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On Chinese solar exports, Blue Energy’s nuclear reactors, and GE Vernova stock

Current conditions: Wildfires are raging across the Southeast, with more than 27,000 acres alight in southern Georgia alone • At least two separate blazes have also broken out in Japan’s northeastern Iwate prefecture • A late blizzard is dumping as much as 20 inches of snow on northern Manitoba, Canada.
Yet another French energy giant is lining up for a payout from the Trump administration to abandon its offshore wind projects in the United States. Utility giant Engie is in talks with the federal government about a “possible refund” for its U.S. offshore wind leases as President Donald Trump looks to halt expansion of an energy source that’s quickly growing in Europe and Asia. Since Trump returned to office last year, the company has paused development on three offshore wind projects and already took a loss on its joint venture Ocean Winds. In an interview with Reuters, Engie CEO Catherine MacGregor confirmed that the utility was pursuing the kind of deal that French oil and gas giant TotalEnergies negotiated in recent weeks. “We’ll see about these terms. An agreement is possible depending on the discussions.” She noted that she wasn’t against offshore wind. “Economically and also in terms of public acceptance, I strongly believe in offshore wind power. Of course, you have to plan the projects well, you have to involve the fishermen,” she added. Still, “new offshore wind projects are going to be complicated regardless of the administration.”
The $1 billion TotalEnergies deal may also stand on shaky ground. As Heatmap’s Emily Pontecorvo reported in back-to-back scoops, documents suggest the Trump administration’s legal argument for drawing on a federal settlement fund rests on shaky ground. Other documents show that TotalEnergies isn't required to make any new investments in U.S. oil and gas under the agreement, contrary to what Trump officials said about the deal.

Long accused of maintaining an overcapacity of factories to churn out solar panels, China’s photovoltaic output is now in soaring demand as the world scrambles to cope with the energy shock brought on by the Iran War’s closure of the Strait of Hormuz. New data from the think tank Ember shows that China’s solar exports reached a record 68 gigawatts in March, double the previous month. When Ember analyzed the Chinese customs authority data, its researchers found that the exports are equivalent to Spain’s entire solar capacity, surpassing the previous record set in August 2025 by 49%. At least 50 countries — you read that right — set all-time records for Chinese solar imports in March, with another 60 seeing the highest levels in six months. Compared to February numbers (the war began on February 28), Chinese solar exports grew by 141% to India, 384% to Malaysia, 391% to Ethiopia, and 519% to Nigeria.
“Fossil shocks are boosting the solar surge,” Euan Graham, senior analyst at Ember, said in a statement. “Solar has already become the engine of the global economy, and now the current fossil fuel price shocks are taking it up a gear. Countries are importing solar panels at record levels, and building up their own domestic assembly and manufacturing capabilities to address surging global demand.”
Elon Musk is betting even bigger on artificial intelligence. Tesla plans to boost spending to $25 billion this year as the electric automaker cum battery and solar giant invests in self-driving taxis, zero-emissions trucks, robots, and a sweeping new chip factory to power its AI ambitions. During a call with investors on Thursday, Musk said there would be a “very significant increase in capital expenditure” this year, which “will be well justified considering substantially increased revenue streams,” according to the Financial Times. The forecast is nearly triple the $8.5 billion Tesla spent last year.
The shift comes as the U.S. faces what Heatmap contributor Andrew Moseman called the “great American EV contraction” that took place after the Trump administration ended federal tax credits for electric vehicles last fall.
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In a nuclear industry filled with startups promising to reinvent the reactor, Blue Energy stands out as a company promising instead to transform how good old-fashioned light water reactors are built. The firm wants to prefabricate its small modular reactors in a factory, making each one as uniform and replicable as possible. “For the first time, a nuclear project is designed so that it doesn’t need to rely primarily on taxpayer dollars and ratepayers to backstop risk,” Jake Jurewicz, Blue Energy chief executive and co-founder, told S&P Global. In a press release, Jurewicz called its forthcoming debut facility, a 1.5-gigawatt complex in Texas, “the first project-financeable nuclear plant.”
Shares in GE Vernova spiked 14% on Wednesday after the energy industrial giant reported surging demand for its gas turbines and nuclear reactors to power the AI boom in its latest quarterly earnings. As I told you yesterday, GE Vernova’s head of government affairs and policy, Roger Martella, said this week that the project to build North America’s first small modular reactor at Ontario Power Generation’s Darlington plant was on track to produce power by 2030. In a note to investors, the investment bank Jeffries said soaring gas demand and “green-shoots for nuclear” sent the price upward.
If online gambling services like Kalshi and Polymarket allow people to bet on something, do the incentives for the worse outcome change? Turns out, obviously, the answer is yes. Just consider this example. Polymarket allowed people to bet on daily temperatures from some official weather stations. Now Météo-France, the official French meteorological agency, is accusing someone of using an artificial heat source to manipulate reads at a station and win bets.
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GOP lawmakers know climate change is real. But they lack political incentives to do anything about it.
The New York Times recently profiled former Senate Majority Leader Bill Frist and his increasing engagement on climate change. Many of the online comments accused him of hypocrisy. Why, they asked, did he only become concerned about climate change after leaving Congress?
It’s an understandable question.
I have spent the better part of a decade discussing climate change with Republican members of Congress and can see a frequently overlooked part of the answer. During my hundreds of one-on-one conversations with Republican senators and representatives, almost none of them deny that climate change is occurring. Most understand the science well enough, and many acknowledge privately that it presents serious long-term risks.
They don’t lack knowledge. They lack political incentives.
Members of Congress have finite political capital. Every day they must decide which issues deserve their attention. Naturally, they devote their time to the issues that voters, donors, activists, staff, and party leaders tell them matter most.
Politics is a marketplace of incentives. For decades, climate advocates have devoted their efforts to changing Republicans’ minds, but have devoted little effort to changing the incentives for Republicans to act.
The political ecosystem for Democrats could not be more different. Democrats are surrounded by organizations that continually reinforce the importance of climate policy. Environmental groups, philanthropies, labor organizations, advocacy organizations, academics, campaign donors, think tanks, and congressional staff all create an environment in which climate engagement is expected and rewarded.
Republicans experience almost none of that.
When I was quoted in the New York Times article, I described the “eco right” as “a lonely place.” I meant it literally. There are remarkably few conservative organizations whose primary mission is helping Republican elected officials develop serious climate policy. Few donors make climate engagement a condition of support. Few advocacy groups reward constructive leadership. Few congressional staff have access to a deep bench of conservative climate experts. Climate is far more often presented as a political liability than a leadership opportunity.
In that environment, addressing climate change is rarely a priority. This largely explains what puzzles many observers — that Republican leaders often become noticeably more outspoken about addressing climate change after leaving office. The science has not changed. Their incentives have.
Freed from primary elections, fundraising pressures, and the constant competition for legislative attention, they’re able to think about problems whose consequences unfold over decades instead of election cycles.
That observation leads to an uncomfortable conclusion for those of us who want stronger climate policy: Persuading Republicans that climate change is real is not just unnecessary, it’s unproductive. They know it’s real. The more important task is building the institutions that make climate engagement a priority. That means investing in conservative policy organizations, developing Republican congressional staff expertise, supporting Republican governors and state legislators, encouraging business leaders to engage, creating donor networks that reward constructive center-right leadership, and giving Republican members credible partners they can trust.
In other words, we need to make the eco-right a much less lonely place.
Building institutions requires capital, both political and financial. Today, the overwhelming majority of climate-related political spending — whether by advocacy organizations, political action committees, or philanthropically supported campaigns — flows to Democratic candidates and causes. It’s understandable. Democrats have generally been more supportive of climate action, and donors naturally want to reward those who stand with them.
But rewarding allies isn’t the same as expanding the number of them.
If the objective is durable climate policy rather than simply electing more Democrats, then the current allocation of political spending deserves reconsideration. Congress writes laws, and lasting legislation almost always requires bipartisan support. A movement that invests overwhelmingly in one party shouldn’t be surprised when the other party lacks champions, expertise, and political incentives.
Climate philanthropists, advocacy organizations, and political action committees should explicitly seek to create Republican allies by committing a more significant portion of their electoral spending to Republican candidates. This support would send a powerful signal throughout Republican politics that constructive engagement on climate change will be rewarded. More Republican candidates would respond to those incentives, and the universe of viable partners would expand.
For Republicans, the greatest opportunity lies in primary elections. While general elections determine which party governs, primaries determine what kind of Republicans and Democrats will govern. Donors should identify Republican candidates who are willing to engage on a variety of climate-related topics — from adaptation and resilience to market-based policies that reduce emissions to energy innovation — and help them succeed. The objective isn’t ideological purity. It’s to demonstrate that constructive climate leadership is politically viable within today’s Republican Party, and to give those candidates the confidence that they aren’t alone.
Over time, this approach would accomplish something today’s funding model cannot. Rather than simply rewarding an existing coalition, it would create a larger one. It would produce more Republican members who see climate engagement as compatible with conservative principles. Climate change would still be a scientific and economic challenge, but politics would no longer preclude addressing it.
Rather than increasingly evident climate change adding to political division, it could drive both parties to act. America’s biggest policy achievements have generally occurred when a president elevated an issue as a national priority and Congress responded. Tax reform, welfare reform, civil rights, and other major agreements all required presidential leadership before they produced durable bipartisan legislation.
Climate policy has not yet reached that level. While voters increasingly care about it, it does not determine presidential elections or dominate governing agendas.
The closest climate change has come to being a top-tier issue was when President George H.W. Bush signed the United Nations Framework Convention on Climate Change in 1992, but that was before addressing climate change became so partisan. More recently, President Joe Biden included clean energy tax credits in the Inflation Reduction Act. That modest success is noteworthy in part because it rode upon legislation to address inflation, a top-tier voter issue — and because the provisions were largely repealed less than three years later. Until climate change becomes a presidential-level issue — one that candidates in both parties believe they must address — Congress is unlikely to devote sustained attention to it.
That day will come. And when that moment arrives, the quality of the legislation will depend on the work being done now. If we want bipartisan climate policy tomorrow, we need to build bipartisan political capacity today.
The climate movement has spent decades rewarding allies. The next several decades should be spent adding more. Politics follows incentives more than information. If we want Republicans to lead on addressing climate change or at least become those allies, we must stop just trying to persuade them and start investing in the institutions, incentives, and people that make it possible.
Current conditions: Tropical Depression Two is set to strengthen into Tropical Storm Bertha as the system widens over the Gulf Coast from Texas to Tampa Bay, Florida • Temperatures will top 112 degrees Fahrenheit in Khartoum, the capital of war-ravaged Sudan • Canadian wildfire smoke may have largely cleared in the Northeastern United States, but nearly 900 blazes are still burning, and Chicago is still under an air quality warning.

Andy Burnham, the new leader of the British Labour Party and the likely next prime minister of the United Kingdom, has vowed to uphold a contentious ban on exploration licenses for oil and gas drilling in the North Sea. While deputy party leader Lucy Powell told the BBC on Sunday that fossil fuels from the North Sea would remain part of Britain's energy mix, the so-called “king of the north,” who previously led the industrial metropolis of Manchester as its mayor, has instead stuck by the party’s original plan. “If they don’t reverse the ban on new exploration then the industry will be very unhappy indeed,” one industry source told the Financial Times. The decision comes after rumors had swirled that Burnham may support increasing domestic fossil fuel production in a bid to bring down energy prices. In a post on his Truth Social network, Trump wrote: “The People of Aberdeen, in Scotland, are dancing in the streets because the new Prime Minister, Andy Burnham, has stated that he will be opening up, all the way, the invaluable North Sea Oil!”
Scotland is, on the other hand, getting more of Trump’s least favorite energy source. The American president’s antipathy toward offshore turbines, so goes the lore, began with an unsuccessful bid to block a project he considered unsightly off the coast of his golf course there. Last week, Renewables Now reported that offshore wind developer Ocean Winds secured the Scottish government’s approval for a 2-gigawatt offshore wind farm called Caledonia, the name Romans gave the area of Britain that ultimately became Scotland and its frontier with England. Located 25 miles off Moray Firth, the project is poised to begin construction in 2030.
In the U.S., the Trump administration has limited plans for carbon removal facilities. In Canada, as Emily has written, Prime Minister Mark Carney has opened the door to direct air capture companies looking for a new home base. But in the European Union, Brussels is already weaving carbon removal into the bloc's carbon-trading market. The EU’s highest governing body, the European Commission, proposed allowing carbon removal into its EU Emissions Trading System for the first time. “Under the current rules, companies cannot use carbon credits of any kind to comply with the regulations,” Emily wrote last week in a piece previewing the proposal. “But as 2040 grows closer, the EU plans to rely on carbon removal to offset some of the residual emissions from industries that are the most difficult to decarbonize.” For now, the scheme will be limited to direct air capture and bioenergy with carbon capture and sequestration.
Last month, New York Attorney General Letitia James headed a group of Democratic-led states in a lawsuit challenging the Trump administration’s deals to kill offshore wind projects, as my colleague Emily Pontecorvo has written. Now many of those same blue states are seeking to join private developers’ litigation seeking to thaw President Donald Trump’s freeze on approving wind projects. Last week, the states filed a motion to intervene on behalf of wind companies that accuse the administration of unfairly targeting their businesses. The states argue, according to Bloomberg Law, that the halt to federal permitting “pushes up electricity costs” and “hurts their attempts to curb fossil fuel emissions.”
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Claude-maker Anthropic is set to lease computing power for its artificial intelligence data centers from Meta, making what The New York Times described as “a potential step toward a new AI for the social networking company.” Under the deal, Anthropic would pay the Facebook parent company $10 billion over two years, in monthly increments. The agreement is roughly a third the size of the deal that the AI giant signed with Elon Musk’s xAI in May for $45 billion of computing power over three years. That deal has drawn blowback given the vast arrays of gas turbines that power xAI’s biggest data center, Colossus, which is the subject of an air pollution lawsuit filed by the NAACP. As for Meta, insiders Heatmap talked to at the end of last year put it in the bottom of hyperscalers based on its decarbonization efforts. One social scientist told us, “Google is the best, Meta is the worst. Evil corporation.”
Russia’s state-owned nuclear company has at least 18 new nuclear projects underway at home, Rosatom announced. The Kremlin-owned company said the projects are in “various stages of implementation” throughout Russia, and don’t count the more than two dozen under construction overseas in places such as Bangladesh, India, and Turkey. In a speech published in the company’s in-house magazine and shared with World Nuclear News, Rosatom Director General Alexei Likhachev said the firm aims to increase revenues to $51.3 billion by 2028 — a nearly 18% increase from this year. Improving profits, however, means reducing costs by 5% that same year.
Meanwhile, the Kremlin’s nuclear regulator, Rostekhnadzor, has issued licenses for the first two proposed units of the new Kola nuclear station in northwest Russia, near Finland. The plant is expected to begin construction next year, NucNet reported, and ultimately include four VVER-S medium-capacity pressurized water reactors.
Tesla has a fierce new competitor in the European market. The Chinese automaker Xpeng just released its compact L03 crossover. The starting price in the German market, $40,700, undercuts the Tesla Model Y’s $44,480. The vehicle, per InsideEVs, is the first Chinese car to be fully integrated with Google Maps.
We didn’t know days like this could happen. Then we learned how bad they really are.
When I woke up this morning in Chicago, the Air Quality Index was in the 300s, and I could barely see the top of the skyscraper across the street. The weather app on my phone featured a little image of a man wearing a World War I-style full-face gas mask. That’s fun, I thought. I didn’t know it could do that.
I went downstairs. Old photographs of the city were hanging in the hotel lobby — girls playing in bathing suits next to the lake — and I realized that the haze shrouding the old Lakeshore Drive condos was in fact haze, smoke, particulate matter, and not a lens artifact. It really used to be that smoky all the time, back before the Clean Air Act. Then I glanced up and saw that the haze out the window was far worse than the century-old pollution in the picture.
It’s significant, I think, that a mass smoke-out like this has now happened to the eastern U.S. for a second time. Second times matter. When exhaust from Canadian wildfires blanketed the Northeast and parts of the Midwest in June 2023, exposing more Americans to wildfire smoke than on any previous day in history, one could almost write it off as a freak occurrence. It was upsetting, sure, and reminiscent of California’s climate-addled amber skies. But didn’t wildfire smoke also descend on New England once in the 1780s? Even on a warmer planet, couldn’t this remain a once-in-a-century blip?
Twice in just over three years, though — that‘s more than a hiccup. That’s almost a trend. To get smoked out once may be regarded as a misfortune; for it to recur again, without any plan to respond, starts to look like carelessness. The federal government is doing roughly diddly squat about adaptation — President Trump can build a fan on the border and make Canada pay for it — but state and local governments across the eastern U.S. will now need to reckon with a new form of extreme weather. You grew up with snow days, but now we’ll have smoke days — and schools and sports leagues and concert venues will need rules about how to deal with them. When should games be canceled, tickets refunded? Is smoke more like a heat wave or a hurricane? Hotels and office buildings will need to review their ventilation policies and possibly upgrade their equipment; municipal emergency response plans will be revised and printed in triplicate.
All this will happen because the smoke has invaded a second time — and arguably a third, if you count last year’s minor episode — and that means it could come back again. For that reason, this event strikes me as a much bigger deal than what happened in 2023. The smoke is now a fact of life; institutions will need a policy about it. The tortious creep of litigation risk will enforce that outcome, even if no federal official enforces it.
So it goes. But to be clear, this new inconvenience is not what worries me most about today’s events. No, what frightens me instead is that today’s airborne toxic event is not something that was supposed to happen. Until a few years ago, we had not thought too hard about whether a major smoke exposure event like this could happen on the East Coast at all. It had not seemed possible.
For years, economists and climate scientists have simulated how global warming might affect the U.S. and global economies. They poured years of careful work into this modeling, and they simulated — with ever-increasing levels of statistical persnicketiness — what extreme heat and sea-level rise might do to agricultural yield, labor productivity, energy demand, heat mortality, and real estate values, among other potential sources of damage. This work was useful; it improved our practical understanding of coastal flooding, to name one example. It also helped calibrate U.S. regulatory policy, even if it never achieved the crowning heights of helping to set a national carbon tax.
Yet these careful models almost never accounted for mass smoke exposure days. Indeed, the kind of thing that happened this week — when heavy haze blows down from Canada and exposes more than 100 million people to hazardous air — was not countenanced by the simulations at all. Only in recent years did economists begin to study events like these, and only because mass exposure events like 2023’s happened first.
We’ve long known that the tiny shreds of particulate matter in wildfire smoke dance across the body’s barriers and penetrate its deep places, etching their way into lung, heart, and brain tissue. Inflammation follows. What makes days like today unique is the scale: Tens of millions of Americans inhaling wildfire smoke at the same time. As we’ve started studying this phenomenon, it’s become clear that the mortality effects of days like today, the deaths elevated above what you’d otherwise expect, can persist for years. That becomes extraordinarily expensive for society.
How costly? “When monetized,” a group of Stanford and Princeton economists wrote in Nature last year, in the first major study on the topic, “the climate-driven smoke deaths result in economic damages that exceed existing estimates of climate-driven damages from all other causes combined in the U.S.A.”
You read that right: The cost of climate-worsened wildfire smoke alone is larger than what earlier studies said every other estimated cost of climate change would be, combined.
To summarize, wildfire smoke did not appear in our economic simulations of climate change. As recently as a few years ago, we did not really know that days like today — or June 7, 2023; or September 15, 2020; or September 9, 2020 — could occur. Then they happened. And happened again. And then we studied them and discovered that, in fact, they may be more expensive for the U.S. economy than we once thought climate change itself would be.
That worries me. Now we know these smoke-out days can happen; now they are fast becoming a rare but predictable feature of summer life. But until recently they were unimaginable. What other ignominies, what other tail risks and airborne surprises, are lurking in the uncontrolled experiment we’re running on the biosphere? What else — unforecast, unmodeled, unstudied, unthought of — lies ahead? After 10 years of covering the climate system, I am not someone who lies sleepless fretting about atmospheric CO2. But I do wonder what else we don’t know enough about to ask.