North Dakota Energy Research Center receives $6M for underground energy storage project

North Dakota's Senate Bill 2014 is making waves as it proposes a significant investment in underground energy storage research, aiming to bolster the state's energy infrastructure. Introduced on February 21, 2025, the bill allocates $6 million from the strategic investment and improvements fund to the state energy research center fund, with an additional $5.3 million in federal funds earmarked for a groundbreaking salt cavern underground energy storage project.

The bill's primary focus is to explore the feasibility of constructing up to two salt caverns in North Dakota's geological formations. These caverns would serve as storage for various energy resources, including natural gas, liquefied natural gas, natural gas liquids, and hydrogen. This initiative not only seeks to enhance energy security but also positions North Dakota as a potential leader in innovative energy solutions.

Key provisions of the bill require the state energy research center to conduct a comprehensive business case analysis for the project. Furthermore, the industrial commission must secure financial backing from at least one nonstate entity before disbursing funds, ensuring a collaborative approach to the research.

As the bill progresses, it has sparked notable discussions among lawmakers and stakeholders. Supporters argue that this investment could pave the way for a more resilient energy grid and create job opportunities in the research and energy sectors. However, some critics express concerns about the long-term viability of such projects and the potential environmental impacts associated with underground storage.

The implications of Senate Bill 2014 extend beyond immediate funding; it could reshape North Dakota's energy landscape and contribute to the state's economic growth. With quarterly reports mandated during the research phase, transparency and accountability will be key as the project unfolds.

As North Dakota navigates its energy future, Senate Bill 2014 stands as a pivotal step towards innovative energy solutions, with the potential to influence both state policy and the broader energy market.