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For more than a decade, Americans have been sold inferior furnaces to heat their homes that raise their energy bills and dump carbon into the atmosphere when much more efficient options were available. That’s finally going to change … five years from now.
On Friday, the Department of Energy finalized new, long-awaited standards for gas furnaces that have not meaningfully changed since they were first enacted in 1987. So long as the rule does not get held up in court, or by a future administration, it will require that by 2029, all gas furnaces on the market are 95% efficient. When it was first enacted, the standard was 78%. The current standard, which went into effect in 2015, is 80%.
It’s a bit of an awkward win for the climate movement. On the one hand, it’s a rule that assumes that fossil fuel-fired furnaces will still be on the market through at least 2058, far past the 2050 date by which the U.S. has committed to reduce its emissions to net-zero. Every new gas furnace installed could lock in carbon emissions and local pollution for the 15 to 20 years it operates.
On the other, clean energy and environmental advocates have been pushing for this kind of update to the standards since at least 2007, only to be stymied by lobbying and lawsuits from the gas industry, equipment manufacturers, and other industry groups. Though some states, like New York and California, are starting to phase out the sale of gas furnaces, there’s not yet any plan to do so on the national level. As long as people keep buying them, this rule will go a long way to make sure they emit as little as possible.
“Furnace technology advanced a long time ago, but the standards didn’t keep up,” said Andrew deLaski, the executive director of the Appliance Standards Awareness Project, in a press release. “This is going to guarantee that all new models use proven energy-saving technologies. We won’t keep wasting so much heat for decades more.”
The DOE estimates the updated standard will cumulatively save consumers $24.8 billion on their energy bills between 2029 and 2058. Individual households could save $350 over the lifetime of the equipment, and those living in mobile homes could save more than $600. The agency also says the rule will cut carbon emissions by 332 million metric tons over that period, roughly equivalent to the annual emissions from a third of American homes. It will also cut methane emissions by 4.3 million tons, which is slightly more than all U.S. municipal landfills emit in a year.
Jumping from 80% to 95% might sound like a big leap, but the technology to achieve it has been on the market for decades. A number of states and efficiency advocacy groups tried to sue the DOE when it last changed the standard in 2007 because they claimed that 80% was already too low back then. The vast majority of the products for sale were performing at that level or higher, so the change wasn’t going to do anything to reduce energy consumption or save households and businesses money.
The DOE made several attempts to update the standard under the Obama administration. The big sticking point was a technological quirk. Systems that achieve efficiency higher than 80% use something called a condenser to capture waste heat from the exhaust stream and send it into the building instead. Switching from a non-condensing furnace to a condensing furnace may come with some additional expenses, like the need to move the furnace to a different part of the building and install an exhaust pipe. Opponents argued that any rule that effectively banned non-condensing furnaces was unfair to consumers who couldn’t afford those changes. Under the Trump administration, they argued that condensing furnaces should be regulated as an entirely different product class.
But advocates counter that consumers will save money in the long run with a more efficient system. The updated standard could especially benefit renters, who won’t necessarily be burdened with any potential increase in upfront costs to install a condensing boiler, but will see lower heating bills. The DOE also estimates that when the standard kicks in, about 4.2% of building owners will forgo a new gas furnace altogether and get an electric heat pump, with the help of tax credits and rebates in the Inflation Reduction Act that incentivize this shift. That estimate does not even take into account the fact that furnaces may soon no longer qualify for Energy Star certification, which could push even more consumers to heat pumps.
Though on paper, the standard is expected to make a significant dent in emissions, the fact that it won’t go into effect for five more years — nearly 40 years after the last significant change — will have lasting consequences. Millions of gas-guzzling furnaces have been installed that didn’t have to be, and millions more could be before the standard kicks in. All the carbon emitted as a result will warm the planet for thousands of years.
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The singer’s music spanned genre and generating technology — and asked how to live in a world on fire.
This is an edition of Heatmap Daily, an evening review of the day’s news written by our executive editor. Sign up for it here.
Even as state-level Republicans have started talking about the data center boom more skeptically, the Trump administration keeps hugging it.
The Environmental Protection Agency will ditch a federal rule requiring states to publicize air pollution permits for major new industrial sites, including data centers and off-grid power plants, The New York Times reports. Those are some of the permits that we used in our recent reporting to, for instance, make sense of the scale of the coming gargantuan gas buildout. This policy might make sense as realpolitik in a more subdued development environment, but I don’t understand it when trust in any type of project is so low — and when even a majority of Republicans have turned on local data center development.
We badly need insight into the scale of artificial intelligence energy use right now, but this policy could make things even more uncertain. It reveals, too, just how much President Trump has fallen out of touch with the public.
I was planning on writing about a different topic today — and then Dolly Parton died. The country legend was 80 years old. Her nephew announced her death on social media in a sad, sweet, and lovely video.
What can I say? She was among the most admired living Americans. So voluminous and impressive was her legacy that I don’t even have to stretch much to find an energy or climate angle in it. How many other musicians were born in a home without heat or electricity — but would be eulogized upon their death by the public utility from their Tennessee Mountain Home?
Her music spanned genres and generating technologies. Some of our readers may appreciate her trio with Emmylou Harris and Linda Ronstadt of Neil Young’s environmentalist classic “After the Gold Rush”; others, her takes on lighting — or liquid combustion. But most will enjoy the lead single off her final album, where the studiously apolitical singer confronted the prospect of a burning world: “Now I ain’t one for speaking out much / But that don’t mean I don’t stay in touch,” she sang. “Liar, liar the world’s on fire / What we gonna do when it all burns down?”
In a fluke, the next tropical cyclone to form in the Atlantic basic will — according to the World Meteorological Organization’s 2026 list — be named Dolly. Let’s hope it puts on a show but doesn’t find any islands in its stream.
The New Mexico facility aims to achieve net energy gain by 2030.
Three-year old startup Pacific Fusion broke ground on Tuesday on what it says will be the world’s first fusion plant to produce more energy than it consumes. The company is aiming to achieve this milestone, known as net facility gain, by 2030. If successful, it would provide the first real-world demonstration that the physics underpinning commercial fusion can work at facility scale.
To date, fusion tests have only achieved scientific net gain — when a reaction produces more energy than was used to ignite it. But that metric ignores the substantial energy lost at other points in the system — whether that's converting stored power into a laser beam or electric current or sustaining powerful magnetic fields to hold the fusion plasma in place. For example, Lawrence Livermore National Lab first achieved scientific breakeven in 2022, and has since repeated the feat numerous times — something no other reactor has replicated. But its laser system, which compresses and heats tiny pellets of fusion fuel, is only about 1% efficient, meaning it draws orders of magnitude more energy from the grid than the reaction produces.
“They proved that with a big laser, if you drive fusion fuel to a certain pressure, you’re going to get more energy out of the fuel than went into the fuel,” Carrie von Muench, Pacific Fusion’s co-founder and COO told me. Indeed, the startup’s founding was partially inspired by the lab’s 2022 breakthrough, which proved fusion ignition is physically possible. “That’s awesome, but not a practical basis for commercial power if you have to store way more energy in the machine than you get into the fuel.”
Other fusion startups, such as Inertia Enterprises and Xcimer Energy, are pursuing the same technical approach as Lawrence Livermore — called inertial confinement fusion — while working to make the lasers dramatically more efficient. Pacific Fusion, however, thinks there’s a cheaper and more effective path, drawing inspiration from another national lab: Sandia.
Like Lawrence Livermore, Sandia National Laboratories built its fusion machine in large part to study nuclear weapons’ performance and impacts without live testing, helping scientists confirm that the country’s aging stockpile would still act as intended. But the Albuquerque, New Mexico-based lab uses a different approach, known as pulsed-power or Z-pinch fusion. It works by sending extremely fast bursts of electric current through a fusion target, generating a magnetic field that pinches and compresses the fuel and heats it enough to trigger a fusion reaction — all while using far less energy than a laser system.
In 2022, Sandia’s Z-machine achieved what was then the second-best fusion performance ever recorded, as measured by what’s known as Lawson’s triple product — the multiple of plasma density, temperature, and confinement time. That result inspired Pacific Fusion to base its reactor on Sandia’s system, scaling it up significantly, with the goal of delivering roughly two to three times more current than the lab’s machine. And while Sandia’s system is a singular, custom built piece of research equipment, Pacific Fusion plans to cut costs by housing its power system in 156 identical, mass-manufacturable modules that can be shipped, assembled, and swapped out for repairs.
The startup raised a whopping $1 billion Series A in 2024, which von Muench told me should be enough to cover the full cost of this demonstration facility, also located in Albuquerque. General Catalyst led the round, with participation from Breakthrough Energy Ventures, Stripe co-founder Patrick Collison, venture capitalist John Doerr, and others. Investors are doling out the funding in three sets of milestone-based tranches, two of which the company has already unlocked.
The first phase involved building the module’s key components and demonstrating that they met the required specifications, validating the company’s in-house simulation tools, and using those tools to show that its fusion targets could achieve ignition in the demo system. In the second phase, the team assembled and tested a scaled-down prototype module, which delivered 440 gigawatts of peak power. Next up is building a full-scale production module that will produce over a terawatt of peak power.
“Especially for these well-established approaches to fusion — like inertial fusion, which now has a proven path to scientific gain — the question is, how fast can we execute, and how cost-effectively can we execute successive first-of-a-kind projects?” von Mench told me. For Pacific Fusion, breaking ground on the demo reactor is a clear sign the company is on the right path, she told me. “Getting to this milestone was the first real test of our team’s ability to do that.”
The company says it’s unlocked each funding tranche ahead of schedule, and has now gone from founding to groundbreaking in less than three years. It’s betting that cheaper hardware — that is, swapping expensive lasers for electrical switches and capacitors — combined with mass manufacturable components and a supply chain that avoids rare and expensive materials, will also give it an edge in the race to commercial fusion.
Once it completes the demo reactor, the company will begin work on its first commercial power plant, which von Muench told me should come online by the mid-2030s. But in the meantime, this first reactor could provide a nearer-term revenue stream by helping the Department of Energy’s National Nuclear Security Administration conduct stockpile stewardship research. Pacific Fusion just signed a non-binding memorandum of understanding with the NNSA that opens the door for the agency to use the startup’s machine for national security purposes.
Pacific Fusion’s tech is uniquely suited for such high-stakes testing. That’s because the company’s process, once scaled up, is designed to produce bursts of fusion energy exceeding 100 megajoules — roughly enough to power over 40 houses for an hour, but released in just a fraction of a second. That’s much more energy than either fusion system at Lawrence Livermore or Sandia produces, and would make Pacific Fusion’s demo plant the world’s first "high-yield" facility, capable of recreating the kind of extreme pressure, heat, and neutron conditions produced by a nuclear detonation. The resulting data could then help the government assess how warheads and other components hold up as they age.
Von Muench views this potential government work as a valuable side benefit of the company’s overall approach, rather than a primary or necessary source of revenue. “But nevertheless, building a diversified and valuable business along the way, I think certainly improves the probability of success and the speed with which you can deliver against the fusion power goal,” she told me.
And for those that still doubt that next decade, we’ll actually see real fusion reactors coming online? “I would just say wait and see,” she told me. “We’re building.
Current conditions: A sleepy Atlantic hurricane season just snapped to attention as two tropical storms started forming near the Caribbean and off Africa’s coast • Southern California is bracing for a week of triple-digit temperatures • The Hawk Fire has forced 42,000 people to evacuate an area near Reno, Nevada.

The United States nearly doubled its pipeline of gas-fired power plant projects in the first half of this year, “but uncertainty persists about how and when this capacity gets built,” the watchdog Global Energy Monitor concluded in a new analysis. The country now has 189 gigawatts of planned gas projects, accounting for one-third of the global total. Completing all the plants would cost more than $647 billion. The U.S. is taking unique approaches to expanding its gas fleet, including building what would be the largest power station in the country as a federally-owned gas plant. As my colleague Emily Pontecorvo points out, however, there’s a big asterisk on these numbers: Many of the projects are still in nascent stages of development and may never be built. “When I went through the group’s data to try to identify the 10 biggest gas projects under development that are tied to data centers, it became clear how slippery the whole picture really is,” she says in her write-up of the report, which I highly recommend checking out.
Electric cooperatives, meanwhile, are lobbying to make building more gas plants even easier. Last week, Utility Dive reported, the National Rural Electric Cooperative Association urged the Environmental Protection Agency to exempt more gas plants from emissions rules.
Last month, a report by the Massachusetts Institute of Technology’s Center for Energy and Environmental Policy Research made the case that “the glass is half full” on federal green spending, finding that President Donald Trump’s landmark tax law, the One Big Beautiful Bill Act, preserved 74% of the clean energy gains from the Biden-era Inflation Reduction Act. (You should listen to my colleague Robinson Meyer’s podcast conversation with the author, Lily Bermel, from last month.) Now the Natural Resources Defense Council has come out with the bearish counterargument. The environmental group’s new analysis, out this morning, found that the U.S. will lose between 390 gigawatts and 540 gigawatts of new solar, wind, and battery projects that would have been built before OBBBA’s passage.
“I see a glass much more than half empty,” Amanda Levin, the director of policy analysis at the NRDC, wrote in an op-ed for Heatmap. “The repeal of the key IRA tax credits and other Trump administration policies will result in 637 fewer gigawatts in added clean energy over the next 15 years and cost the average American household $4,500.”
One popular theory of Trump’s motivation for joining Israel in launching a war against Iran is that halting the flow of oil through the Strait of Hormuz would demonstrate China’s vulnerability as a top importer of foreign fossil fuels and America’s strength as the world’s No. 1 producer of oil and natural gas. But China’s actual response proved to be robust. In addition to ramping up domestic production of its own limited reserves of fossil fuels, Beijing deployed more renewables and nuclear reactors, electrified things that once ran on oil or gas, and made real progress on fuels such as hydrogen and its derivatives. Between that and China’s own carbon-cutting goals, last year was likely the peak of the country’s demand for oil, according to the state oil company Sinopec. In an earnings call Monday in Hong Kong, Sinopec Chairman Hou Qijun said demand had already crested, two years earlier than the 2027 peak the company had previously forecast, according to Bloomberg. Keep in mind that only means oil demand is no longer growing. The Chinese economy isn’t exactly on a GLP-1 treatment for crude just yet. In fact, Reuters noted that, on the call, Sinopec said it was now eyeing Brazil and Africa as new sources of oil imports. That’s probably partly why, as I told you last week, American oil giants are setting sights on Africa.
In the meantime, the People’s Republic may finally be sorting out carbon capture and storage. Last week, GD Power’s Jinjie Company issued a tender for engineering design of its 4 million tons per year full-sized CCS project for coal power stations. The project, according to the China Hydrogen Bullet, “is described as the world’s first full-flue-gas carbon capture facility at a coal-fired power plant.”
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Nearly two weeks after a powerful storm took out power for roughly 800,000 households in one of America’s most important industrial clusters, as many as 30,000 in northwest Indiana remained without electricity this past weekend. “My people are being overlooked,” Myles Tolliver, a Gary councilman whose family decamped to Chicago while the power was out, told The New York Times. “Our families are sitting in the dark. We don’t need any more excuses. We need the lights on.” By Monday evening, more than 8,300 households and businesses remained disconnected from the grid, according to data on PowerOutage.us, a tracker website.
The worst outage in the U.S. as of Monday night was in Shelby County, in the southwesternmost corner of Tennessee, where storms knocked out the power for nearly 32,000 households and businesses. Behind that was Washoe County, on the western flank of Nevada, where the aforementioned Hawk Fire damaged power lines.
The Trump administration is working with the British startup Core Power to help build a fleet of nuclear-powered merchant vessels to loosen China’s tightening grip over commercial shipbuilding. In an interview Monday with the Financial Times, U.S. Maritime Administration chief Stephen Carmel announced a public-private partnership agreement with Core Power in a bid to speed up commercialization of nuclear propulsion for ships. “We are not going to beat China by being a cheaper version of China. They have mastered the art of being cheap,” Carmel said. “The way we win in all this is to change the terms of the competition to something that is more favourable to us. So, we don’t compete on trying to be cheap. We compete on technology … and nuclear technology is something we are really good at.”
Vietnam just took a big step toward building its nuclear power station. On Monday, NucNet reported that the fast-growing Southeast Asian nation’s parliament had approved plans for its first commercial nuclear plant, a two-reactor, 2.4-gigawatt plant built by Russia. Hanoi is looking beyond just atomic energy to supplement its surging demand for power. The municipal government in Ho Chi Minh City, the nation’s largest metropolis, is reviewing a feasibility study into developing up to 6 gigawatts of offshore wind, according to offshoreWIND.biz.
The Trump administration fast-tracked a Rare Earth Resources’ plan for an open-pit mine in Wyoming to extract rare earth minerals. Even in a deep-red state that mines more coal than any other in the U.S., the project is getting pushback. “It was kind of hush-hush, in my opinion, as far as not much word about it around Sundance,” Sundance resident Justin Johnson told WyoFile. “All of a sudden, in July when it came to our attention, it’s like, ‘Holy cow. We got little time before the federal deadline to get our comments and concerns to the Forest Service … You would think there’d be a lot more time for the actual owners of public land — the citizens of the U.S. — to have a response to what’s going on.”