Louisiana Carbon Dioxide Storage Lease (with Landowner)
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FAQ
Carbon Leasing Landowners can participate in a carbon lease through carbon sequestration that is stored in the soil or through trees on the property. This is known as carbon offsets or carbon sequestration. Landowners can also lease their previously drilled wells to store carbon underground.
If you're a farmer or own land, you can produce carbon credits yourself to sell. Conservation tillage or no-tillage practices, Nutrient management and precision farming, Returning biomass to the soil as mulch after harvest, Planting cover crops off-season, as well as rotating crops,
An acre of land used for carbon sequestration or other methodologies for reducing a carbon footprint generally removes 0.2 to 1.5 metric tons of carbon annually. Given that these CO2 reductions are worth $15 to $20 per metric ton, whoever owns that acre of land can expect payments of $3 to $30 per year per acre.
It grants the state government the power of eminent domain for CO2 storage projects, authorises the state to assume long-term storage site responsibility and liability, and creates a CO2 storage fund to cover the long-term costs associated with the storage site.
