California's Air Resources Board has released a draft of the first state rules for carbon capture and storage, required under a 2022 law. The rules aim to regulate permitting, monitoring, and financial responsibility for projects that capture CO2 from industrial sources or the air. Industry groups, including oil companies, want to avoid duplicate reporting and expand the rules to cover newer methods like biochar and enhanced weathering. Environmental groups warn the rules could extend fossil fuel production and pollution. The debate comes as federal grants for carbon capture have been lost or redirected, putting pressure on California to stabilize the market on its own. The rules will test how the state balances its climate goals with the practical need to build a carbon removal industry. Stakeholders are now watching how CARB handles the tension between rapid deployment and strong safeguards.
