Ep. 75 – “How Does 45Q Actually Work?” Featuring Barbara de Marigny & Aileen Hooks with Baker Botts

We hope you are excited for a 45Q deep dive! We had the great opportunity to learn from some of the most credible 45Q experts in this week's session. Joining us today are Barbara de Marigny, Partner (Tax) at Baker Botts and Aileen Hooks, Partner (Environmental) at Baker Botts. As you may know, the section 45Q tax credit is one of the most promising economic incentive structures for the energy transition. We were certainly glad to spend time with Barbara and Aileen to dive into the nuts and bolts of 45Q. These ladies actually made tax fun!

Our discussion begins with a look at 45Q's history from its introduction in 2008 to becoming much more widely popular with a re-vamp in 2018. From there, we touched on the amount of credit allotted, ownership rights, the carbon capture process, tax equity, requirements around qualifying facilities, secure geological storage and beyond! As you will hear, Barbara and Aileen are highly experienced in the field and it was our pleasure to visit with them.

The TPH crew launched today's conversation: Mike Bradley shared key takeaways from E&P earnings this week, emphasizing a focus on return of capital and Matt Murphy chimed in with his thoughts on E&P earnings from his seat in TPH Research. Colin Fenton pointed out inflationary pressures in the housing market with demand for apartments at a 50 year high.