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Electric car jobs are a problem around the world.

At the stroke of midnight, employees at three plants owned by General Motors, Ford, and Jeep walked off the job. None of those plants make electric vehicles, unless you count the plug-in hybrid Jeep Wrangler. But make no mistake — the strike by the United Auto Workers union, its most aggressive labor actions since the 1930s, plays directly into a larger fight over the battery-driven future of the car industry. And that fight has already gone global; you may have just not noticed it yet.
There are a lot of complicated, interwoven issues driving the UAW’s strike, which will start with those three plants but may include more if negotiations deteriorate. First and foremost is pay and benefits at America’s existing UAW plants. Like everyone who’s not fortunate enough to be in the top tax bracket, the UAW’s workers have been stung by inflation and higher costs of living. What was once a well-defined path to middle-class life has been hammered in the last decade as carmaking jobs got sent to Mexico and China. This, after those auto workers made tremendous concessions to keep their employers afloat during the Great Recession and subsequent auto industry bailouts, only to see some of their top leaders go to prison for taking bribes while also failing to increase their ranks at companies like Nissan and Tesla. They’re pissed, and they have every right to be pissed.
But that’s only part of the challenge here. The other issue that looms over this showdown has to do with electric vehicles. Take the battery plants springing up all over America, spurred in large part by incentives from the Biden Administration’s Inflation Reduction Act. Nowhere does this pro-EV legislation say that the green jobs coming soon have to be union jobs, even if they’re building batteries for tomorrow’s EVs. Meanwhile, EVs generally require far less labor and parts to build than their gasoline-powered counterparts; they’re essentially batteries, bodies, software and an assortment of other components. Engines and transmissions are complicated things, but they’re simply not necessary for what’s coming. It’s often believed that the transition to EVs will mean fewer auto industry jobs, period; that’s actually very hard to gauge, but it’s no stretch to think this transition won’t be easy, seamless, or provide a comparable job for every single worker — including those at the many related companies that supply various parts and components.
But you can probably see where this is going. If you have a good-paying union job making trucks or transmissions for General Motors, what happens to you when they need fewer workers someday to assemble an electric truck — or when complex nine-speed automatic transmissions designed to work with gas engines aren’t needed at all? And if you’re a worker at the GM’s Ultium battery plant in Ohio, why are you making almost half what your counterparts are to build the future of the American auto industry? In other words: Will the electric future of the car business include good jobs for those who build them, or not?
Those who follow the auto industry, or work in it, have been seeing this play out elsewhere for some time now, especially in countries with far stronger labor unions than America generally has. In Europe, Volkswagen has been cutting thousands of jobs for years now as it attempts to shore up money to pay for a costly electric transition (something it’s clearly struggling with.) BMW’s CEO made waves last year for promising not to do the same, but whether he can actually make good on it or not remains to be seen. In Japan, former Toyota president (and current chairman) Akio Toyoda has warned of millions of job losses in that country alone if the industry goes all-electric. The same job-loss fears have led to labor actions in South Korea, too, home of Hyundai Motor Group, one of the most EV-ambitious car companies in the world. Who knows; if these unions team up, who’s to say we won’t see coordinated strikes as part of a global action?
Essentially, versions of this fight are playing out everywhere cars are made, and it’s hard to see an endgame to that no matter where you go. The story is the same everywhere: whatever the future of the auto industry is, it may just not need as many jobs as it has now, and even if it does, a ton of people will get lost in the shuffle.
Adding to all of this is a rising China, which is turning out some seriously impressive EVs that have Europe’s automakers rightfully spooked. (Those cars are kept out of our market by steep tariffs, for now anyway.) On top of being actually good, those cars are much cheaper than the competition. Why? Besides China getting great at building them at scale, there are deeply questionable labor practices, to put it politely, across all of that country’s battery and EV supply chain.
And then there’s the staggering cost involved with these companies’ transition to becoming EV companies, something not all of them will survive. Here in America, if you ask the Big Three automakers, they simply cannot afford to grant the UAW’s pay raise demands. Not as they invest trillions of dollars over the next few decades to transition to an industry driven by batteries and software instead of engines and hardware features. The automakers are dealing with a workforce that feels like it’s been left behind,, the costs involved with pivoting their businesses, and the ever-insatiable demands of shareholders.
It’s a tough spot to be in, but then again, each of the Big Three is led by an executive making at least $20 million per year, so maybe they can figure something out, particularly when they’re raking in record profits.
It’s possible that the battery plants will be key to saving auto industry jobs. Engineering researchers at Carnegie Mellon have found that while fewer auto parts are needed in EVs, battery manufacturing is so complex that the overall labor needs might potentially even out. And it’s true that battery factories are certainly popping up everywhere EVs are sold, not just in America.
But here, there’s an added complication: Most battery factories being built are ventures with companies like LG and SK On, which do not have agreements with the UAW. In other words, there’s no guarantee those will automatically be good-paying union jobs. Granted, the UAW has already scored a small victory on that front. Workers at GM’s LG joint venture battery plant in Ohio plant voted overwhelmingly to join the UAW last December, and as union negotiations went on this year, GM acquiesced and granted them a 25% raise and back pay — though they’d still be paid less than other UAW members. Maybe that will change as negotiations are finalized, but it may also not get fully resolved in this contract process.
Finally, there’s the question of what this strike means for the rest of the industry. It’s entirely possible that if the UAW gets an extremely favorable contract, it will aim its guns at Tesla next, or the Asian and European U.S.-based plants that have eluded unionization for so long. Surely, Honda and Volkswagen’s American workers have concerns about their future too, and Tesla’s workers make $20 an hour less in wages and benefits than their UAW counterparts.
If the UAW can score some major wins here, there’s nothing to say this can’t be the start of something bigger.
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The startup — founded by the former head of Tesla Energy — is trying to solve a fundamental coordination problem on the grid.
The concept of virtual power plants has been kicking around for decades. Coordinating a network of distributed energy resources — think solar panels, batteries, and smart appliances — to operate like a single power plant upends our notion of what grid-scale electricity generation can look like, not to mention the role individual consumers can play. But the idea only began taking slow, stuttering steps from theory to practice once homeowners started pairing rooftop solar with home batteries in the past decade.
Now, enthusiasm is accelerating as extreme weather, electricity load growth, and increased renewables penetration are straining the grid and interconnection queue. And the money is starting to pour in. Today, home battery manufacturer and VPP software company Lunar Energy announced $232 million in new funding — a $102 million Series D round, plus a previously unannounced $130 million Series C — to help deploy its integrated hardware and software systems across the U.S.
The company’s CEO, Kunal Girotra, founded Lunar Energy in the summer of 2020 after leaving his job as head of Tesla Energy, which makes the Tesla Powerwall battery for homeowners and the Megapack for grid-scale storage. As he put it, back then, “everybody was focused on either building the next best electric car or solving problems for the grid at a centralized level.” But he was more interested in what was happening with households as home battery costs were declining. “The vision was, how can we get every home a battery system and with smart software, optimize that for dual benefit for the consumer as well as the grid?”
VPPs work by linking together lots of small energy resources. Most commonly, this includes solar, home batteries, and appliances that can be programmed to adjust their energy usage based on grid conditions. These disparate resources work in concert conducted by software that coordinates when they should charge, discharge, or ramp down their electricity use based on grid needs and electricity prices. So if a network of home batteries all dispatched energy to the grid at once, that would have the same effect as firing up a fossil fuel power plant — just much cleaner.
Lunar’s artificial intelligence-enabled home energy system analyzes customers’ energy use patterns alongside grid and weather conditions. That allows Lunar’s battery to automatically charge and discharge at the most cost-effective times while retaining an adequate supply of backup power. The batteries, which started shipping in California last year, also come integrated with the company’s Gridshare software. Used by energy companies and utilities, Gridshare already manages all of Sunrun’s VPPs, including nearly 130,000 home batteries — most from non-Lunar manufacturers — that can dispatch energy when the grid needs it most.
This accords with Lunar’s broader philosophy, Girotra explained — that its batteries should be interoperable with all grid software, and its Gridshare platform interoperable with all batteries, whether they’re made by Lunar or not. “That’s another differentiator from Tesla or Enphase, who are creating these walled gardens,” he told me. “We believe an Android-like software strategy is necessary for the grid to really prosper.” That should make it easier for utilities to support VPPs in an environment where there are more and more differentiated home batteries and software systems out there.
And yet the real-world impact of VPPs remains limited today. That’s partially due to the main problem Lunar is trying to solve — the technical complexity of coordinating thousands of household-level systems. But there are also regulatory barriers and entrenched utility business models to contend with, since the grid simply wasn’t set up for households to be energy providers as well as consumers.
Girotra is well-versed in the difficulties of this space. When he first started at Tesla a decade ago, he helped kick off what’s widely considered to be the country’s first VPP with Green Mountain Power in Vermont. The forward-looking utility was keen to provide customers with utility-owned Tesla Powerwalls, networking them together to lower peak system demand. But larger VPPs that utilize customer-owned assets and seek to sell energy from residential batteries into wholesale electricity markets — as Lunar wants to do — are a different beast entirely.
Girotra thinks their time has come. “This year and the next five years are going to be big for VPPs,” he told me. The tide started to turn in California last summer, he said, after a successful test of the state’s VPP capacity had over 100,000 residential batteries dispatching more than 500 megawatts of power to the grid for two hours — enough to power about half of San Francisco. This led to a significant reduction in electricity demand during the state’s evening peak, with the VPP behaving just like a traditional power plant.
Armed with this demonstration of potential and its recent influx of cash, Lunar aims to scale its battery fleet, growing from about 2,000 deployed systems today to about 10,000 by year’s end, and “at least doubling” every year after that. Ultimately, the company aims to leverage the popularity of its Gridshare platform to become a market maker, helping to shape the structure of VPP programs — as it’s already doing with the Community Choice Aggregators that it’s partnered with so far in California.
In the meantime, Girotra said Lunar is also involved in lobbying efforts to push state governments and utilities to make it easier for VPPs to participate in the market. “VPPs were always like nuclear fusion, always for the future,” he told me. But especially after last year’s demonstration, he thinks the entire grid ecosystem, from system operators to regulators, are starting to realize that the technology is here today. ”This is not small potatoes anymore.”
If all the snow and ice over the past week has you fed up, you might consider moving to San Francisco, Los Angeles, Phoenix, Austin, or Atlanta. These five cities receive little to no measurable snow in a given year; subtropical Atlanta technically gets the most — maybe a couple of inches per winter, though often none. Even this weekend’s bomb cyclone, which dumped 7 inches across parts of northeastern Georgia, left the Atlanta suburbs with too little accumulation even to make a snowman.
San Francisco and the aforementioned Sun Belt cities are also the five pilot locations of the all-electric autonomous-vehicle company Waymo. That’s no coincidence. “There is no commercial [automated driving] service operating in winter conditions or freezing rain,” Steven Waslander, a University of Toronto robotics professor who leads WinTOR, a research program aimed at extending the seasonality of self-driving cars, told me. “We don’t have it completely solved.”
Snow and freezing rain, in particular, are among the most hazardous driving conditions, and 70% of the U.S. population lives in areas that experience such conditions in winter. But for the same reasons snow and ice are difficult for human drivers — reduced visibility, poor traction, and a greater need to react quickly and instinctively in anticipation of something like black ice or a fishtailing vehicle in an adjacent lane — they’re difficult for machines to manage, too.
The technology that enables self-driving cars to “see” the road and anticipate hazards ahead comes in three varieties. Tesla Autopilot uses cameras, which Tesla CEO Elon Musk has lauded for operating naturally, like a human driver’s eye — but they have the same limitations as a human eye when conditions deteriorate, too.
Lidar, used by Waymo and, soon, Rivian, deploys pulses of light that bounce off objects and return to sensors to create 3D images of the surrounding environment. Lidar struggles in snowy conditions because the sensors also absorb airborne particles, including moisture and flakes. (Not to mention, lidar is up to 32 times more expensive than Tesla’s comparatively simple, inexpensive cameras.) Radar, the third option, isn’t affected by darkness, snow, fog, or rain, using long radio wavelengths that essentially bend around water droplets in the air. But it also has the worst resolution of the bunch — it’s good at detecting cars, but not smaller objects, such as blown tire debris — and typically needs to be used alongside another sensor, like lidar, as it is on Waymo cars.
Driving in the snow is still “definitely out of the domain of the current robotaxis from Waymo or Baidu, and the long-haul trucks are not testing those conditions yet at all,” Waslander said. “But our research has shown that a lot of the winter conditions are reasonably manageable.”
To boot, Waymo is now testing its vehicles in Tokyo and London, with Denver, Colorado, set to become the first true “winter city” for the company. Waymo also has ambitions to expand into New York City, which received nearly 12 inches of snow last week during Winter Storm Fern.
But while scientists are still divided on whether climate change is increasing instances of polar vortices — which push extremely cold Arctic air down into the warmer, moister air over the U.S., resulting in heavy snowfall — we do know that as the planet warms, places that used to freeze solid all winter will go through freeze-thaw-refreeze cycles that make driving more dangerous. Freezing rain, which requires both warm and cold air to form, could also increase in frequency. Variability also means that autonomous vehicles will need to navigate these conditions even in presumed-mild climates such as Georgia.
Snow and ice throw a couple of wrenches at autonomous vehicles. Cars need to be taught how to brake or slow down on slush, soft snow, packed snow, melting snow, ice — every variation of winter road condition. Other drivers and pedestrians also behave differently in snow than in clear weather, which machine learning models must incorporate. The car itself will also behave differently, with traction changing at critical moments, such as when approaching an intersection or crosswalk.
Expanding the datasets (or “experience”) of autonomous vehicles will help solve the problem on the technological side. But reduced sensor accuracy remains a big concern — because you can only react to hazards you can identify in the first place. A crust of ice over a camera or lidar sensor can prevent the equipment from working properly, which is a scary thought when no one’s in the driver’s seat.
As Waslander alluded to, there are a few obvious coping mechanisms for robotaxi and autonomous vehicle makers: You can defrost, thaw, wipe, or apply a coating to a sensor to keep it clear. Or you can choose something altogether different.
Recently, a fourth kind of sensor has entered the market. At CES in January, the company Teradar demonstrated its Summit sensor, which operates in the terahertz band of the electromagnetic spectrum, a “Goldilocks” zone between the visible light used by cameras and the human eye and radar. “We have all the advantages of radar combined with all the advantages of lidar or camera,” Gunnar Juergens, the SVP of product at Teradar, told me. “It means we get into very high resolution, and we have a very high robustness against any weather influence.”
The company, which raised $150 million in a Series B funding round last year, says it is in talks with top U.S. and European automakers, with the goal of making it onto a 2028 model vehicle; Juergens also told me the company imagines possible applications in the defense, agriculture, and health-care spaces. Waslander hadn’t heard of Teradar before I told him about it, but called the technology a “super neat idea” that could prove to be a “really useful sensor” if it is indeed able to capture the advantages of both radar and lidar. “You could imagine replacing both with one unit,” he said.
Still, radar and lidar are well-established technologies with decades of development behind them, and “there’s a reason” automakers rely on them, Waslander told me. Using the terahertz band, “there’s got to be some trade-offs,” he speculated, such as lower measurement accuracy or higher absorption rates. In other words, while Teradar boasts the upsides of both radar and lidar, it may come with some of their downsides, too.
Another point in Teradar’s favor is that it doesn’t use a lens at all — there’s nothing to fog, freeze, or salt over. The sensor could help address a fundamental assumption of autonomy — as Juergen put it, “if you transfer responsibility from the human to a machine, it must be better than a human.” There are “very good solutions on the road,” he went on. “The question is, can they handle every weather or every use case? And the answer is no, they cannot.” Until sensors can demonstrate matching or exceeding human performance in snowy conditions — whether through a combination of lidar, cameras, and radar, or through a new technology such as Teradar’s Summit sensor — this will remain true.
If driving in winter weather can eventually be automated at scale, it could theoretically save thousands of lives. Until then, you might still consider using that empty parking lot nearby to brush up on your brake pumping.
Otherwise, there’s always Phoenix; I’ve heard it’s pleasant this time of year.
Current conditions: After a brief reprieve of temperatures hovering around freezing, the Northeast is bracing for a return to Arctic air and potential snow squalls at the end of the week • Cyclone Fytia’s death toll more than doubled to seven people in Madagascar as flooding continues • Temperatures in Mongolia are plunging below 0 degrees Fahrenheit for the rest of the workweek.
Secretary of the Interior Doug Burgum suggested the Supreme Court could step in to overturn the Trump administration’s unbroken string of losses in all five cases where offshore wind developers challenged its attempts to halt construction on turbines. “I believe President Trump wants to kill the wind industry in America,” Fox Business News host Stuart Varney asked during Burgum’s appearance on Tuesday morning. “How are you going to do that when the courts are blocking it?” Burgum dismissed the rulings by what he called “court judges” who “were all at the district level,” and said “there’s always the possibility to keep moving that up through the chain.” Burgum — who, as my colleague Robinson Meyer noted last month, has been thrust into an ideological crisis over Trump’s actions toward Greenland — went on to reiterate the claims made in a Department of Defense report in December that sought to justify the halt to all construction on offshore turbines on the grounds that their operation could “create radar interference that could represent a tremendous threat off our highly populated northeast coast.” The issue isn’t new. The Obama administration put together a task force in 2011 to examine the problem of “radar clutter” from wind turbines. The Department of Energy found that there were ways to mitigate the issue, and promoted the development of next-generation radar that could see past turbines.
The Trump administration, meanwhile, is facing accusations of violating the Constitution with its orders to keep coal-fired power stations operating past planned retirement. By mandating their coal plants stay open, two electrical cooperatives in Colorado said the Energy Department’s directive “constitutes both a physical taking and a regulatory taking” of property by the government without just compensation or due process, Utility Dive reported.
Back in December, the promise of a bipartisan deal on permitting reform seemed possible as the SPEED Act came up for a vote in the House. At the last minute, however, far-right Republicans and opponents of offshore wind leveraged their votes to win an amendment specifically allowing President Donald Trump to continue his attempts to kill off the projects to build turbines off the Eastern Seaboard. With key Democrats in the Senate telling Heatmap’s Jael Holzman that their support hinged on legislation that did the opposite of that, the SPEED Act stalled out. Now a new bipartisan bill aims to rectify what went wrong. The FREEDOM Act — an acronym for “Fighting for Reliable Energy and Ending Doubt for Open Markets” — would prevent a Republican administration from yanking permits from offshore wind or a Democratic one from going after already-licensed oil and gas projects, while setting new deadlines for agencies to speed up application reviews. I got an advanced copy of the bill Monday night, so you can read the full piece on it here on Heatmap.
One element I didn’t touch on in my story is what the legislation would do for geothermal. Next-generation geothermal giant Fervo Energy pulled off its breakthrough in using fracking technology to harness the Earth’s heat in more places than ever before just after the Biden administration completed work on its landmark clean energy bills. As a result, geothermal lost out on key policy boosts that, for example, the next-generation nuclear industry received. The FREEDOM Act would require the government to hold twice as many lease sales on federal lands for geothermal projects. It would also extend the regulatory shortcuts the oil and gas industry enjoys to geothermal companies.
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Take a look at the above chart. In the United States, new gas power plants are surging to meet soaring electricity demand. At last count, two thirds of projects currently underway haven’t publicly identified which manufacturer is making their gas turbines. With the backlog for turbines now stretching to the end of the decade, Siemens Energy wants to grow its share of booming demand. The German company, which already boasts the second-largest order book in the U.S. market, is investing $1 billion to produce more turbines and grid equipment. “The models need to be trained,” Christian Bruch, the chief executive of Siemens Energy, told The New York Times. “The electricity need is going to be there.”
While most of the spending is set to go through existing plants in Florida and North Carolina, Siemens Energy plans to build a new factory in Mississippi to produce electric switchgear, the equipment that manages power flows on the grid. It’s hardly alone. In September, Mitsubishi announced plans to double its manufacturing capacity for gas turbines over the next two years. After the announcement, the Japanese company’s share price surged. Until then, investors’ willingness to fund manufacturing expansions seemed limited. As Heatmap’s Matthew Zeitlin put it, “Wall Street has been happy to see developers get in line for whatever turbines can be made from the industry’s existing facilities. But what happens when the pressure to build doesn’t come from customers but from competitors?” Siemens just gave its answer.
At his annual budget address in Harrisburg, Pennsylvania Governor Josh Shapiro touted Amazon’s plans to invest $20 billion into building two data center campuses in his state. But he said it’s time for the state to become “selective about the projects that get built here.” To narrow the criteria, he said developers “must bring their own power generation online or fully fund new generation to meet their needs — without driving up costs for homeowners or businesses.” He insisted that data centers conserve more water. “I know Pennsylvanians have real concerns about these data centers and the impact they could have on our communities, our utility bills, and our environment,” he said, according to WHYY. “And so do I.” The Democrat, who is running for reelection, also called on utilities to find ways to slash electricity rates by 20%.
For the first time, every vehicle on Consumer Reports’ list of top picks for the year is a hybrid (or available as one) or an electric vehicle. The magazine cautioned that its endorsement extended to every version of the winning vehicles in each category. “For example, our pick of the Honda Civic means we think the gas-only Civic, the hybrid, and the sporty Si are all excellent. But for some models, we emphasize the version that we think will work best for most people.” But the publication said “the hybrid option is often quieter and more refined at speed, and its improved fuel efficiency usually saves you money in the long term.”
Elon Musk wants to put data centers in space. In an application to the Federal Communications Commission, SpaceX laid out plans to launch a constellation of a million solar-powered data centers to ease the strain the artificial intelligence boom is placing on the Earth’s grids. Each data center, according to E&E News, would be 31 miles long and operate more than 310 miles above the planet’s surface. “By harnessing the Sun’s abundant, clean energy in orbit — cutting emissions, minimizing land disruption, and reducing the overall environmental costs of grid expansion — SpaceX’s proposed system will enable sustainable AI advancement,” the company said in the filing.