Summit Carbon Solutions LLC on June 25 achieved a major milestone with the Iowa Utilities Board’s approval of its baseline CO2 pipeline project. Several conditions must be met before Summit is issued a permit and construction can begin. This includes modifications that will require Summit Carbon to submit additional filings for review before a permit is issued.&nbsp;Summit Carbon first filed its petition with the IUB in January 2022. The public review process spanned more than two years and included 33 public informational meetings; approximately 50,000 pages of prefiled testimony and exhibits from hundreds of witnesses and landowners; a public hearing spanning 25 days; the acceptance of more than 150 intervenors into the docket; testimony from more than 200 witnesses and landowners; the review of nearly 7,500 pages of hearing transcripts; and the review of almost 4,200 written comments.&nbsp;In its decision, the IUB unanimously found that the pipeline “will provide a service that is in the public convenience and necessity.” The order approves the proposed overall pipeline route, which spans approximately 688 miles through areas in 29 Iowa counties. In reaching its decision, the IUB said it applied a statutory balancing test, which found the public benefits of the project outweigh the private and public costs with the terms and conditions imposed by the IUB.&nbsp;The IUB explained that all three of its members find the proposed service provided by Summit Carbon is in the public convenience and necessity. As such, the IUB has vested Summit Carbon with the right of eminent domain. The order approves the right of eminent domain over specific parcels listed in the order after the permit is issued. Summit Carbon said it has signed voluntary easement agreements with 75% of Iowa landowners along the pipeline route and will continue to work with landowners every day.Despite the IUB’s order of approval, construction on the pipeline project will not begin immediately. Prior to the IUB issuing a permit and Summit Carbon beginning construction, Summit Carbon will be required to obtain and file proof of a general liability insurance policy of no less than $100 million to cover any damages related to the construction, operation, and maintenance of its Iowa pipeline. Summit Carbon will be required to provide proof of such insurance to the IUB annually.Summit Carbon is also not allowed to begin construction in Iowa until it has obtained approval from North Dakota for the route and sequestration site and approval from South Dakota for the route. The company also cannot start construction of trunk or lateral lines to ethanol plants in Minnesota and Nebraska until approvals are granted in those states.Summit Carbon is calling the IUB’s approval a significant milestone not just for the company, but for the entire agriculture industry, as it seeds access to new and emerging markets, like sustainable aviation fuel (SAF), by lowering ethanol’s carbon intensity (CI) score. The company also said it appreciates the Iowa Utilities Board’s fair and transparent handling of the pipeline permit proceedings.Permit proceedings are also progressing for the North Dakota portion of the project. The North Dakota Public Service Commission in August 2023 <a href="https://ethanolproducer.com/articles/article-222">denied a siting</a> permit for the Summit Carbon pipeline project. Summit Carbon <a href="https://ethanolproducer.com/articles/summit-carbon-solutions-submits-revised-pipeline-permit-application-to-north-dakota-puc">submitted a revised permit application</a> with the North Dakota PUC later that month. The agency approved Summit Carbon’s petition for reconsideration in September 2023 and held additional hearings on the proposed pipeline project during April, May and June of this year. The company is also expected to file its permit application in South Dakota soon.&nbsp;“The momentum will continue as we prepare to file our South Dakota permit application in early July,” said Lee Blank, CEO of Summit Carbon Solutions. “We look forward to engaging with the state throughout this process and are confident in a successful outcome.”&nbsp;To date, Summit Carbon has announced partnerships with 57 ethanol plants across five states that plan to inject CO2 into the proposed pipeline project. The Iowa Renewable Fuels Association said the IUB’s action is opening a door to new possibilities for ethanol producers and farmers.&nbsp;“We applaud the IUB for the thorough and fair process it took to reach this decision,” said Monte Shaw, executive director of the IRFA. “Despite the overheated rhetoric of a few, we must not forget that the overwhelming majority of impacted landowners support this project. More importantly, it was the correct decision based on federal and state law. It is encouraging to see the large amount of disinformation did not prevail.”“Today’s decision creates monumental opportunities for Iowa farmers faced with falling prices and growing stockpiles,” Shaw continued. “Whether you think it’s smart or silly, the world’s largest airlines want to decarbonize their fuel. Carbon capture and sequestration gets Iowa ethanol into that market, potentially providing a generational boost to Iowa’s economy. This is just one of several potential new markets.”The American Carbon Alliance is applauding the IUB’s decision. “The Iowa Utilities Board should be commended for handling the pipeline proceedings fairly, transparently, and in accordance with Iowa law,” said Tom Buis, CEO of the American Carbon Alliance.“This decision was the right one and will be transformative for the ag industry and Iowa’s economy. Capturing Carbon to lower the carbon index to open new markets such as Sustainable Aviation Fuels and higher blends for American consumers is the greatest opportunity for farmers since the buildout of the ethanol industry.“The Summit Carbon pipeline will lead to increased demand for corn, benefiting farmers and increasing farm income, and stimulating economic activity for ethanol plants and ag-related business,” Buis added. “This is a huge win for the future of rural America, for American consumers, and for America’s energy independence. Hopefully other states will also move forward quickly.”A full copy of the IUB’s order is a available on the agency’s <a href="https://wcc.efs.iowa.gov/cs/idcplg?IdcService=GET_FILE&amp;RevisionSelectionMethod=latest&amp;allowInterrupt=1&amp;dDocName=2147516&amp;noSaveAs=1&amp;utm_medium=email&amp;utm_source=govdelivery">website</a>.

2024-06-25 - Iowa Utilities Board approves Summit Carbon’s CO2 pipeline application with modifications  (Ethanol Producer Magazine)

medium_SummitCarbonJune2024.jpg

small_SummitCarbonJune2024.jpg

thumbnail_SummitCarbonJune2024.jpg

SummitCarbonJune2024.jpg

Summit Carbon Solutions LLC on June 25 achieved a major milestone with the Iowa Utilities Board’s approval of its baseline CO2 pipeline project. Several conditions must be met before Summit is issued a permit and construction can begin. 

Iowa Utilities Board approves Summit Carbon’s CO2 pipeline application with modifications

Related Stories

Growth Energy files motion to intervene in AFPM’s case against EPA on cellulosic biofuel

Michigan lawmakers pass bill containing E15 tax incentive

Kemin Industries acquires antimicrobial company to expand product offerings for US biofuel industry

LanzaTech, LanzaJet introduce CirculAir technology for SAF production

EIA: Ethanol production down 1%, stocks down 1%, exports down 5%

Upcoming Events

2025 International Fuel Ethanol Workshop & Expo

Carbon Capture & Storage Summit

Iowa Utilities Board approves Summit Carbon’s CO2 pipeline application with modifications .css-7jxktu{position:absolute;bottom:0px;left:0px;right:0px;height:3px;border-radius:3px;background-color:var(--chakra-colors-brandBlack);}