Louisiana Lawmakers Propose Wood Pellet Manufacturing Act Amid Carbon Storage Controversy

Legislation to expand wood pellet manufacturing in Louisiana is advancing despite concerns over its ties to carbon storage. The Louisiana Wood Pellet Manufacturing Strengthening Act aims to promote the industry, moving forward from a House committee. Lawmakers are divided on carbon capture's necessity for the wood pellet sector, with some opposing CO2 sequestration projects in their districts. Despite disagreements, proponents emphasize the demand for wood products and the state's favorable business environment.

Published Mar 21, 2026

The Louisiana Wood Pellet Manufacturing Strengthening Act is progressing, aimed at expanding wood pellet manufacturing in the state. Sponsored by Reps. Chuck Owen and Rodney Schamerhorn, the bill directs the Louisiana Economic Development agency to promote this industry.

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However, it faces criticism over its association with carbon capture and sequestration, which some legislators oppose. Lawmakers argue CO2 emissions from wood pellet production don’t need to be sequestered underground but could be utilized differently.

Drax, a renewable energy company with operations in Louisiana, emphasizes the importance of carbon storage for its expansion plans. The approved bill does not address carbon capture directly, indicating a focus on promoting the wood pellet business without stringent carbon regulations.