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A little insulation goes a long way toward decarbonizing.

When you think about ways to decarbonize, your mind will likely go straight to shiny new machines — an electric vehicle, solar panels, or an induction stove, perhaps. But let’s not forget the low-tech, low-hanging fruit: your home itself.
Adding insulation, fixing any gaps, cracks or leaks where air can get out, and perhaps installing energy efficient windows and doors are the necessary first steps to decarbonizing at home — though you may also want to consider a light-colored “cool roof,” which reflects sunlight to keep the home comfortable, and electric panel and wiring upgrades to support broader electrification efforts.
Getting started on one or multiple of these retrofits can be daunting — there’s lingo to be learned, audits to be performed, and various incentives to navigate. Luckily, Heatmap is here to help.
Cora Wyent is the Director of Research at Rewiring America, where she conducts research and analysis on how to rapidly electrify the entire economy.
Joseph Lstiburek is the founding principal at the Building Science Corporation, a consulting firm focused on designing and constructing energy efficient, durable, and economic buildings.
Lucy de Barbaro is the founder and director of Energy Efficiency Empowerment, a Pittsburgh-based organization that seeks to transform the home renovation process and help low and middle-income homeowners make energy efficiency improvements.
Definitively, yes! When people hear the word “insulation” they often think of how it can protect them from the cold. And while it certainly does do that, insulation’s overall role is to slow the transfer of heat both out of your home when it’s chilly and into your home when it’s hot. That means you won’t need to use your air conditioning as much during those scorching summer days or your furnace as much when the temperatures drop.
Quite possibly! The most definitive way to know if your home could be improved by weatherization is by getting a home energy audit —- more on that below. While a specific level of insulation is required for all newly constructed homes, these codes and standards are updated frequently. So if you’re feeling uncomfortable in your living space, or if you think your heating and cooling bills are unusually high, it’s definitely worth seeing what an expert thinks. And if you’re interested in getting electric appliances like a heat pump or induction stove, some wiring upgrades will almost certainly be necessary.
Energy efficient appliances like electric heat pumps or induction stoves are fantastic ways to decarbonize your life, but serve a fundamentally different purpose than most of the upgrades that we’re going to talk about here. When you get better air sealing, insulation, windows, or doors, what you’re doing is essentially regulating the temperature of your home, making you less reliant on energy intensive heating and cooling systems. And while this can certainly lead to savings on your energy bill and a positive impact on the environment at large, these upgrades will also allow you to simply live more comfortably.
This is the starting point for making informed decisions about any energy efficiency upgrades that you’re considering. During a home energy audit, a certified auditor (sometimes also referred to as an energy assessor or rater or verifier) will inspect your home to identify both the highest-impact and most cost-effective upgrades you can make, including how much you stand to save on your energy bills by doing so.
Wyent told me checking with your local utility is a good place to start, as many offer low-cost audits. Even if your utility doesn’t do energy assessments, they may be able to point you in the direction of local auditors or state-level resources and directories. The Residential Energy Services Network also provides a directory of certified assessors searchable by location, as does the Department of Energy’s Energy Score program, though neither list is comprehensive.
Audits typically cost between $200 and $700 depending on your home’s location, size, and type, as well as the scope of the audit. Homeowners can claim 30% of the cost of their audit on their federal taxes, up to $150. To be eligible, make sure you find a certified home energy auditor. The DOE provides a list of recognized certification programs.
Important: Make sure the auditor performs both a blower door test and a thermographic inspection. These diagnostic tools are key to determining where air leakage and heat loss/gain is occurring.
Your energy audit isn’t the only thing eligible for a credit. The 25C Energy Efficient Home Improvement Credit allows homeowners to claim up to 30% of the cost of a variety of home upgrades, up to a combined total of $1,200 per year. This covers upgrading your insulation, windows, doors, skylights, electrical wiring, and/or electrical panel. Getting an energy audit is also included in this category.
While $1,200 is the max amount you can claim for all retrofits combined, certain renovations come with their own specific limitations. Let’s break it down:
State and local incentives:
Depending on where you live, there may be additional state and local incentives, and we suggest asking your contractor what you are eligible for. But since incentive programs change frequently, it’s a good idea to do your own research too. Get acquainted with Energy Star, a joint program run by the Environmental Protection Agency and the DOE which provides information on energy efficient products, practices, and standards. On Energy Star’s website, you can search by zip code for utility rebates that can help you save on insulation, windows, and electrical work.
“Starting by looking at your local utility programs can be a great resource too, because utilities offer rebates or incentives for weatherizing your home or installing a new roof,” said Wyent.
Everyone wants to minimize the number of times they break open or drill into their walls. To that end, it’s useful to plan out all the upgrades you might want to get done over the next five to 10 years to figure out where efficiency might fit in.
Some primary examples: Installing appliances like a heat pump, induction stove, or Level 2 EV charger (all of which you can read more about in our other guides) often require electrical upgrades. Even if you don’t plan to get any of these new appliances now, pre-wiring your home to prepare for their installation (with the exception of a heat pump — see our heat pump guide for more info on that) will save you money later on.
De Barbaro also notes that if you’re planning to repaint your walls anytime soon, this would also be a convenient time to add insulation, as that involves drilling holes which then need to be patched and repainted anyway. Likewise, if you were already planning to replace your home’s siding, this would be a natural time to insulate. Finally, if you’re planning to get a heat pump in the coming years, getting better insulation now will ensure this system is maximally effective.
Conversely, if you’re cash-strapped, spreading out electrical and weatherization upgrades over the course of a few years allows you to claim the full $1,200 tax credit every year. Whether those tax savings are enough to cover the added contractor time and clean-up costs, though, will depend on the particulars of your situation.
“Come in with a plan and talk to the contractor about everything that you want to do in the future, not just immediately,” said Wyent.
Unlike solar installers, which are often associated with large regional and national companies, the world of weatherization and electrical upgrades is often much more localized, meaning you’ll need to do a bit of legwork to verify that the contractors and installers you come across are reliable.
Wyent told me she typically starts by asking friends, family, and neighbors for references, as well as turning to Google and Yelp reviews. Depending on where you live and what type of work you want done, your local utility may also offer incentives for weatherization and electrification upgrades, and can possibly provide a list of prescreened contractors who are licensed and insured for this type of work.
These questions will help you vet contractors and gain a better understanding of their process regardless of the type of renovation you’re pursuing.
Common wisdom says you should always get three quotes. But that doesn’t mean you should automatically choose the cheapest option. Lstiburek says the old adage applies: “If it sounds too good to be true, it's probably too good to be true.” Be sure that your contractors and installers are properly licensed and insured and read the fine print of your contract. Beyond this, how to find qualified professionals and what to ask largely depends on the type of upgrade you are pursuing. So let’s break it down, starting with the biggest bang for your buck.
Air sealing and insulating your home is usually the number one way to increase its energy efficiency. Energy Star says nine out of 10 homes are underinsulated, and many also have significant air leaks. In general, homes lose more heating and cooling energy through walls and attics than through windows and doors, so air sealing and adding insulation in key areas should be your first priority.
“People don't realize how collectively, small holes everywhere add up. So on average here in Pennsylvania, typically those holes would add up to the surface of three sheets of paper, continuously open to the outdoors,” said de Barbaro.
Determining where air is escaping is the purpose of the blower door test and the thermographic inspection, so after your energy audit you should have a good idea of where to begin with these retrofits. This guide from the Department of Energy is a great resource on all the places in a home one might consider insulating.
Choosing an insulation type:
Every home is different, and the type of insulation you choose will depend on a number of factors including where you’re insulating, whether that area is finished or unfinished, what R-Value is right for your climate, and your budget. You can check out this comprehensive list of different insulation types to learn about their respective advantages and use cases. But when it comes to attic rafters and exterior walls, De Barbaro said that one option rises above the rest.
“The magic word here is dense-packed cellulose insulation!” De Barbaro told me.
This type of insulation (which falls under the “loose fill and blown-in” category) is made from recycled paper products, meaning it has very low embodied carbon emissions. It’s also cheap and effective. For exterior walls and attic rafters, be sure to avoid loose-fill cellulose, as that can settle and become less effective over time — although for attic floors, loose-fill works well. Both are installed by drilling holes into the wall or floor space and blowing the insulation in under pressure.
We recommend discussing all of these options with your contractor, but here are the other materials you’re most likely to come across:
In addition to asking friends, family, and your local utility for contractor recommendations, Energy Star specifically recommends these additional resources where you can find licensed and insured contractors for insulation work.
While air sealing and insulation should definitely be number one on your weatherization checklist, plenty of heat gets lost through windows, doors, and skylights, as well. Single pane glass is a particularly poor insulator, and while fewer houses these days have it, upgrading to double or triple pane windows or skylights can be a big energy saver. Likewise, steel or fiberglass doors are much better insulators than traditional wooden doors.
But be warned: These can be pricey upgrades. The cost of installing windows alone ranges from hundreds of dollars up to $1,500 per window, and many homes have ten or more. It’s unlikely you’ll fully recoup the outlay through your energy savings, so before going about these retrofits, be sure that you’ve taken care of the easy stuff first.
Once you’ve done your research, it’s time to schedule a consultation with an installer, who can help you refine your project needs, discuss design and installation options, and provide you with a quote.
“So if you pick a Marvin window, make sure that you have a Marvin certified installer in your location, installing the Marvin window according to the Marvin instructions.” said Lstiburek.
Insulating your attic floor or your roof rafters is the best way to ensure that your home is sealed off from the elements. But if you live in a hot climate and need a new roof anyway (most last 25 to 50 years), then you might consider getting a cool roof, which can be made from a variety of materials and installed on almost any slope. However, they won’t lead to energy efficiencies in all geographies, so be sure to do your research beforehand!
Last but certainly not least is a retrofit that’s a little different from the rest. Unlike getting insulation, new windows, or a new roof, upgrading your wiring or electric panel doesn’t lead to greater energy efficiency by regulating the temperature of your home. What it does instead is enable greater energy efficiency by making it possible to operate an increasing number of electrified appliances and devices in your house.
For example, getting an electric or induction stove or dryer, a standard heat pump, a heat pump water heater, or an electric vehicle charger will require that you add new electric circuits to support these devices. And as these new loads add up, you may need to install a larger electric panel to support it all.
After sourcing electrician recommendations from family and friends, a good place to turn is Rewiring America’s contractor directory network. (Rewiring America is also a sponsor of Decarbonize Your Life.)Networks in your area can then provide you with a list of qualified electricians.
“Most people are really only using somewhere around 40% of what their current panels space. So you can actually add a fair amount of new circuits to your existing panel and upgrade your wiring while not having to upgrade your panel at all,” Wyent said.
Once you have three quotes in hand, all that’s left to do is evaluate your options, choose a contractor or installer, and sign a contract. Cost will likely be a major factor in the decision, but you’ll also want to ensure that the cheapest quote doesn’t mean corners will be cut. Here’s what to look out for.
Pay close attention to warranties. This applies both to the warranty for the work being performed and to the warranties for the products themselves. If an installation job or a product is well priced but comes with a short warranty, this should give you pause.
Avoid “same day signing specials.” If you’re being rushed into signing a contract, this is also a bad sign. Be sure to read the fine print — most cost estimates should be good for a few weeks at minimum.
Get specific. Your quotes should specify the type of work being performed, the scope of the work, cost (broken down by materials, labor, permits, and other expenses), payment method, and a tentative timeline for completion. A quote is much less formal than a contract, so if some of this information isn’t provided up front, don’t hesitate to ask for clarification so that you can make apples-to-apples comparisons between different contractors.
When you get a contract in hand, double check that:
Then it’s time to sign, sit back, and enjoy the soothing sounds of hammering, drilling, insulation blowing, and wire tinkering, content in knowing that you’re decarbonizing your home down to its very bones!
Now that you’re living comfortably in a maximally energy efficient home, you’re probably wondering when you’ll start seeing all those incentives you researched pay off. First off, know that you must wait until all renovations are complete and paid for to claim your federal tax credit. That means that even if you purchased new windows this year, if you have them installed in 2025, you’ll file for a tax credit with your 2025 return. Here’s how to go about it.
For state and local incentives, check the website for your local utility as well your local and state government and energy office to see what documentation is required. When in doubt, keep all of your records and receipts!
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Just look at Heatmap’s latest poll results.
A few times a year, Heatmap News surveys a few thousand Americans on the biggest questions driving the world of energy, environment, and climate change. We’ve spent the past few days writing up the results of our latest poll, which was in the field in late May and which I thought was particularly striking.
It’s worth taking a step back to look at the biggest results together, because the American view of data centers is essentially in free fall:
The upshot of these findings: The public‘s turn against artificial intelligence and AI infrastructure is real, widespread, and cross-partisan. It doesn't matter whether Americans started out tolerating data centers or having no opinion about them; they now seem to resent them en masse.
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These results also suggest Americans see little distinction between data centers as energy users and data centers as the physical embodiment of AI and Big Tech. At Heatmap, we can be a wonky and energy-focused bunch, and so we tend to think about data centers primarily as large-scale electricity users. I think most approaches to come up with “data center policy” do the same. We know data centers are distinctive in some ways, of course — an AI data center might require more on-site batteries or power generation than, say, an EV factory — but fundamentally it is just another air polluter, large-scale power user, and light-industrial land user.
But the public does not see things this way. Americans understand data centers in the context of the much broader AI policy conversation about jobs, growth, alignment, and even human extinction. And so, I should add, do politicians: Senator Bernie Sanders has framed his data center moratorium proposal as a response to rapid AI development as much as anything having to do with energy affordability. For that reason, I wonder how long the distinction between these two policy conversations — data centers here, and AI policy over there — can persist.
One last thought on this topic: Is the public’s resentment starting to affect the AI boom overall? I think it might be. It was hard for me not to think of our polling results — or our analysis of canceled data center projects — as I read about a recent JPMorgan analysis that found America’s data center boom is “falling way behind schedule,” in the words of The Wall Street Journal. More than 60% of the data center capacity that is supposed to come online next year has yet to break ground, according to the bank; another 7% is “delayed.”
That’s partially due to equipment and labor shortages, but it also might be what a siting-and-permitting bottleneck would look like. Much like renewable developers or venture capitalists, data center developers work by picking a number of sites and trying to develop on all of them. If only a few sites work out, they’re still in the money. But if a falling share of projects are working out — if building anything, anywhere, is getting harder, everywhere — then it might materialize as delays.
Plus more of the week’s big money moves in critical minerals and electric vehicle charging.
Two of climate tech’s hottest sectors — fusion and critical minerals — dominated this week’s funding headlines. Helion led the pack with its $465 million Series G, helping to push the startup with the sector’s most aggressive commercialization timeline one step closer to putting power on the grid. The round follows last week’s news that German fusion startup Focused Energy secured a $240 million Series A, making it Europe’s most valuable fusion company.
Then there’s the critical minerals. Shortly after venture firm Gigascale Capital announced the close of its $250 million fund targeting the physical clean energy economy, it announced one of its first investments: Red Metals, a startup working to bring copper refining back to the U.S. Terra AI, which is using artificial intelligence to identify promising sites for mineral extraction, also landed fresh funding. Rounding out the week’s deals, EV charging and energy services company InCharge also raised a new round as it looks to expand into a broader suite of energy services.
Leading fusion startup Helion has nearly tripled its valuation with its latest $465 million Series G round, which aims to help the company deliver commercial fusion power this decade — the most ambitious timeline in the industry. Per the terms of the power purchase agreement Helion signed with Microsoft in 2023, the startup plans to turn on its first commercial reactor just two years from now. That’s far sooner than even its most precocious competitors, who aim to put fusion power on the grid by the 2030s at the earliest.
Joshua Kushner’s venture firm Thrive Capital led the round, which also included participation from new investors including Lux Capital and Alta Park Capital. Thrive now values the company at $15.5 billion.
“The investors that have joined this round, it’s institutional capital, some very marquee investors,” Helion’s CEO David Kirtley told me, explaining they were willing to back an unproven technology thanks to a series of recent milestones that Helion’s latest prototype reactor, Polaris, achieved. “Polaris earlier this year set records for temperature and fuel. We’ve also reduced a lot of the business risk on the regulatory front, the commercial front, and the actual supply chain, too.” In February, Polaris became the first reactor developed by a private fusion company to operate on deuterium-tritium fuel — the most common fuel in the industry — and to achieve a plasma temperature of 150 million degrees Celsius.
Helion differs from many of its peers pursuing more established reactor concepts such as tokamaks, stellarators, or laser-driven inertial confinement. Instead, Helion’s tech uses powerful magnets to collide and compress two fusion plasmas together, generating temperatures over 100 million degrees Celsius and triggering a fusion reaction. It then seeks to capture the electricity this reaction generates via electromagnetic induction — no steam turbine required — similar to the way regenerative braking works in an electric vehicle. If successful, the approach could enable smaller, more modular fusion reactors than conventional designs would.
While the company had originally aimed for Polaris to demonstrate electricity production from fusion in 2024, that date came and went with no new goal set. Kirtley told me that Helion remains on track to meet the terms of its agreement with Microsoft, however. The startup broke ground on its commercial reactor site last year in Malaga, Washington, where it already has access to a substation and grid interconnection from a dormant aluminum smelter. In addition to building out this facility, Helion also plans to use its new funding to boost production at its electrical component manufacturing plant in nearby Everett, which Kirtley said opened earlier this year.
As investors pour billions into artificial intelligence and the infrastructure supporting it, former Meta CTO Mike Schroepfer has raised an inaugural $250 million fund for his venture firm, Gigascale Capital, which is focused on the physical clean energy economy. This represents Gigascale’s first institutional fundraise since its founding in 2023; until now, the firm’s investments have come entirely out of Schroepfer’s own pocket.
The fund will target early-stage companies working in clean energy, grid infrastructure, critical minerals, and AI-enabled design and manufacturing, while reserving capital to continue backing its portfolio companies as they scale. Gigascale has already backed a number of big names in the space, including Commonwealth Fusion System, iron-air battery developer Form Energy, solid-state transformer company Heron Power, and clean baseload power startup Arbor Energy.
It’s also already begun investing out of this new fund, announcing this week that it led a $10 million seed round for critical minerals company Red Metals, which also included participation from JB Straubel, founder and CEO of the battery recycling company Redwood Materials. The company aims to help reshore copper refining in the U.S., and will use this fresh capital to support the development of a $70 million refining facility in Charleston, South Carolina. Red Metals says its process can convert copper scrap directly into a finished copper product, bypassing several of the costly and emissions-intensive intermediate steps typical of conventional refining.
The investment offers a window into the kinds of companies Schroepfer is most interested in — businesses that might lack the glamor of an AI startup but represent bipartisan opportunities to address core industrial bottlenecks. Copper, for example, is essential to all sorts of clean energy infrastructure, including transformers, power lines, and anode battery materials, but also critical for defense technologies such as radar systems and ammunition. Yet American copper production has been on the decline, with analysts projecting that the U.S. will face a refined copper shortage of over 2.5 million metric tons annually by 2035.
Sustainability-focused firm S2G Investments has been on a roll recently, announcing a $1 billion fund last month that aims to fill climate tech’s “missing middle” and backing Goshe Energy Storage with up to $40 million in strategic financing last week. Its latest move is leading a $46 million strategic investment round for InCharge Energy, an EV charging and distributed energy management company.
InCharge got its start installing and managing electric vehicle charging stations, and is now operating more than 30,000 assets across North America. Through its software platform and network of technicians, the company handles all monitoring, diagnostics, and on-the-ground repairs, taking on a charger’s full lifecycle to minimize downtime. With this new capital, InCharge plans to expand beyond EV charging and leverage its software and field service network in adjacent industries, including electrical infrastructure work such as panel upgrades and wiring repairs, as well as distributed energy resources like rooftop solar and battery storage systems.
“EV charging was the entry point, but our customers increasingly need help operating more complex energy infrastructure,” Rich Mohr, InCharge’s CEO said in a press release. “This investment from S2G accelerates our evolution into a full energy solutions provider and allows us to advance smarter technology and strengthen our service capabilities nationwide.”
It’s a hot week — nay a hot year, for critical minerals and subsurface exploration startups, especially for those pairing geology with artificial intelligence. AI-powered mineral exploration company KoBold Metals has raised about $1.2 billion to date, while geothermal exploration startup Zanskar has brought in about $220 million.
Now, another entrant is attracting investor attention. Terra AI has raised a $20 million Series A led by Khosla Ventures to help do it all — use AI to identify prospective sites for critical minerals mining, next-generation geothermal development, and permanent carbon sequestration.
Terra’s platform integrates vast geological and geophysical datasets to generate 3D subsurface models, as well as risk assessments that allow teams to evaluate a range of potential geologic scenarios. From there, the team can identify the best sites for exploratory drilling and thus reduce risk and uncertainty much sooner in the project’s lifecycle. The company even uses what it calls “geology reasoning agents” to help operators create their exploration plans, all with the goal of drastically reducing the notoriously long timeline between discovery and production, which can stretch to nearly two decades for many subsurface projects.
“Minerals sit at the center of every major technology and infrastructure transition, but today’s exploration results are not keeping pace with demand,” Terra’s CEO John Mern posted on LinkedIn. “Our mission is to advance the frontier of AI into the geosciences and help supply the metals and resources the next generation needs.”
One of the biggest fusion funding rounds of the year landed last week, and somehow much of the media — including me — missed it. German fusion startup Focused Energy raised a whopping $240 million Series A led by RWE, one of Germany’s largest energy companies. Yet unlike most deals of this magnitude, it arrived with little fanfare: No press release in my inbox nor a flood of headlines. So in the interest of making up for lost time, here are the details.
With this latest round, which also includes participation from the German Federal Agency for Breakthrough Innovation, the European Innovation Council Fund and Prime Movers Lab, Focused Energy has become Europe’s most valuable fusion company. Like several other leading players, including Inertia Enterprises and Pacific Fusion, Focused Energy relies on an approach known as inertial confinement fusion. This involves using powerful lasers to compress a tiny fuel target, creating the extreme pressures and temperatures required for a fusion reaction. To date, inertial confinement remains the only approach to have demonstrated net energy gain, with Lawrence Livermore National Lab achieving this milestone in 2022.
The startup plans to use this latest funding to build out a demonstration plant in the German state of Hesse, at a site where RWE formerly operated a nuclear fission plant. The company ultimately aims to build a commercial reactor by the mid-2030s.
Catching up with the American Council on Renewable Energy’s Ray Long.
Today’s chat is with Ray Long, CEO of the American Council on Renewable Energy. We first discussed the odds of permitting reform a year and a half ago, for one of the first Q&As in The Fight. Flash forward and we’re still in the same situation, but now also wrestling with added demand for electricity to power data centers. I wanted to talk again about whether he thought the rise of artificial intelligence would increase the odds of some federal deal happening any time soon. The result: a wide-reaching conversation about the future of the electric grid, the struggles to win community buy-in and the sclerotic nature of the U.S. Congress.
The following conversation was lightly edited for clarity.
Do you think the buildout of our energy grid is entwined with the rise of the nation’s data center buildout?
When you look at what we need over the next four years — 166 gigawatts, 15 times the peak load of New York City — that’s a lot of power to build. Roughly half of that is for data center and AI growth.
There are five things we can build in the next four years at scale to address that collective amount. First, it’s transmission — the transmission buildout will help to get a modern grid to enable power flow to where it’s needed in a much more effective way. That’s the first step because if we just build all that power, the current grid can’t handle it.
Second, there are four supply technologies that can be built: solar, batteries, wind, and natural gas. All four of those technologies, we know there’s enough equipment here in the U.S. available for purchase that we can build at volume. And I’ll say this — natural gas is only about 10% of all those gigawatts because of the availability of turbines from suppliers. You can’t get enough over the next four years. So when I talk about decarbonization, most of what is built to address this issue is zero-carbon resources, renewable energy resources.
If you were to compare the current conversation around data center development to the debate over developing renewable energy in the U.S. — or energy in general — do you see any similarities or differences?
There are always issues with permitting projects. Communities are always going to have concerns about what’s built in their backyards.
What’s new — and your polling shows this — is the level of concern communities have. But here’s the thing: Most of this can be overcome by developers going in, listening to what the needs of the communities are, then responding and through the permitting process addressing those concerns. You can’t do that 100% of the time. But my experience is, when you take that sort of approach, you can overcome a lot of it.
Most of the large data centers are actually doing the things I’m discussing — going in and saying, Look, we want to be grid interconnected because grid connection at the end of the day means the resources we’re bringing to bear are also going to make a stronger grid. Number two, it's investing in power generation sources like the ones I said — and those power sources will be on the grid, so they’ll solve for the increased power demands of a community.
Third, water. They should bring the water solutions. You’re seeing data centers coming in and saying it head on now, that they have closed-loop systems or whatever the solution is. At the end of the day, the communities they’re proposing these in have a real negotiating opportunity to make sure they’re holding the data center developers accountable to the needs of the community.
For a community to say we don’t want it here misses a real opportunity for those communities to get the power they need, the grid they need, and the ability to bring down energy costs.
How is the data center debate affecting permitting reform conversations in Washington, from your perspective?
Permitting reform in the U.S. at the state and federal level has been broken for years. The SunZia transmission project? It took 17 years to permit. Ribbon-cutting is in a week or two and there’s still litigation around it. From a business perspective, it’s just untenable, and it’s a miracle that the project is getting built. Developers need a chance to come in and have their project evaluated. Both the community and the developer should be able to get to a go or no-go in a couple of years on one of these projects.
How is data center growth affecting the permitting reform discussion? It’s a very hot issue right now. Right now I think in part because the data center issue is so huge — because we’ve only got four years to solve for the first really big tranche of power we need and prices across the board for electricity are escalating — this is coming to a head. The data center load is a part of the catalyst to get people talking about it [permitting reform].
Do you expect legislating in Congress on permitting reform this year? Anything beyond more conversation?
My hope is that we get a bill. A few weeks ago someone from the administration was quoted as saying they wanted a framework for a bill by the end of May, and it’s June now. We haven’t seen both sides or the administration coalesce around a final project yet.
We’re in a midterm election cycle. Typically it’s very difficult during these cycles to move bills like this. At the same time, with electricity prices increasing and the need to build more, to fix this, I’m very hopeful something will come together. And look at the Senate — you’ve got Republicans and the Democratic ranking members talking about this. It’s all good signs.
If everyone’s talking about energy and affordability during this election, isn’t that a good thing for action in the next Congress?
I’ll say this: You’re seeing the catalyst for it right now with prices rising, and almost every grid operator around the country has raised concerns about shortages at some point this year or next year. It’ll hopefully be enough to have policymakers do something about it this year.