Indiana seeks federal takeover of carbon storage well regulations, prepares state rules

Indiana is moving to take over federal permitting and oversight of carbon storage wells, a step that would give the state direct control over Class VI injection wells used for permanent CO2 sequestration. The state is drafting its own regulations and preparing an application to the U.S. Environmental Protection Agency for primacy, which would allow Indiana to issue permits and enforce rules instead of relying on the EPA. If approved, Indiana would join a small group of states with primacy over carbon storage wells. The shift could speed up permitting for projects that inject captured carbon dioxide deep underground, but it also raises questions about state capacity, enforcement resources, and long-term liability for stored CO2. The article notes that Indiana has significant geologic storage potential in deep saline aquifers and depleted oil and gas reservoirs. For carbon markets and project developers, state primacy could mean faster permitting timelines and more predictable regulatory processes. However, the state will need to demonstrate it has the technical staff, monitoring protocols, and financial assurance requirements to match federal standards. The application process itself may take years, and environmental groups are likely to scrutinize the state's enforcement track record.