How carbon removal tech is adapting to Trump's energy agenda

Driving the news: The shift was on display when two major Biden-era projects got the green light from Trump's Energy Department to move forward earlier this month.

"Carbon removal can be the next prosperous and competitive American industry," said Giana Amador, founding executive director of the Carbon Removal Alliance, a trade group launched in 2023 to represent the nascent sector.

• Speaking on the sidelines of San Francisco Climate Week, Amador said last week the sector "has a really compelling case to help support the Trump administration's goals around energy dominance."
• Amador said the industry can provide sustainable aviation fuel and even help extract oil through a process known as enhanced oil recovery.

The big picture: The industry took off under Biden-era laws aimed at tackling climate change.

• It has since been stuck waiting more than a year for Trump's review of that funding.
• Its biggest voluntary backer, Microsoft, has also paused new purchases.

State of play: A joint venture between startups Heirloom and Climeworks in Louisiana is one of two federally backed major carbon removal hubs moving forward under Trump.

How it works: The sector includes a range of technologies that pull carbon dioxide from the air and store or use it.

• Heirloom uses minerals to absorb CO₂.
• Climeworks uses large fans and filters.

By the numbers: The Energy Department recently greenlit at least 10 carbon removal projects — including two major hubs in Texas and Louisiana — out of 21 previously approved under Biden.

• The large hubs could receive roughly $600 million each.
• A smaller Pacific Northwest project backed by RMI was also preserved, a spokesperson for the nonprofit confirmed last week.

"Many people who might assume that direct air capture or carbon management doesn't sit inside the President's energy dominance framework are actually missing the broader point," said Vikrum Aiyer, head of global public policy at Heirloom.

Inside the room: Heirloom executives said they emphasized three things to Trump officials:

• The industry could eventually sustain itself without subsidies — similar to fracking, and eventually geothermal and nuclear.
• It aligns with energy security goals. Carbon removal could provide offsets for liquefied natural gas companies exporting to Europe or hyperscalers facing community pushback when building data centers, Aiyer said.

"The biggest missed opportunity from the Biden administration was articulating carbon dioxide as just a liability, instead of thinking of it as a strategic commodity for America's competitive edge," Aiyer said.

The third reason Aiyer cited is that Louisiana's local community — including its Republican leaders — support the project, Vikrum said, citing the economic growth and jobs the projects could bring.

The other side: Not everyone in the state is on board. Carbon capture projects in Louisiana face growing local resistance over perceived safety and environmental risks, underscored by Earth Day protests at the state Capitol just last week.

• "Overall, the outlook for carbon capture, removal, and storage in Louisiana seems fairly grim," Romany Webb, a research scholar at Columbia Law School, concluded after assessing the growing opposition to the industry earlier this year.

What they're saying: The Energy Department reviewed more than 2,000 projects to assess whether they met the Trump administration's criteria, Energy Secretary Chris Wright told lawmakers in a hearing earlier this month.

• Wright said the department assessed "which projects advance the interest of American ratepayers, of American taxpayers and our national security."

What we're watching: The projects may change in size and scope based on the Trump administration's preferences.