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Brightband emerges from stealth to commercialize AI-weather forecasting.
The weather has never been hotter.
The past few years have seen a boom in the weather prediction industry, with AI-based weather models from the likes of Google DeepMind, Huawei, and Nvidia consistently outperforming traditional models. Most of that work has been research-oriented, but today the startup Brightband emerged from stealth with $10 million in Series A funding and a unique plan to commercialize generative AI weather modeling. Instead of trying to go up against Weather.com, Brightband is tailoring models to specific industries such as insurance, finance, agriculture, energy, and transportation. The round was led by Prelude Ventures.
Weather forecasting has traditionally been the domain of the public sector, with the most widely used models coming from the U.S. National Weather Service and the European Center for Medium-Range Weather Forecasts. Brightband’s CEO Julian Green told me that private companies haven’t been able to break in “because it has cost so much to have billion dollar supercomputers,” which are required to run today’s so-called “numerical” weather models.
These models rely on complex atmospheric equations based on the laws of physics to predict future weather patterns, and because of their computational intensity, are usually only updated four times daily. It’s possible then that AI-based weather prediction could thus actually reduce energy demand — because while it takes a lot of energy to train an AI model, after that’s done, generating forecasts is simple. “So instead of six hours to have a forecast, it takes under a second. Instead of using a billion dollar supercomputer, you’re using a laptop,” Green told me.
AI models like Brightband’s are trained on decades worth of past weather data, and when fed a snapshot of current conditions, can predict what will come next, much like ChatGPT does with text. “Think about the weather AI prediction problem as predicting the next frame in a radar sequence,” Green told me.
He said that customizing forecasts for particular industries will also be as simple as querying a large language model. A wind farm operator could, for example, “just take an attached file of historical wind energy production, and throw it in there and say, hey, tell me what the wind energy is going to be like next week.” Likewise folks in the aviation industry could have the model tell them if their plane’s wings are likely to ice up, utilities could get detailed insight into expected energy demand and generation, and finance companies could get up-to-the-minute information about weather-sensitive commodities. Previously, companies would’ve had to build their own forecasting teams or hire third-party advisors to get such specific predictions.
Brightband wants to further differentiate itself from the types of models that tech companies have already built by using only raw data inputs to generate its forecasts, from sources such as satellites, weather balloons, and radar systems. Perhaps surprisingly, this is not the way that most models currently work. Because there are data gaps, such as over oceans and in the developing world, the datasets used to train today’s AI weather models, Green explained, “smear the available data over a three-dimensional grid of the globe,” diluting the accuracy of both the real-time weather and presumably the resulting forecasts.
It’s hard to say how much more accurate using only raw data inputs will be, because “that’s what nobody has done yet,” Green told me. Data gaps are still an issue of course, but Green told me that Brightband’s approach will also allow the company to better analyze when and where filling these gaps would add the most value.
Brightband says it hopes to publish a paper by year’s end with an open-source version of its forecast model, alongside evaluation tools to assess its performance.
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A conversation with Frank Wolak of the Fuel Cell and Hydrogen Energy Association.
We’re joined today by Frank Wolak, CEO of perhaps the most crucial D.C. trade group for all things hydrogen: the Fuel Cell and Hydrogen Energy Association. The morning after Election Day we chatted about whether Trump 2.0 will be as receptive as members of Congress have been to hydrogen and the IRA’s tax credit for producing the fuel. Let’s look inside his crystal ball, shall we?
Simply put, will president-elect Donald Trump keep the IRA’s 45V tax credit in place?
So a couple things there. First, the production tax credit still has to be finalized and what they do about the tax credits, if anything, is a function of whether the Biden administration issues final guidance.
If they issue final guidance, then what that guidance says will determine what kind of reaction the Trump administration may have, whether to adjust it or tweak it.
The second thing: I think the tax credits fit into a question of the IRA broadly and hydrogen specifically. The Trump administration is going to be looking at the entirety of the IRA. There’s the question of what pushback hydrogen has in this administration and if it’s viewed as valuable or important or secondary, tertiary to other things. And I think we’ve yet to see that in the form of any platform.
So Trump’s view on hydrogen is a mystery then – how will that uncertainty impact hydrogen projects in development today?
The uncertainty that has been experienced by this industry predates the election outcome. The long wait for guidance has definitely slowed down the amount of investment. They’ve put many things on hold. This is not a secret.
What I’ll say is, the ability to regroup and fulfill the expectations that this industry had two or three years ago is hugely dependent on the outcome of the tax credit.
What do you think we’ll see companies do in this information vacuum? Will we see them double down on supporting the credit or potentially get out of hydrogen since it’s an emerging, nascent technology?
The doubling down on the tax credit depends on what the guidance looks like.
If the guidance looks flexible, the question is: how do you take that flexibility and make sure the Trump administration continues it and sees it as valuable or vital?
If the tax credit becomes rigid and stays rigid in the Biden administration, you’ll have a two step process – to unwind the rigidity and then also encourage the Trump administration to see the merits. If the guidance stays as stated, the work is harder.
The degree to which industry continues to make investments and says, “hey, we’re all in,” is a function of how these tax credits emerged. Are they going to really keep fighting and to keep the momentum going, or are the [credits] so limited that companies go, “look this is going to be very very hard to overcome in the U.S. so we’re going to take our investment elsewhere.”
You think we might see companies dip out of the hydrogen space over the credit’s outcome?
Mature long term players who are multinationals … are remaining extremely positive. They may adjust the sequence of their investments but they’re in this because they’re in hydrogen and want to be in this market as much as possible.
But those who saw this as an opportunity to come in and take advantage of tax credits are having those reactions of, “Should I invest? Do I look [at it] positively?” And that’s probably natural.
On the looming climate summit, clean energy stocks, and Hurricane Rafael
Current conditions: A winter storm could bring up to 4 feet of snow to parts of Colorado and New Mexico • At least 89 people are still missing from extreme flooding in Spain • The Mountain Fire in Southern California has consumed 14,000 acres and is zero percent contained.
The world is still reeling from the results of this week’s U.S. presidential election, and everyone is trying to get some idea of what a second Trump term means for policy – both at home and abroad. Perhaps most immediately, Trump’s election is “set to cast a pall over the UN COP29 summit next week,” said the Financial Times. Already many world leaders and business executives have said they will not attend the climate talks in Azerbaijan, where countries will aim to set a new goal for climate finance. “The U.S., as the world’s richest country and key shareholder in international financial institutions, is viewed as crucial to that goal,” the FT added.
Trump has called climate change a hoax, vowed to once again remove the U.S. from the Paris Agreement, and promised to stop U.S. climate finance contributions. He has also promised to “drill, baby, drill.” Yesterday President Biden put new environmental limitations on an oil-and-gas lease sale in Alaska’s Arctic National Wildlife Refuge. The lease sale was originally required by law in 2017 by Trump himself, and Biden is trying to “narrow” the lease sale without breaking that law, according to The Washington Post. “The election results have made the threat to America's Arctic clear,” Kristen Miller, executive director of Alaska Wilderness League, toldReuters. “The fight to save the Arctic Refuge is back, and we are ready for the next four years.”
Another early effect of the decisive election result is that clean energy stocks are down. The iShares Global Clean Energy exchange traded fund, whose biggest holdings are the solar panel company First Solar and the Spanish utility and renewables developer Iberdola, is down about 6%. The iShares U.S. Energy ETF, meanwhile, whose largest holdings are Exxon and Chevron, is up over 3%. Some specific publicly traded clean energy stocks have sunk, especially residential solar companies like Sunrun, which is down about 30% compared to Tuesday. “That renewables companies are falling more than fossil energy companies are rising, however, indicates that the market is not expecting a Trump White House to do much to improve oil and gas profitability or production, which has actually increased in the Biden years thanks to the spikes in energy prices following the Russian invasion of Ukraine and continued exploitation of America’s oil and gas resources through hydraulic fracturing,” wrote Heatmap’s Matthew Zeitlin.
Hurricane Rafael swept through Cuba yesterday as a Category 3 storm, knocking out the power grid and leaving 10 million people without electricity. Widespread flooding is reported. The island was still recovering from last month’s Hurricane Oscar, which left at least six people dead. The electrical grid – run by oil-fired power plants – has collapsed several times over the last few weeks. Meanwhile, the U.S. Bureau of Safety and Environmental Enforcement said yesterday that about 17% of crude oil production and 7% of natural gas output in the Gulf of Mexico was shut down because of Rafael.
It is “virtually certain” that 2024 will be the warmest year on record, according to the European Copernicus Climate Change Service. In October, the global average surface air temperature was about 60 degrees Fahrenheit, or nearly 3 degrees Fahrenheit warmer than pre-industrial averages for that month. This year is also on track to be the first entire calendar year in which temperatures are more than 1.5 degrees Celsius above pre-industrial levels. “This marks a new milestone in global temperature records and should serve as a catalyst to raise ambition for the upcoming climate change conference,” said Copernicus deputy director Dr. Samantha Burgess.
C3S
The world is falling short of its goal to double the rate of energy efficiency improvements by 2030, the International Energy Agency said in its new Energy Efficiency 2024 report. Global primary energy intensity – which the IEA explained is a measure of efficiency – will improve by 1% this year, the same as last year. It needs to be increasing by 4% by the end of the decade to meet a goal set at last year’s COP. “Boosting energy efficiency is about getting more from everyday technologies and industrial processes for the same amount of energy input, and means more jobs, healthier cities and a range of other benefits,” the IEA said. “Improving the efficiency of buildings and vehicles, as well as in other areas, is central to clean energy transitions, since it simultaneously improves energy security, lowers energy bills for consumers and reduces greenhouse gas emissions.” The group called for more government action as well as investment in energy efficient technologies.
Deforestation in Brazil’s Amazon fell by 30.6% in the 12 months leading up to July, compared to a year earlier. It is now at the lowest levels since 2015.
State-level policies and “unstoppable” momentum for clean energy.
As the realities of Trump’s return to office and the likelihood of a Republican trifecta in Washington began to set in on Wednesday morning, climate and clean energy advocates mostly did not sugarcoat the result or look for a silver lining. But in press releases and interviews, reactions to the news coalesced around two key ways to think about what happens next.
Like last time Trump was elected, the onus will now fall on state and local leaders to make progress on climate change in spite of — and likely in direct conflict with — shifting federal priorities. Working to their advantage, though, much more so than last time, is global political and economic momentum behind the growth of clean energy.
“No matter what Trump may say, the shift to clean energy is unstoppable,” former White House National Climate Advisor Gina McCarthy said in a statement.
“This is a dark day, but despite this election result, momentum is on our side,” Sierra Club Executive Director Ben Jealous wrote. “The transition away from dirty fossil fuels to affordable clean energy is already underway.”
“States are the critical last line of defense on climate,” said Caroline Spears, the executive director of Climate Cabinet, a group that campaigns for local climate leaders, during a press call on Wednesday. “I used to work in the solar industry under the Trump administration. We still built solar and it was on the back of great state policy.”
Reached by phone on Wednesday, the climate policy strategist Sam Ricketts offered a blunt assessment of where things stand. “First things first, this outcome sucks,” he said. He worried aloud about what another four years of Trump would mean for his kids and the planet they inherit. But Ricketts has also been here before. During Trump’s first term, he worked for the “climate governor,” Washington’s Jay Inslee, and helped further state and local climate policy around the country for the Democratic Governors Association. “For me, it is a familiar song,” he said.
Ricketts believes the transition to clean energy has become inevitable. But he offered other reasons states may be in a better position to make progress over the next four years than they were last time. There are now 23 states with Democratic governors and at least 15 with Democratic trifectas — compare that to 2017, when there were just 16 Democratic governors and seven trifectas. Additionally, Democrats won key seats in the state houses of Wisconsin and North Carolina that will break up previous Republican supermajorities and give the Democratic governors in those states more opportunity to make progress.
Spears also highlighted these victories during the Climate Cabinet press call, adding that they help illustrate that the election was not a referendum on climate policy. “We have examples of candidates who ran forward on climate, they ran forward on clean energy, and they still won last night in some tough toss-up districts,” she said.
Ricketts also pointed to signs that climate policy itself is popular. In Washington, a ballot measure that would have repealed the state’s emissions cap-and-invest policy failed. “The vote returns aren’t all in, but that initiative has been obliterated at the ballot box by voters in Washington State who want to continue that state’s climate progress,” he said.
But the enduring popularity of climate policy in Democratic states is not a given. Though the measure to overturn Washington’s cap-and-invest law was defeated, another measure that would revoke the state’s nation-leading policies to regulate the use of natural gas in buildings hangs in the balance. If it passes, it will not only undo existing policies but also hamstring state and local policymakers from discouraging natural gas in the future. In Berkeley, California, the birthplace of the movement to ban gas in buildings, a last-ditch effort to preserve that policy through a tax on natural gas was rejected by voters.
Meanwhile, two counties in Oregon overwhelmingly voted in favor of a nonbinding ballot measure opposing offshore wind development. And while 2024 brought many examples of climate policy progress at the state level, there were also some signs of states pulling back due to concerns about cost, exemplified by New York Governor Kathy Hochul’s major reversal on congestion pricing in New York City.
The oft-repeated hypothesis that Republican governors and legislators might defend President Biden’s climate policies because of the investments flowing to red states is also about to be put to the test. “I think that's going to be a huge issue and question,” Barry Rabe, a public policy professor at the University of Michigan, told me. “You know, not only can Democrats close ranks to oppose any changes, but is there any kind of cross-party Republican base of support?”
Josh Freed, the senior vice president for the climate and clean energy program at Third Way, warned that the climate community has a lot of work to do to build more public support for clean energy. He pointed to the rise of right-wing populism around the world, driven in part by the perception that the transition away from fossil fuels is hurting real people at the expense of corporate and political interests.
“We’ve seen, in many places, a backlash against adopting electric vehicles,” he told me. “We’ve seen, at the local county level, opposition to siting of renewables. People perceive a push for eliminating natural gas from cooking or from home heating as an infringement on their choice and as something that’s going to raise costs, and we have to take that seriously.”
One place Freed sees potential for continued progress is in corporate action. A lot of the momentum on clean energy is coming from the private sector, he said, naming companies such as Microsoft, Amazon, and Google that have invested considerable funds in decarbonization. He doesn’t see that changing.
A counterpoint, raised by Rabe, is those companies’ contribution to increasing demand for electricity — which has simultaneously raised interest in financing clean energy projects and expanding natural gas plants.
As I was wrapping up my call with Ricketts, he acknowledged that state and local action was no substitute for federal leadership in tackling climate change. But he also emphasized that these are the levers we have right now. Before signing off, he paraphrased something the writer Rebecca Solnit posted on social media in the wee hours of the morning after the electoral college was called. It’s a motto that I imagine will become something of a rallying cry for the climate movement over the next four years. “We can’t save everything, but we can save some things, and those things are worth saving,” Ricketts said.