FLARE Act Facilitating Lower Atmospheric Released Emissions Act
Impact
If enacted, this bill would allow businesses to fully expense the costs associated with flaring and venting mitigation systems immediately, rather than spreading the cost over an extended period. This change could potentially simplify financial planning for companies in the energy sector by enhancing cash flow and incentivizing the implementation of technology that captures and uses gas efficiently. The amendments proposed under this act are aimed at fostering innovation and leveraging natural gas in ways that can lower overall emissions while also contributing to economic growth through increased energy production.
Summary
SB1188, also known as the Facilitating Lower Atmospheric Released Emissions Act or the FLARE Act, seeks to amend the Internal Revenue Code of 1986 to provide a framework for permanent full expensing for property dedicated to capturing gas that would typically be flared or vented. The bill promotes the use of this gas in value-added products, thereby aiming to reduce harmful emissions commonly associated with gas flaring practices. The intent is to incentivize companies to invest in flaring and venting mitigation systems, ultimately fostering a more environmentally friendly approach to gas usage in the energy sector.
Conclusion
Overall, SB1188 represents a proactive approach to influence state laws related to energy, emissions, and environmental protection, aligning economic incentives with ecological goals. The successful implementation of this bill could set a precedent for future legislation aimed at tackling climate change while fostering economic development.
Contention
There may be points of contention regarding the bill, especially concerning the provisions that exclude properties placed in service by foreign entities of concern. Stakeholders may debate the implications of this exclusion, particularly regarding international investment and compliance with global environmental standards. Furthermore, there are likely to be discussions around balancing the necessity for immediate economic gain against the long-term environmental impact. Opponents may also argue that the bill could lead to less oversight and accountability in how captured gas is utilized.
A bill to improve the National Oceanic and Atmospheric Administration's weather research, support improvements in weather forecasting and prediction, expand commercial opportunities for the provision of weather data, and for other purposes.
To cap the emissions of greenhouse gases through a requirement to purchase carbon permits, to distribute the proceeds of such purchases to eligible individuals, and for other purposes.
To require the Administrator of the National Oceanic and Atmospheric Administration to establish a Blue Carbon Program to conserve and restore blue carbon ecosystems, and for other purposes.