Managing the Risks of Carbon Sequestration: Liability Concerns and Alternatives

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Business managers involved in the production of greenhouse gases have several critical concerns. In parallel with efforts to improve performance, reduce deployment schedules, and increase cost-effectiveness, those responsible for carbon sequestration solutions must address their responsibility for long-term liability. Existing regulations for subsurface storage of petroleum and natural gases provides some guidance for carbon dioxide (CO2) storage projects. Also, collective industry experience both on similar projects and on incipient sequestration efforts can give us guidance on the range of procedures that need to be managed. However, at present we lack a comprehensive regulatory framework to enable the effective management of long-term sequestration project operations.

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