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Using Reverse Auctions in a Carbon Capture and Sequestration (CCS) Deployment Program

The Waxman-Markey, Kerry-Boxer, and Kerry-Lieberman climate bills call for CCS incentives to be allocated in part through the use of a competitive reverse auction mechanism.

This paper reviews the concept of a reverse auction, how reverse auctions are currently used in the public and private sectors, how they can be applied to a CCS deployment program, and the benefits of using them in that manner.

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