New coalition forms to educate about carbon capture

A new coalition will focus on carbon capture and its effect on agriculture.

Former House Ag Committee Chairman Collin Peterson is a senior advisor for the American Carbon Alliance. He tells Brownfield the goal of the coalition is to educate, because two new carbon sequestration tax credits included in the Inflation Reduction Act is making carbon profitable on the farm.

“Carbon is now worth $85/ton because of that law and now, there will be an enhanced price in the marketplace due to what’s happening overall with climate change and so-forth.”

Peterson says as farmers implement sustainable farm practices to sequester carbon, ethanol producers can lower their carbon index score, an energy rating that measures carbon, and build demand for renewable fuel.

“To be in sustainable aviation fuel or renewable diesel, you need a carbon index below 50. Part of what’s happening with the whole carbon thing is if we can sequester carbon, we can drop the index from 60 to 30.”

He says ethanol can be a bridge during a transition happening in the transportation sector.

“Ethanol and oil are working together, because an alliance between the two is the best chance to keep those industries going until we see a transition to electric vehicles, if we ever do.”

Peterson says the American Carbon Alliance is led by Tom Buis and is now building its membership, with a goal to include carbon pipelines, ethanol producers, ag commodity groups, farmers, landowners and others.

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