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Electric Vehicles

Will the DOE’s New $7 Billion Battery Loan Survive Trump?

On Stellantis and Samsung’s factories, a new Jaguar EV, and innovative climate finance

Will the DOE’s New $7 Billion Battery Loan Survive Trump?
Heatmap Illustration/Getty Images

Current conditions: Japan’s warmest autumn ever recorded has delayed the country’s vibrant foliage season • The east coast of Australia is bracing for a “rain bomb” • A Canadian storm system is bringing a blast of Arctic air to the Midwest and Northeast today through Thursday.

THE TOP FIVE

1. DOE to loan Stellantis and Samsung $7 billion for EV battery factories

The Biden administration yesterday approved a $7 billion conditional loan for the joint venture between Stellantis and Samsung SDI – called StarPlus Energy – to help the companies build two EV battery plants in Kokomo, Indiana. The Department of Energy estimates the projects will create 3,200 construction jobs and 2,800 operations jobs, and the finished plants will produce 67 GWh of batteries, “enough to supply approximately 670,000 vehicles annually.” The loan isn’t finalized yet, and its fate hangs in the balance as President-elect Trump’s administration may not see it through. Though as The New York Times noted, “both projects are in congressional districts represented by Republicans,” and “some of them may be unwilling to get in the way of projects that bring thousands of jobs and billions of dollars to their districts.” Just two days ago, Stellantis CEO Carlos Tavares resigned, and the company has been posting sluggish U.S. sales figures. Last week the DOE announced another conditional loan for EVs: $6.6 billion for Rivian to build its Georgia manufacturing plant.

2. Jaguar shows off electric Type 00

Jaguar has unveiled the first concept car of the company’s new all-electric era. The much-anticipated electric Type 00 (which apparently is pronounced “zero zero”) is a two-door coupe that comes in two colors: Miami pink and London blue. It will get up to 430 miles of range and charge 200 miles in 15 minutes. It will go on sale sometime in 2026 and cost at least $127,000. In its announcement, Jaguar called the car “an unmistakable, unexpected, and dramatic physical manifestation of Jaguar, as the brand continues its transformation.” The company has committed to going fully electric by 2025, and recently launched a rebrand complete with a new logo and a flashy but kind of weird ad campaign that hasn’t been entirely well received.

Jaguar

3. Barbados completes first ‘debt for climate resilience’ swap

Barbados completed a “debt for climate resilience” swap that will free up about $125 million and enable the Caribbean island to invest in water and sewage infrastructure. So-called debt for nature swaps involve a country reducing or cancelling its debts by agreeing to preserve biodiversity or nature preservation. This is apparently the first case of a country using such a transaction to build climate resilience, and others are likely to follow Barbados’ lead. “In the face of the climate crisis, this groundbreaking transaction serves as a model for vulnerable states, delivering rapid adaptation benefits for Barbados,” said Prime Minister Mia Mottley. The government will have to meet sustainability performance targets as part of the deal.

4. Report finds airlines are falling short on SAF

The aviation industry is relying on “sustainable” aviation fuel – or SAF – to help it lower its carbon footprint. But a new report finds airlines aren’t using enough of the stuff to make any meaningful difference. The report, from Brussels-based advocacy group Transport and Environment, ranks 77 major global airlines and airline groups on their use of and commitment to SAF using a points scale of 0 to 100 and found that none of them scored above 61 points, “highlighting how much progress airlines still need to make.” Most airlines failed to get above 24 points. SAF makes up about 1% of global aviation fuel use, Reuters reported. It is more expensive than fossil fuel-based kerosene and there isn’t much of it to go around. The report points to a lack of investment in SAF from oil producers. Below is a graph showing oil giants’ estimated 2023 fuel production. You can just about see the SAF if you squint.

Transport and Environment

5. Judge rejects Musk’s pay package – again

Tesla reportedly told Cybertruck workers at its factory in Austin, Texas, not to come to work today, tomorrow, or Thursday. “Given that it is a critical time for Tesla deliveries, particularly of its flagship model, the timing is suspect,” said Jameson Dow at Electrek, suggesting a sales slowdown. The company also lowered its Cybertruck leasing pricing, which might also indicate a demand slump for the electric pickup. Meanwhile, a Delaware judge yesterday rejected CEO Elon Musk’s $56 billion pay package for a second time, even after shareholders voted to reinstate it. Judge Kathaleen McCormick said the attempts to get the package approved were “creative” but “go against multiple strains of settled law.” If Tesla appeals, the case could go to the Delaware Supreme Court.

THE KICKER

About 12,000 public EV charging ports came online in the U.S. over the last three months, bringing the total in the national charging network to more than 200,000. That’s double the number recorded in 2020.

Yellow

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Spotlight

Trump Taps Nashville Legend to Fight Solar and Wind Farms

And data centers might be collateral damage.

Farmland.
Simon Abranowicz | Getty Images | Unsplash

After derailing gigawatts of renewable power with a permitting freeze, the Trump administration is expanding its war on renewable energy, retaining one of country music’s biggest stars in a PR offensive against utility-scale projects on “prime farmland.”

The administration recently onboarded John Rich – one half of the stadium-packing American musical duo Big & Rich – to be Trump’s “special envoy for American landowners.” Rich entered activism around landowner rights last January when he backed opponents fighting a large Tennessee Valley Authority transmission project routed through his home county of Cheatham, Tennessee. This led to him joining the Trump team, where he’s fashioning himself as a go-to guy and cheerleader for anyone who wants Trump to help stop a solar or wind farm they don’t want built.

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Hotspots

Data Centers Are the Election Year Villain

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

Data Centers Are the Election Year Villain
Heatmap Illustration

1. Kansas City, Missouri – Data centers are so toxic that politicians are using them as boogeymen in totally unrelated policy discussions.

  • All week I’ve been thinking about Missouri, where a widely-screened TV campaign ad is airing screeds against AI hyperscale projects to sell a constitutional amendment initiative up for a vote in this year’s November elections. “That hum is the sound of Big Tech making money on online gambling, for porn,” says a nameless man in the ad. “Amendment 5 makes Big Tech pay so you don’t have to. Yes on Amendment 5.”
  • What does Amendment 5 do? Based on the ad, you would think it was focused on tax exemptions for data centers. But no – a yes vote supports cutting the state income tax, a proposal backed by Republican Gov. Mike Kehoe.
  • The ad is misinformation and a mind-blowing use of a confusing conversation around tech infrastructure most were unfamiliar with before this year. Per reporting by the Missouri Independent, the state’s existing tax exemptions for data centers would stay in place if the amendment was adopted.
  • My gut tells me this is only the beginning of the data center industry’s transformation into an election year villain.

2. Ingham County, Michigan – We have our first major anti-data center candidate in a Democratic congressional primary.

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Q&A

Why Data Center NDAs Are a Big Mistake

A conversation with Grant Gutierrez of Carbon Direct

Why Data Center NDAs Are a Big Mistake
Heatmap Illustration

This week’s conversation is with Grant Gutierrez, head of community impacts at carbon management company Carbon Direct. This week Carbon Direct published a white paper Gutierrez authored on opposition around data centers he’s studied. His research reinforces much of what Heatmap Pro has uncovered, but I was particularly intrigued by a topline finding – that transparency is the most common thread in the 46 data center fights he looked into. Was he seeing what I’ve been seeing? So I asked him to hop onto a Zoom call and let me know his thoughts.

The following conversation was lightly edited for clarity.

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