• Posted on Tuesday, May 5, 2009
  • Bookmark and Share
  • email
  • |
  • print
  • |
  • rss

tool name

close
tool goes here

Texas bill offers tax breaks for coal with greenhouse gas emissions capture

Stay Connected

Follow us on Twitter Follow us on Facebook Follow us on your iPhone
Follow us on your Android device Sign up for email newsletters RSS

More on this Story

The House tentatively approved legislation Monday by Rep. Phil King, R-Weatherford to grant up to $300 million in tax breaks to companies developing technology to generate coal from electricity while reducing global warming pollution.

King said HB 469 would make Texas a pioneer in the development of the technology. Companies would agree to capture 70 percent of the carbon dioxide they produce.

The first three completed qualifying plants would each be eligible for tax credits of up to $100 million. But they wouldn't be able to claim the credits until after the plants began operation and met the requirements for capturing carbon dioxide.

Old-style coal-fired plants are one of the biggest sources of carbon dioxide, the main gas that traps heat in the atmosphere.

"If we're going to do this, let's make sure it's the cleanest possible," said Cyrus Reed, conservation director of the Lone Star chapter of the Sierra Club.

Rep. Sylvester Turner, D-Houston, expressed support of clean-coal technology but assailed the proposed tax credits as "big government helping big business." Granting each company $100 million in credits, he said, would further reduce revenue from the state's under-performing business tax.

King countered that any loss of revenue would be quickly offset. The plants, he said, would be multibillion-dollar operations with the potential to add economic benefits to the state.

To read the complete article, visit www.star-telegram.com.

JOIN THE DISCUSSION

We welcome comments. To post one, you must sign in using either your McClatchyDC login or your login for Facebook, Twitter or Disqus. Just click the appropriate box below.

Please keep your comment civil, short and to the point. Obscene, profane, abusive and off topic comments will be deleted. Repeat offenders will be blocked. If you find a comment abusive or inappropriate, please flag it for the moderator by placing your cursor on the comment, then clicking the "flag" link that appears. Thanks for your participation.