S 1842
Wildfire Reduction and Carbon Removal Act of 2025
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- Passed Senate
- Passed House
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- Became Law
Bill overview
The Wildfire Reduction and Carbon Removal Act of 2025 creates a tax credit for businesses that capture and store carbon dioxide equivalent from wildfire-derived forest residues. This credit incentivizes the use of biomass equipment to manage forest resources after wildfires, promoting carbon removal and storage through geological sequestration or long-duration utilization like biochar. The bill includes provisions to ensure the sustainability of biomass sourcing and establishes requirements for rigorous lifecycle analysis and monitoring of carbon removal projects. It also addresses potential conflicts with existing tax credits and clarifies the definition of qualified carbon dioxide equivalent.
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