Framing the Long-Term In Situ Liability Issue for Geologic Carbon Storage in the United States

This paper examines how legal standards of liability may apply to geologic carbon storage. The liability regime governing geologic carbon storage will shape the technology's cost-effectiveness and overall attractiveness. We classify potential sources of liability into operational, in situ, and climate liability. As a first step, we explore in situ liability in the United States. After summarizing legal standards of liability including negligence, breach of implied warranty, strict liability, and product liability, we discuss how liability may be addressed at the level of the federal government, state government, industry, and the firm. Finally, we address the implications of judicial treatment of liability for carbon storage, including the apportionment of liability and the adequacy of current regulations.