Companies that invest in carbon sequestration overseas in developing countries could be eligible for tax breaks under a legislative bill that has been introduced to the Senate. Under the bill, $200 million would be available annually to fund the programme, which would provide tax credit funding to the tune of $2.5 per tonne of carbon captured. The bi-partisan sponsored bill is also expected to qualify carbon sequestration projects for IMF loans and insurance as an alternative to tax credits. Its passage is not expected until the next Congress.
