an annual average emission rate for | ||
filterable particulate matter of 0.015 pounds or less per million | ||
British thermal units; and | ||
(C) captures not less than 90 [ |
||
carbon dioxide in the portion of the emissions stream from the | ||
facility that is associated with the project and sequesters that | ||
captured carbon dioxide by geologic storage or other means. | ||
SECTION 2. Section 391.002(b), Health and Safety Code, is | ||
amended to read as follows: | ||
(b) Projects that may be considered for a grant under the | ||
program include: | ||
(1) advanced clean energy projects, as defined by | ||
Section 382.003; | ||
(2) new technology projects that reduce emissions of | ||
regulated pollutants from stationary sources; | ||
(3) new technology projects that reduce emissions from | ||
upstream and midstream oil and gas production, completions, | ||
gathering, storage, processing, and transmission activities | ||
through: | ||
(A) the replacement, repower, or retrofit of | ||
stationary compressor engines; | ||
(B) the installation of systems to reduce or | ||
eliminate carbon dioxide emissions or the loss of gas, flaring of | ||
gas, or burning of gas using other combustion control devices; or | ||
(C) the installation of systems that reduce | ||
flaring emissions and other site emissions; [ |
||
(4) electricity storage projects related to renewable | ||
energy, including projects to store electricity produced from wind | ||
and solar generation that provide efficient means of making the | ||
stored energy available during periods of peak energy use; and | ||
(5) projects that: | ||
(A) utilize technology to capture, use, reuse, | ||
store, or sequester carbon dioxide emissions for the principal | ||
purpose of preventing carbon dioxide from entering the atmosphere; | ||
and | ||
(B) are constructed integral or adjacent to a | ||
petrochemical plant or an electric generation facility, including a | ||
facility powered by coal, natural gas, hydrogen, or ammonia. | ||
SECTION 3. Section 151.334, Tax Code, is amended to read as | ||
follows: | ||
Sec. 151.334. COMPONENTS OF TANGIBLE PERSONAL PROPERTY USED | ||
IN CONNECTION WITH CERTAIN CLEAN ENERGY PROJECTS [ |
||
connection with an advanced clean energy project, as defined by | ||
Section 382.003, Health and Safety Code, or a clean energy project, | ||
as defined by Section 120.001, Natural Resources Code, are exempted | ||
from the taxes imposed by this chapter if[ |
||
[ |
||
dioxide from an anthropogenic emission source, transport or inject | ||
carbon dioxide from such a source, or prepare carbon dioxide from | ||
such a source for transportation or injection[ |
||
(1) [ |
||
state[ |
||
[ |
||
that qualifies for a tax rate reduction under Section 202.0545, as | ||
provided by Subsection (c) of that section; or | ||
(2) the components are used in connection with the | ||
capture, use, reuse, storage, or sequestration of carbon dioxide | ||
emissions for the principal purpose of preventing [ |
||
SECTION 4. The change in law made by this Act to Section | ||
151.334, Tax Code, does not affect tax liability accruing before | ||
the effective date of this Act. That liability continues in effect | ||
as if this Act had not been enacted, and the former law is continued | ||
in effect for the collection of taxes due and for civil and criminal | ||
enforcement of the liability for those taxes. | ||
SECTION 5. This Act takes effect September 1, 2023. |