Get Involved
House Committee Rejects CCS Roadblock
In an exhaustive hearing that lasted nearly five hours, the House Natural Resources Committee voted 12–7 Tuesday to reject HB 7 by Speaker Pro-Tempore Mike Johnson (R-Pineville), legislation that would have imposed new restrictions on carbon capture and sequestration (CCS) projects in Louisiana. LABI and industry partners have repeatedly raised concerns that the bill would immensely hinder investment, slow job creation and create uncertainty for businesses pursuing development across the state. With this outcome, Louisiana’s CCS projects can continue under the current framework, preserving both economic opportunity and energy innovation in the state.
Over the course of the hearing, it became clear that HB 7 would have singled out CCS projects and pipelines for new restrictions. While the bill applied only to CCS pipelines, energy sector leaders emphasized that there is no difference between pipelines carrying CO₂ and those carrying other materials. When questioned by Vice Chair Rep. Joe Orgeron (R‑Cut Off), the bill’s author refused to extend the restrictions to other pipelines, confirming the contradiction.
Pipelines are the vital arteries of Louisiana’s industry and economic strength. Industry leaders reinforced what Louisiana stands to gain from CCS—including jobs, investment and maintaining its unrivaled energy sector—and warned of what would be lost if these projects are stifled.
Opponents of HB 7, including attorneys who handle right-of-way and land succession issues, pointed out that landowners do not lose ownership of their property. CCS projects require only a right-of-way, allowing landowners to continue using their land while receiving compensation. At first, this can seem confusing, but the process is quite simple. LABI’s Louisiana Free Enterprise Institute clears the air with this video breaking down what really happens and how.
As we underscored Monday and Tuesday, eminent domain is rarely invoked: Rep. Jessica Domangue (R-Houma) noted that her clerk of court in Terrebonne Parish confirmed it has been used only five times in 50 years. Rep. Domangue has been a vital advocate for advancing an all-of-the-above energy approach. Many of the points she made in committee—despite intense opposition—were first laid out on our Sounds of Session podcast earlier this session. Her perspective is a critical voice in the ongoing CCS conversation and one that deserves attention going forward. Listen to the episode here.
In the overwhelming majority of cases (>99%), companies successfully reach voluntary agreements through communication and fair negotiation. In fact, eminent domain is used only as a last resort and typically in limited scenarios—most commonly when a landowner cannot be located or is unresponsive after multiple attempts. Taking a project to court is always a last resort.
As was mentioned on multiple occasions during testimony, HB 7 is not the end of the CCS debate, it is only the beginning. Dozens of other bills have been filed this session focused on giving individual parishes local autonomy to make decisions on CCS projects. Allowing a multitude of competing restrictions, rules, regulations and guidelines would dramatically disincentive investment in Louisiana by injecting confusion, uncertainty and unpredictability in the process.
Following the bill’s defeat, Rep. Neil Riser (R-Columbia) successfully moved to involuntarily defer HB 7. This effectively shelves it for the session.
LABI would like to thank the partners who joined the chorus of opposition to HB 7 and the 12 members* of the House Natural Resources Committee who used their “no” votes to show support for an all-of-the-above energy approach that stands to create benefits and opportunities for communities across Louisiana.
* Reps. Brass, Breaux, Bryant, Domangue, Travis Johnson, Kerner, LaCombe, Jacob Landry, Orgeron, Riser, Sawyer and Zeringue