You’re out of free articles.
Log in
To continue reading, log in to your account.
Create a Free Account
To unlock more free articles, please create a free account.
Sign In or Create an Account.
By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy
Welcome to Heatmap
Thank you for registering with Heatmap. Climate change is one of the greatest challenges of our lives, a force reshaping our economy, our politics, and our culture. We hope to be your trusted, friendly, and insightful guide to that transformation. Please enjoy your free articles. You can check your profile here .
subscribe to get Unlimited access
Offer for a Heatmap News Unlimited Access subscription; please note that your subscription will renew automatically unless you cancel prior to renewal. Cancellation takes effect at the end of your current billing period. We will let you know in advance of any price changes. Taxes may apply. Offer terms are subject to change.
Subscribe to get unlimited Access
Hey, you are out of free articles but you are only a few clicks away from full access. Subscribe below and take advantage of our introductory offer.
subscribe to get Unlimited access
Offer for a Heatmap News Unlimited Access subscription; please note that your subscription will renew automatically unless you cancel prior to renewal. Cancellation takes effect at the end of your current billing period. We will let you know in advance of any price changes. Taxes may apply. Offer terms are subject to change.
Create Your Account
Please Enter Your Password
Forgot your password?
Please enter the email address you use for your account so we can send you a link to reset your password:
On modernizing permitting, IRA funds, and a revolt at BP
Current conditions: Central and northeast New Mexico will face “extremely critical fire conditions” over the next two days • Thousands of Iraqis are suffering from respiratory problems caused by a severe sandstorm • Temperatures could hit 120 degrees Fahrenheit in Balochistan, Pakistan, during a heat wave this week.
On Tuesday, President Trump signed a memorandum ordering the “maximum use of technology in environmental review and permitting process for infrastructure projects of all kinds.” The order also directed the Council on Environmental Quality, which oversees the implementation of the National Environmental Policy Act, to put together a process for modernizing technology in environmental reviews. Thomas Hochman, the director of infrastructure policy at the Foundation for American Innovation, a center-right think tank, celebrated the move by the Trump administration, writing on Twitter “it’s high time to eliminate paper-based reviews, modernize permitting technology (which is often as old as the laws themselves), and experiment with different permitting tools.”
In February, Trump also signed an executive order that gutted CEQ’s authority to oversee NEPA, a move Sierra Club’s senior attorney Nathaniel Shoaff called “rash, unlawful, and unwise.” As my colleague Katie Brigham has written, in theory that order would expedite “projects such as solar farms and clean energy manufacturing facilities; in reality, under the Trump administration, the benefits could redound to fossil fuel infrastructure first and foremost.”
A federal judge has ordered the Trump administration to immediately lift its freeze on billions of dollars tied to the Inflation Reduction Act and the Infrastructure Investment and Jobs Act. In her ruling, Judge Mary McElroy of the U.S. District Court for the District of Rhode Island, a Trump appointee, called the pause “arbitrary and capricious,” and added that federal agencies such as the White House’s Office of Management and Budget “do not have unlimited authority to further a president’s agenda, nor do they have unfettered power to hamstring in perpetuity statutes passed by Congress during the previous administration.”
The lawsuit was brought by conservation and nonprofit groups that had received grants under the two laws, although McElroy’s order will apply to all frozen IRA and IIJA grants in the country. “Today’s ruling marks a crucial victory for the rule of law and ensures these vital resources will flow to the people and projects Congress intended to support,” Skye Perryman, the president and CEO of Democracy Forward, one of the plaintiffs, said in a statement.
A group of BP shareholders, including UK pension provider National Employment Savings Trust and the financial services company Legal & General, announced they will vote in opposition to the re-election of the company’s chairman, Helge Lund, later this week. The move follows BP’s retreat from its goal of dramatically cutting oil and gas production after the company recorded its highest profits ever.
“While it’s disappointing to see BP rowing back on their climate pledges, what’s particularly worrying is they haven’t gone back to shareholders and given us a chance to vote on such a significant decision,” Diandra Soobiah, NEST’s head of responsible investment, told The Guardian last year. L&G, a 1.8% stakeholder in BP, added that it is “deeply concerned” about the retreat toward oil and gas and away from renewables investment. The decision to oppose Lund is, however, “largely symbolic,” Net Zero Investor writes, noting that the chairman has already announced plans to step down next year. BP’s annual general meeting will be held on Thursday.
Environmental Protection Agency Administrator Lee Zeldin announced Tuesday that the EPA is launching a probe into the geoengineering startup Making Sunsets, citing alleged violations of the Clean Air Act. The small South Dakota-based company uses balloons to release sulfur dioxide into the atmosphere in order to reflect the sun and offset warming caused by carbon dioxide; it finances the operation by selling credits for each gram of released SO2. Geoengineering — and Making Sunsets more specifically — remain highly controversial, with many environmental experts calling it a “bad idea.” But Daniele Visioni, a climate scientist specializing in aerosols, wrote on Bluesky that while Making Sunsets’ “stunt was silly … I won’t enjoy seeing them attacked by a government that, at the same time, pretends ‘clean coal’ is a thing while pearl-clutching about ‘polluting our air’ with 10 grams of sulfate.”
The United States’ exports of petrochemical feedstocks to China are at risk due to the trade war touched off by President Trump — “yet another example of how Trump’s second term could prove ironically disastrous for the oil and gas industry,” my colleague Matthew Zeitlin wrote for Heatmap yesterday. The U.S. exported 83 million barrels of the natural gas product ethane to China in 2024, which the country processes into plastics that are often exported back to the United States. But “U.S. energy flows to China are done unless Beijing and D.C. come to an agreement,” Gregory Brew, an analyst at the Eurasia Group, told Zeitlin. “China is already looking to buy more crude from OPEC states to make up for losing U.S. [imports]” — and natural gas liquids, including ethane, “are sure to follow.”
ROV SuBastian / Schmidt Ocean Institute
Humans have observed a colossal squid in its natural habitat for the first time ever. Though science has known about Mesonychoteuthis hamiltoni’s existence since discovering arm fragments in the stomach of a sperm whale in 1925, researchers captured the first images of a foot-long juvenile in its home waters nearly 2,000 feet below the surface of the southern Atlantic Ocean.
Log in
To continue reading, log in to your account.
Create a Free Account
To unlock more free articles, please create a free account.
On California’s cap-and-trade, Empire Wind, and a new Subaru
Current conditions: The Des Moines area could see hail the size of “a hen egg” today • Heavy snow in the Alps is expected to create dangerous avalanche conditions over Easter weekend • Saharan dust could reduce solar generation in central and southern Europe by 10% to 20% over the next few days.
1. California seeks to extend its cap and trade program
In the wake of President Trump’s early April executive order seeking to curtail states’ ability to legislate on climate pollution, which singled out California’s cap and trade program as “fundamentally irreconcilable with my administration’s objective to unleash American energy,” California Governor Gavin Newsom and Democratic state legislators announced plans on Wednesday to reauthorize the program later this year.
California’s Republican Governor Arnold Schwarzenegger proposed and signed cap and trade into existence in 2006, and Democratic Governor Jerry Brown reauthorized it in 2017. According to the state’s Air Resources Board, California has funded $28 billion in climate investments and created 30,000 jobs in the past decade through the program, which sets a declining annual total emissions cap and requires polluters to buy allowances or offsets, and is set to expire in 2030. “California’s efforts to cut harmful pollution won’t be derailed by a glorified press release masquerading as an executive order,” Newsom said in a statement.
2. Trump administration announces intent to take down New York’s Empire Wind
The Trump administration announced Wednesday its intent to “immediately halt all construction activities on the Empire Wind Project until further review of information that suggests the Biden administration rushed through its approval without sufficient analysis,” Heatmap’s Emily Pontecorvo and Jael Holzman report. If indeed halted, the project would mark the first time the Trump administration has stopped an offshore wind project under construction. As Emily and Jael note, canceling Empire Wind would be disastrous for New York State’s climate goals, since offshore wind was supposed to be a path forward from the New York City area’s current reliance on natural gas, which had replaced carbon-free energy after the Indian Point nuclear plant closed in 2021. In a statement, the American Clean Power Association, the country’s largest renewables trade association, slammed the administration’s decision and argued that “halting construction of fully permitted energy projects is the literal opposite of an energy abundance agenda.”
And in case you missed it, Emily also scooped on Wednesday that Occidental Petroleum has bought direct air capture startup Holocene for an undisclosed amount.
3. Subaru debuts new EV aimed at the Rivian crowd
In a surprise debut at the New York Auto Show, Subaru unveiled its newest electric vehicle: the Trailseeker, a crossover thatInside EVs described as “a step up from the Solterra in just about every way.” The Trailseeker is notably aimed at the “outdoorsy lifestyle” crowd and could compete with the upcoming Rivian R2, both of which are expected to enter production in 2026, TechCrunch writes. The Trailseeker will also be Subaru’s fastest vehicle in the U.S., with 375 horsepower that can kick it from 0 to 60 miles per hour in 4.3 seconds and more cargo space than the Solterra, the automaker’s other EV. But range “isn’t the Trailseeker’s strong point,” Engadget notes, with a charge topping out at 260 miles, and “charging won’t be blazingly fast either as it’s limited to 150 kilowatts.” While it doesn’t have a price tag yet, Jalopnik expects a starting price in the ballpark of $45,000.
Subaru
4. Crux raises $50 million Series B funding
Crux, a New York-based capital markets platform that helps facilitate the transfer of tax credits under the Inflation Reduction Act to clean energy and manufacturing projects, announced Wednesday that it had closed a $50 million Series B funding round. Lowercarbon Capital, which also led Crux’s seed round, led the latest round of funding, which featured several new investors. Crux said it intends to use the funding to expand its network, diversify its transaction types, advance its software platform, enhance its market pricing tool Cruxtimate, and scale its team.
“We’re in a new era of global competition, with energy demand rising to the highest levels ever observed,” Alfred Johnson, the CEO and co-founder of Crux, said in a statement. “This new round of funding will help us to meet growing energy demand by making it easier, faster, and more affordable for clean energy developers and manufacturers to finance their projects.”
5. Entirety of Puerto Rico loses power in island-wide blackout
All of Puerto Rico was without electricity on Wednesday after every power plant on the island went out of service at once. According to the director of Luma Energy, which distributes power to the territory, complete restoration to its 1.4 million clients could take up to 72 hours. The exact cause of the blackout is not yet known.
Since Hurricane Maria in 2017, blackouts have not been uncommon on the island — hospitals and the many hotels hosting Easter-week tourists are operating on generators, The Associated Press reports. Puerto Rico’s energy czar, Josué Colón, previously warned of likely summer power problems due to an anticipated lack of generating capacity to meet peak demand. “They have to improve,” one local told the AP. “Those who are affected are us, the poor.”
Researchers have found “the strongest indication yet of extraterrestrial life” on a planet 120 light-years from Earth, The New York Times reports. The planet’s atmosphere contains a “tremendous supply” of dimethyl sulfide, which on Earth has only one known source: living marine organisms, such as algae.
That makes two direct air capture acquisitions for the oil and gas major.
The Trump administration may not be enthusiastic about supporting megaprojects to suck carbon dioxide out of the air, but that’s not dampening Occidental Petroleum’s interest in the technology. Heatmap has learned that the oil and gas giant recently acquired the direct air capture startup Holocene for an undisclosed amount.
This is the second direct air capture company the fossil fuel producer has acquired in less than two years through its subsidiary, Oxy Low Carbon Ventures. It’s a sign “that the sector has legs,” Jason Hochman, the executive director of the Direct Air Capture Coalition, told me. “Why would Occidental acquire Holocene if they didn’t see a future in the sector as a whole? If they didn’t think there was money to be made?”
Like every other climate tech industry, direct air capture startups have faced a great deal of uncertainty since Trump took office. While the technology has historically had bipartisan support, the Trump administration has been excising programs and projects with seemingly any connection to climate change. It has hollowed out the Department of Energy’s carbon dioxide removal team, my colleague Katie Brigham reported in February, leaving just one employee overseeing the $3.5 billion Direct Air Capture Hubs program that was authorized by the Infrastructure Investment and Jobs Act. Additional cuts at the Office of Clean Energy Demonstrations, which also has a role in overseeing the program, or even a potential closure of that office, are expected in the coming weeks. The Direct Air Capture Hubs were also on a list of grants the administration was considering trying to cut.
Non-governmental funding for DAC is also precarious, as interest from new buyers in purchasing carbon removal has waned. A few companies have continued to announce new projects and deals, but Hochman told me he expects to see a fair amount of consolidation of the industry in the near term.
Occidental previously acquired Carbon Engineering, a pioneer in direct air capture technology, for $1.1 billion in August 2023, after working closely with the Canadian company to build its first major project in the United States. That project, a plant called Stratos in Ector County, Texas, is now nearing completion and expected to begin operating later this year. It’s designed to siphon 500,000 tons of carbon dioxide from the air per year.
Holocene “has an innovative direct air capture technology that is additive to Carbon Engineering,” William Fitzgerald, a spokesperson for Occidental told me in an email. “We believe combining these technologies will enable us to advance our R&D activities to improve the efficiency of our direct air capture process, reduce CO2 capture costs, and accelerate DAC deployment.”
Oxy’s acquisition of Carbon Engineering was controversial among climate advocates. While many see direct air capture as a promising way to clean up the excess carbon that will remain in the atmosphere even after emissions decline, skeptics worry that oil companies will use it as justification to keep producing oil — a fear that Oxy has not exactly allayed.
The company plans to take some of the carbon it captures and sequester it in dedicated carbon storage wells. It signed a deal to sequester 500,000 tons of carbon on behalf of Microsoft last year. But it will also pump carbon into aging oil wells to increase oil production, a process called enhanced oil recovery. In the past, Oxy’s CEO Vicki Hollub has framed its investments in direct air capture tech as a way to produce “net-zero oil,” and as a “license to continue to operate” as an oil producer.
More recently, Hollub has shifted her pitch to appeal to the Trump administration’s push for energy dominance. On an earnings call in February, she told investors that the industry could tap an additional 50 billion to 70 billion barrels of oil with the help of carbon captured from the atmosphere.
But direct air capture — both the technology itself, and the market for it — is still in its infancy. There are only so many deep-pocketed buyers like Microsoft willing to pay for sequestration. Unless Occidental sees more demand for carbon removal, its best business case for developing the technology is to recover oil.
“I understand the skepticism in certain quarters,” Hochman told me. “But the fact is that companies like Occidental have the exact set of expertise, of infrastructure, of the people who understand subsurface geology, and the balance sheets to do large projects and to scale this technology.” They’ll be able to build projects at scale much more quickly than a startup that spun out of a university lab, he said.
That’s not quite what Holocene is, but it’s not far off. A trio of MBA students at Stanford — two of whom were veterans of the leading direct air capture company Climeworks — started Holocene in 2023. They wanted to pursue a new approach to sucking carbon from the air that they licensed from the Oak Ridge National Laboratory, a government lab. I wrote about the startup last fall when it announced a deal to remove 100,000 tons of carbon from the atmosphere for Google at a record low price of $100 per ton.
At the time, Holocene had raised about $6 million from grants, prizes, and smaller carbon removal contracts, and built a very small pilot plant in Knoxville, Tennessee, that could scrub just 10 tons of CO2 from the air per year. When I last spoke to them, they were looking for funding to build a larger demonstration plant. They declined to comment for this story.
Holocene’s technology is similar to that of Carbon Engineering. Both companies use fans to pull air into a closed system, where it passes through a liquid with a unique chemistry that attracts CO2. In the case of Carbon Engineering, the carbon in the air binds with potassium hydroxide in water; in Holocene’s system, it binds with amino acids. Then both companies react that carbon-rich water with another chemical that further concentrates the CO2 into solids that can be filtered out. The last step is heating those solids, releasing the CO2 so that it can be sequestered underground.
Holocene’s advantage — and the reason it thinks it can achieve $100 per ton carbon removal — is that it uses a unique chemistry that requires relatively low heat to separate the CO2. Whereas Carbon Engineering uses natural gas for that final step, Holocene told me it could use renewable electricity, or even waste heat from a data center.
Hochman was hopeful that the deal would be an encouraging signal to the market. “It’s real money changing hands because of the hypothesis on the part of a large company that there’s a future in DAC. I would see that as something that would reassure investors in this sector, if not catalyze more investment.”
For the first time, his administration targets an offshore wind project already under construction.
The Trump administration will try to stop work on Empire Wind, an offshore wind project by Equinor south of Long Island that was going through active construction, Interior Secretary Doug Burgum posted to X on Wednesday.
Burgum announced that he directed the Bureau of Ocean Energy Management to “halt all construction activities on the Empire Wind Project until further review of information that suggests the Biden administration rushed through its approval without sufficient analysis.”
A memo to the agency, which was obtained by The Washington Free Beacon, references “revelations” of “serious deficiencies” in the approval process for Empire Wind. The reported memo does not provide any further description or evidence to back this claim. When we requested comment on the Free Beacon story, an Interior spokesperson simply pointed to Burgum’s short announcement.
Equinor provided a statement to Heatmap confirming after Burgum’s announcement that it “just received a notification from the Bureau of Ocean Energy Management (BOEM) regarding our Empire Wind 1 project, which has been in construction since 2024.”
“We will engage directly with BOEM and the Department of Interior to understand the questions raised about the permits we have received from authorities,” Equinor spokesman David Schoetz said. “We will not comment about the potential consequences until we know more.”
This is the second fully permitted offshore wind project that the Trump administration has publicly targeted and attempted to stop.
Last month, the Environmental Protection Agency pulled a Clean Air Act permit for Atlantic Shores, a wind farm under development off the coast of New Jersey, after anti-wind groups petitioned the agency to do so. The agency did not attempt to justify its decision other than to say that it gives the agency “the opportunity to reevaluate the Project and its environmental impacts in light of” Trump’s executive order requesting an assessment of the government’s leasing and permitting practices for wind projects.
A few days later, we were first to report that Representative Chris Smith — one of the loudest anti-wind voices in Congress — asked Burgum to halt work on Empire Wind, asserting that the environmental review process for the project was “completely inadequate.”
If Empire Wind is indeed halted, it would be the first offshore wind project under construction to be stopped by the Trump administration. Equinor disclosed in a project update that it started subsea rock installation last month, although the company’s statement to Heatmap indicates construction may have begun as early as last year. A halt to work on Empire Wind would cast a shadow over other offshore wind projects under construction, including Dominion Energy’s Coastal Virginia project, which we scooped could also wind up in the Trump administration’s crosshairs.
Stopping Empire Wind would also mean a huge blow to New York State’s climate and clean energy goals.
After the state’s Indian Point nuclear plant closed in 2021, the population-dense metro area in and around New York City has mostly replaced that carbon-free source of energy with natural gas. Offshore wind was supposed to be a path to moving away from reliance on the fossil fuel. The state’s target of deploying 9 gigawatts of offshore wind by 2035 was already going to be nearly impossible due to Trump’s pause on new leases and permits. Without the 800 megawatt Empire Wind project, New York will only have 1 gigawatt in the pipeline.
This news has already sparked an aggressive response from the American Clean Power Association, the largest renewables trade association, which released a statement pleading for the administration to “quickly address perceived inadequacies in the prior permit approvals” and that “halting construction of fully permitted energy projects is the literal opposite of an energy abundance agenda.”
“With skyrocketing energy demand and increasing consumer prices, we need streamlined permitting for all domestic energy resources,” American Clean Power CEO Jason Grumet stated. “Doubling back to reconsider permits after projects are under construction sends a chilling signal to all energy investment.”