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Carbon capture pipelines have struggled to move forward. A project finds success in Nebraska

KANIKA SINGH RATHORE, 01/11/202501/11/2025

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A multi-state carbon capture pipeline began operating in September, reducing emissions middle West Ethanol plants and burying that carbon dioxide gas underground forever. Wyoming — an accomplishment after years of complaints, lawsuits, and legislation blocking similar efforts by other companies.

Other projects have inspired intense opposition, including spending $1 billion with no guarantee of success, but the Tallgrass Trailblazer Pipeline is being praised. Reason: Community dialogue and financial assistance.

Jan Kleeb, whose group BOLD, said, “I want all energy companies to treat communities like Tallgrass with more respect.” nebraska Others have fought carbon capture and oil pipelines.

carbon capture pipeline

The Tallgrass Pipeline has begun transferring emissions from 11 ethanol plants in Nebraska and one iowa At a site in southeast Wyoming, where the greenhouse gas will be buried 9,000 feet below.

The fermentation process of turning corn into fuel releases carbon dioxide. By capturing it before it is released into the air, plants can lower their carbon intensity score, making ethanol more attractive for refining into so-called sustainable aviation fuel – some believe the market could reach 50 billion gallons annually. The Midwest-based ethanol industry sees jet fuel as essential to its future, which will offset the expected decline in demand for automotive fuel as more drivers switch to electric vehicles.

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The federal government incentivizes carbon capture through attractive tax credits to pipeline operators. The Biden administration wanted to encourage a practice that could reduce greenhouse gas emissions and the Trump administration has continued to extend the credit.

“If an ethanol plant absorbs carbon, it lowers their carbon index and they become a lower-carbon fuel, and there’s a premium for that,” said Tom Buis, CEO of the American Carbon Alliance, a trade group. “And they can also produce sustainable aviation fuel from it. Sustainable aviation fuel is a huge, huge market that’s just waiting for someone to step up and take it.”

Routing the pipeline is not easy

At least three other companies have proposed carbon capture pipelines in the Midwest, but besides Tallgrass, only the Iowa-based meeting Carbon solutions persist – and it’s not easy.

Summit has proposed a multibillion-dollar, five-state pipeline network encompassing dozens of ethanol plants, thousands of miles of land and underground storage in North Dakota.

Despite strong support from agricultural groups and the ethanol industry, Summit is constantly dealing with opponents who do not want their land taken for the pipeline and fear dangerous pipe breaks. Landowners filed a lawsuit to block the pipeline and asked legislators for help. The legislature of South Dakota banned the use of eminent domain for such lines.

In response, Summit asked Iowa regulators to amend its permit so that the company would retain the option of a route that would avoid South Dakota.

“Our focus is on supporting as many ethanol partners as possible and building a strong foundation that will help farmers, ethanol plants and rural communities access the markets they will depend on for decades to come,” the summit said in a statement.

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Jesse Stolark, executive director of the Carbon Capture Coalition, said the U.S. Environmental Protection Agency oversees a rigorous process for underground carbon dioxide injection, including permits for construction and injection and rules to protect underground sources of drinking water. Normally, sponge-like porous rock formations store or trap carbon dioxide more than a mile underground, he said.

How did Tallgrass do it?

Tallgrass had a major advantage at the starting point – it converted an existing natural gas line. As the Trailblazer was retrofitted, the natural gas was put on a separate pipeline. The company built branches on 400 miles of main line to connect to ethanol plants.

But Tallgrass also had difficulty connecting with communities along its route.

The company worked with people to get its project done, “instead of trying to force it down our throats,” said Lee Hogan, chairman of the Adams County Commission in Nebraska, whose home is a half-mile from the pipeline.

It helped that Tallgrass worked with Bold Nebraska, a citizens’ group, to create a community investment fund that would make annual payments to organizations related to early childhood development, Medicaid-eligible senior care and food pantries.

Tallgrass will contribute an initial $500,000, followed by annual payments based on 10 cents per metric ton of carbon dioxide shipped through the pipeline. The Nebraska Community Foundation, which will manage the fund, expects to distribute more than $7 million to 31 counties in four states by 2035.

It’s a unique arrangement, and a potential template for future projects, said Jeff Yoast, leader of the Nebraska Community Foundation.

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Yost said, “I’m really impressed that people who might have seen this purely as adversaries have actually come together to find a productive middle ground.”

Tallgrass spokesman Steven Davidson said the investment fund is just one part of the company’s agreement with Boldt, which he said emphasizes being collaborative and transparent, such as conducting land surveys and evaluating easements.

Lessons from Tallgrass

While praising Tallgrass’ collaborative approach, Jack Andreassen Cavanaugh, who studies energy policy at Columbia University, said the experience may be difficult to replicate because, given the increase in natural gas supply and demand at home and abroad, there will be few natural gas pipelines available for retrofitting. The Tallgrass line traces back to his family’s land in Nebraska.

Still, he said, companies can do a better job of connecting and interacting with communities, and that includes spending money.

Kyle Quackenbush, vice president of Tallgrass, said his advice to other pipeline companies is to listen.

“I think our biggest advice to people is to take those concerns seriously and figure out what it takes to help people feel comfortable and understand that this infrastructure is a benefit to their community and not something they need to fear,” he said.

Uk capturecarbonfindsmoveNebraskapipelinesprojectStruggledSuccess

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