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AM Briefing

The Strait of Hormuz Is Reopening

On Estonian nuclear, solar’s land use, and Kristi Noem’s mining gig

A Wall Street trader.
Heatmap Illustration/Getty Images

Current conditions: Tropical Storm Arthur made landfall over Texas just hours after strengthening into the first named storm of the Atlantic hurricane season • Temperatures in Spain, France, and Portugal are forecast to eclipse 104 degrees Fahrenheit by this weekend • A fast-moving wildfire is scorching homes in the Beacon Hill area of Spokane, Washington.


THE TOP FIVE

1. U.S.-Iran deal will reopen the Strait of Hormuz and lift sanctions

On Wednesday, President Donald Trump signed a 14-paragraph memorandum of understanding with Iran to end the war. Under the deal, which is set for tougher negotiations over the fine details within 60 days, the Strait of Hormuz will reopen, the U.S. will lift sanctions on Iran and unfreeze billions of dollars, and Tehran will continue expanding its civilian nuclear program with a pledge not to seek an atomic weapon. Oil markets responded to the milestone with mixed results. The benchmark prices for oil produced in the U.S. and Europe tumbled about 2% on Wednesday, while the standard for crude from the United Arab Emirates jumped over 3%.

In other macroeconomic news: The Federal Reserve announced Wednesday that it was leaving its benchmark interest rate unchanged for the fourth straight time. Speaking at his first policy meeting since taking office, Kevin Warsh, Trump’s newly appointed Fed chairman, promised to “deliver price stability.” But CNN noted that most of Warsh’s colleagues signaled in their economic outlooks that they anticipated hiking rates again later this year. Rate cuts, as Heatmap’s Matthew Zeitlin has written, are key to boosting renewables, whose upfront costs make them sensitive to interest rates on capital.

2. Trump pays $765 million to kill four more offshore wind leases

The Department of the Interior has agreed to pay the developer Invenergy $765 million to cancel its four offshore wind leases, an amount equal to what the company paid the federal government for access to the areas. Like the administration’s previous deals to kill off as-yet-unbuilt offshore wind projects, Invenergy’s agreement is structured as a legal settlement. As Heatmap’s Emily Pontecorvo explained, the deal follows a similar $928 million arrangement with TotalEnergies announced in March, and an $885 million agreement with several joint ventures in April. That brings the total amount the administration has agreed to pay to end offshore wind leases to more than $2.5 billion to date.

A group of state attorneys general filed a legal challenge to those previous deals earlier this month that questions their use of the Judgment Fund, a functionally unlimited well of cash the federal government can use to settle ongoing or imminent lawsuits. Here’s Emily with more on the Judgment Fund and why using it may be tricky for the administration to defend.

3. Exclusive: Solar uses just 0.07% of prime U.S. farmland

Among the most poignant critiques of solar energy are its intermittency and the amount of land needed to generate vast quantities of power. Batteries are quickly solving the first part of that equation. But data from a new interactive map the Solar Energy Industries Association published this morning shows that solar today takes up just 0.04% of the total U.S. land area, and 0.07% of prime American farmland. There were zero states where solar used more than 0.5% of prime farmland, according to the data, which was shared exclusively with Heatmap. In fact, nearly every state has more abandoned prime farmland than solar-developed parcels. Nationally, there are 43 acres of abandoned prime farmland for every acre of solar on prime farmland. As a particularly jarring point of comparison, golf courses alone use 2.6 times as much prime farmland as solar, while suburban development just since 2014 uses roughly six times as much. “America depends on our land to grow our food, build our communities, and power our lives,” Tim Pawlenty, the newly-appointed chief executive of SEIA and a former Republican governor of Minnesota, told me in a statement. “Responsible land use means balancing all of those needs. This map helps provide important context by showing that solar and agriculture can thrive together. Solar development uses a very small amount of farmland compared to many other common land uses, while also delivering affordable energy, local tax revenue, and reliable income for farmers and landowners.”

California beamin'.EIA

Solar, meanwhile, hit a major milestone in California. In the first five months of 2026, utility-scale solar generation in the California Independent System Operator surpassed natural gas power, according to a new analysis from the Energy Information Administration. Compared to the same five-month period in 2024, this year saw a 21% increase in solar generation. Gas-fired generation, meanwhile, sank by 60%.

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4. Switzerland and Estonia cruise toward legalizing new nuclear plants

Estonia’s parliament has passed a new bill creating the Baltic nation’s first complete set of rules for producing nuclear energy and overseeing its safety, NucNet reported, a key step toward building the NATO country’s first atomic power station. Meanwhile, Swiss lawmakers just rejected a bid to slow down legislation to allow for construction of new reactors again. Switzerland’s Council of States, its upper house of parliament, blocked a motion to refer a nuclear bill to the Federal Council ahead of a planned vote later this week.

In Sweden, the parliament approved legislation to streamline permitting for mining and processing uranium. The bill also included an amendment to open up more coastal sites to reactor development, World Nuclear News reported.

5. Solar tracking startup launches 100% American-made hardware

The U.S. is seeing the start of a solar manufacturing boom, perhaps best exemplified by the opening of the first fully integrated plant in Qcells’ factory. Now Soltec, a startup that manufactures tracking equipment to maximize power production, has launched a new line of hardware that it says is completely compliant with new restrictions on foreign imports. The company said it had spent the past year “reorganizing its U.S. supply chain with a clear objective: to provide customers with a highly localized supply network capable of meeting the domestic content requirements” of new federal rules. “By localizing its U.S. supply chain, Soltec helps customers pursue Made-in-USA tax benefits while improving cost competitiveness, delivery certainty, and resilience against tariffs, freight volatility and broader geopolitical disruptions,” Mariano Berges, Soltec’s chief executive, said in a statement. “The objective is to protect U.S. customers and provide greater execution certainty for their projects in an increasingly complex market environment.”

THE KICKER

In case you were wondering where former Secretary of Homeland Security Kristi Noem may turn up, here’s your answer: copper mining. The current special envoy to the Shield of the Americas, a pact of right-leaning Western Hemisphere countries, has joined NovaRed Mining, a junior miner that holds two early-stage copper exploration assets in Canada. Noem, who is taking an adviser role, boasts “extensive experience spanning economic development, infrastructure, energy, agriculture, national security and public-private collaboration,” the company said in a press release.

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Spotlight

A Giant Data Center Offers a Permitting Reform Test Case

What would happen to Project Jupiter if the Bipartisan American Affordability and Jobs Act is passed?

Project Jupiter.
Heatmap Illustration/Project Jupiter, Library of Congress

One of the nation’s largest data centers is struggling under permitting woes. So let’s play a game: would the bipartisan permitting bill in Congress make the path easier, or might the federal legislation be irrelevant to large hyperscalers under development today?

Meet Project Jupiter, a mega project in southern New Mexico in Dona Ana County under development by Oracle and OpenAI, with financial backing from SoftBank and political support from the Trump administration for being a part of Stargate, a major Trump administration public-private initiative boosting AI development. Project Jupiter would be one of the largest data centers in the country if completed and currently is expected to run on a microgrid powered by fuel cells converting gas to electricity, which the developers claim will burn much cleaner than a typical off-grid gas turbine power plant.

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Hotspots

The Trump Administration Is Still Messing with Offshore Wind Farms

And more of the week’s top news around project fights.

The United States.
Heatmap Illustration/Getty Images

1. New England (and Maryland) – The Trump administration is still messing with offshore wind farms, even while trying to pass a permitting reform deal. Examining the court filings reveals why they may feel empowered to do it — and I’m not sure how this ends.

  • Last Friday, in a legal case brought by anti-wind activists, the Justice Department submitted a motion in federal court to send the construction and operations plan for Orsted’s Revolution Wind project in New England back to the Interior Department for more analysis. On Wednesday, the DOJ entered a similar motion in another case challenging the construction and operations plan for U.S. Wind’s MarWin project off the coast of Maryland in a lawsuit brought by the state’s coastal community of Ocean City.
  • Trump’s actions led some to question whether the president was sabotaging the deal, and others to claim the media coverage itself was an attempt to kill it. Going further, supporters of the bipartisan bill claimed the DOJ's motions were precisely why the bill should become law, implying it would guard offshore wind farms against this sort of maneuver.
  • However, for the bill’s backers, it’s worth considering why the Trump administration believes it has the legal authority to do this. It’s also time to ask whether the bill would actually protect these wind farms against this tactic.
  • To answer those questions, you have to rewind. On May 1, 2025, the Interior Department withdrew a Biden solicitor’s opinion instructing the agency to “strike a rational balance” between wind power and fishing interests. This revocation document is technically not in effect at the moment; one year later, a federal court ruled the opinion was potentially illegal as a part of a preliminary injunction on five anti-renewables actions requested by solar and wind trade groups. The Trump administration is contesting that ruling, and the administration has filed a notice of appeal.
  • In August, despite that opinion being in doubt, a federal judge granted Trump permission under the Outer Continental Shelf Lands Act to remand the construction and operations plan for the now-defunct Atlantic Shores offshore wind farm in the waters of New Jersey. U.S. District Judge Jia Cobb specifically wrote that Atlantic Shores failed to demonstrate the federal government had limitations under OSCLA on revisiting these plans and that the injunction from the litigation on appeal “did not prohibit all reevaluation of agency action.”
  • In the recent Revolution and MarWin filings, Trump’s Justice Department argues the construction and operations plans should be remanded under OSCLA without being vacated. The DOJ motions include claims that previous decision documents did not adequately explain impacts to commercial fishing and other industries that use OSCLA waters. It’s not clear if the administration will win these motions.
  • The bipartisan permitting bill would bar the Interior Department and other federal agencies from taking “any new action that would revoke, rescind, withdraw, terminate, suspend, amend, or alter a federal authorization or permit in effect on or after September 16, 2026,” or “any other action to interfere with or prevent the construction or operation at full capacity of a project that has secured all necessary federal authorizations and permits.” The restriction exempts cases where “the agency is required to take such action by order of a court.” As I wrote in our lengthy piece explaining the bill, this provision has a damages component that allows companies impacted by violations to pursue financial compensation.
  • Here’s the billion-dollar question I expect we won’t have answered unless the bill language is enacted and then litigated: Would the court order exception apply to rulings that grant these motions? Or would the developers be able to sue for damages?

2. Columbia County, N.Y. – New York’s renewable energy permitting office has rejected an upstate solar farm on farmland as a House Democrat representing the area joined hands with the Trump administration in publicly railing against the project.

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Politics

Climate Races to Watch This November

These seven elections could change state energy policy.

Watching voting.
Heatmap Illustration/Getty Images

No matter how well Democrats do in the House and Senate in November, it’s unlikely to mean anything new on climate policy in Washington, D.C., for as long as Donald Trump remains in the White House.

That is not true when it comes to the other elections this year.

Several states are on the verge of a possible Democratic trifecta, meaning unified control of both chambers of the state legislature and the governor’s mansion. It’s a position that could enable such states to either top off existing climate and energy policies passed in the last decade or to make the first real run at climate legislation in recent history.

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