Today, US Representative Mike Conaway (R-TX) introduced, with 18 co-sponsors from both parties, the Carbon Capture and Enhanced Oil Recovery Act.  The bill would make permanent the section 45Q tax credit for carbon dioxide sequestration.  (The current section 45Q credit expires after the end of the calendar year in which the IRS, in consultation with the US Environmental Protection Agency (EPA), certifies that 75 million metric tons of qualified carbon dioxide have been taken into account.)  In addition, the bill would gradually increase the value of the credit for carbon dioxide storage through enhanced oil recovery or other types of geologic storage to $30 per ton by 2025 (from $10/ton and $20/ton, respectively).  Hunter Johnston, partner in Steptoe’s Washington office, commented:  “The Conaway proposal to provide certainty for Section 45Q of the tax code is absolutely necessary to provide incentives for industrial projects that plan to capture CO2 for use in enhanced oil recovery.”