North Dakota utility regulators have granted approval for a segment of a proposed carbon dioxide pipeline that would traverse five Midwestern states, marking a significant milestone for the company behind the project. The state Public Service Commission unanimously approved a siting permit for Summit Carbon Solutions' modified 333-mile route in North Dakota. The company's ambitious $8 billion, 2,500-mile pipeline system aims to transport CO2 emissions from 57 ethanol plants in five states for underground storage in North Dakota.
While Iowa has given its approval, Summit still faces obstacles in North Dakota, South Dakota, Minnesota, and Nebraska. The approval in North Dakota comes after initial denials in 2023, with another company canceling its project due to regulatory challenges in South Dakota and Iowa.
Supporters view carbon capture projects as crucial in combating climate change, with federal tax credits incentivizing such initiatives. The ethanol industry anticipates Summit's project will create opportunities in sustainable aviation fuel markets, particularly benefiting ethanol producers like Iowa.
Opponents, including landowners across the Midwest, express concerns about potential hazards from a pipeline rupture and the use of eminent domain. North Dakota Public Service Commission Chairman emphasized the importance of minimizing eminent domain usage.
Summit's CEO expressed satisfaction with the approval and highlighted the company's efforts to work with landowners voluntarily. The company has secured easements for over 82% of its North Dakota route.
Some critics question the viability of carbon capture technology at scale and its impact on the fossil fuel industry. Legal challenges and regulatory requirements continue to pose hurdles for Summit's project in various states.
In Iowa, Summit awaits route approvals from both Dakotas and underground storage approval in North Dakota before commencing construction. The company's hazardous liquid pipeline permit in Iowa has sparked lawsuits.
Despite setbacks, Summit remains committed to its project, collaborating with partners and navigating regulatory processes in different states. The future of the carbon dioxide pipeline project hinges on further approvals and addressing concerns raised by stakeholders.
