House GOP Eyes Multi-Year Carbon Capture Credit in Climate Plan

House Republicans are pushing for a multi-year extension of existing tax credits for power plants and oil and gas operations that capture and store carbon dioxide—one climate policy getting rare backing from environmental and industry groups.

But the extension of the tax credits, known as 45Q, is only likely to see the light of day if balanced with clean energy incentives sought by Democrats, who control the House but also hold filibuster power in the Senate. For now, House Democrats are looking at a more modest one-year extension.

The tax credit was expanded two years ago and is set to ...