Sparks
Utilities Asked for a Lot More Money From Ratepayers Last Year
A new PowerLines report puts the total requested increases at $31 billion — more than double the number from 2024.
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A new PowerLines report puts the total requested increases at $31 billion — more than double the number from 2024.
The battery recycling company announced a $425 million Series E round after pivoting to power data centers.
A federal judge in Massachusetts ruled that construction on Vineyard Wind could proceed.
On aluminum smelting, Korean nuclear, and a geoengineering database
With historic lows projected for the next two weeks — and more snow potentially on the way — the big strain may be yet to come.
Current conditions: Winter Storm Fern buried broad swaths of the country, from Oklahoma City to Boston • Intense flooding in Zimbabwe and Mozambique have killed more than 100 people • South Australia’s heat wave is raging on, raising temperatures as high as 113 degrees Fahrenheit.
The United States’ aging grid infrastructure faces a test every time the weather intensifies, whether that’s heat domes, hurricanes, or snow storms. The good news is that pipeline winterization efforts that followed the deadly blackouts in 2021’s Winter Storm Uri made some progress in keeping everything running in the cold. The bad news is that nearly a million American households still lost power amid the storm. Tennessee, Mississippi, and Louisiana were the worst hit, with hundreds of thousands of households left in the dark, according to live data on the Power Outage tracker website. Georgia and Texas followed close behind, with roughly 75,000 customers facing blackouts. Kentucky had the next-most outages, with more than 50,000 households disconnected from the grid, followed by South Carolina, West Virginia, North Carolina, Virginia, and Alabama. Given the prevalence of electric heating in the typically-warmer Southeast, the outages risked leaving the blackout region without heat. Gas wasn’t entirely reliable, however. The deep freeze in Texas halted operations at roughly 10% of the Gulf Coast’s petrochemical facilities and refineries, Bloomberg reported.
On Saturday, right before Winter Storm Fern began, the Department of Energy issued its first emergency order of the year to deploy backup generation in Texas in hopes of avoiding a repeat of Uri. As of Sunday evening, data from Electric Reliability Council of Texas, the state’s grid operator, showed natural gas providing nearly 60% of the electricity on the wires, with coal and wind neck-and-neck for second place and solar in a close fourth. It’s a relief that the grid is holding. But the overreliance on fossil fuels isn’t a good long-term strategy. While “climate change deniers love to use major winter storms as ‘proof’ that global warming isn’t real,” my colleague Jeva Lange wrote last week, “in the case of this weekend’s polar vortex, there is evidence that Arctic warming is responsible for the record cold temperature projections across the United States.”

The National Oceanic and Atmospheric Administration finalized a rule last week clearing the way for companies to apply for the right to mine the deep ocean floor. Under the new rules, applications for commercial and exploratory licenses are streamlined into a single process, cutting the number of required environmental assessments and public comment hearings in half. The day after the final rule came out, The Metals Company, the leading startup racing to collect mineral-rich nodules from largely unexplored depths of international waters, submitted an application to mine an area roughly twice the size of its original plans. “Nearly 50 years after this industry took shape, it’s ready to move forward,” the company told The New York Times. But opposition to deep-sea mining is mounting as environmentalists highlight the risk the industry poses to a scarcely understood and still remarkably untouched ecosystem. A corporate campaign to oppose deep sea mining just added the solar giant Sunrun to its petition, as I told you last week.
Tesla has officially discontinued Autopilot, its basic self-driving software, in the U.S. and Canada. All new car purchases now come with standard Traffic-Aware Cruise Control, Sawyer Merritt, a self-described Tesla investor with a prolific social media presence, wrote in a post on X. The move, according to TechCrunch, is designed to boost adoption of Tesla’s more advanced Full Self-Driving setting. But it’s also in response to a courtroom loss in the company’s biggest market. Last month, a judge in California ruled that Tesla engaged in deceptive marketing by overstaying the capabilities of both Autopilot and FSD for years. The California Department of Motor Vehicles, which originally brought the case, gave Tesla two months to comply with the ruling by dropping the Autopilot name.
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New York Governor Kathy Hochul is going all in on nuclear power. She started off last year at the helm of a new multi-state alliance working on building more reactors. Over the summer, she directed the state-owned power authority to oversee construction of New York’s first new reactor since the 1980s. More recently, she inked a deal with Ontario to work together on building new plants and expanded her target fivefold to 5 gigawatts of new atomic energy in the state. Now she’s backed something a little more traditional but no less important. Last week, the state’s utility regulators extended subsidies for existing nuclear plants by another two decades in hopes of keeping aging reactors open until at least 2049.
In Denmark, meanwhile, the government has officially started considering building small modular reactors and lifting the nuclear ban the parliament put into effect 40 years ago. “Green energy from solar and wind is now and will continue to be the backbone of the Danish energy supply, but we can also see that it cannot stand alone,” Lars Aagaard, Denmark’s climate, energy and utilities minister, said in a statement. “We must be open to examining whether other technologies can provide us with green energy in the future. Small modular nuclear reactors may be an option.”
Standard Nuclear, a startup producing TRISO atomic fuel required by several of the nation’s leading small modular reactor designs, has raised $140 million in Series A funding. The investment round was led by Decisive Point, with first-time backing from Chevron Technology Ventures, StepStone Group, and XTX Ventures. Several existing investors, including Fundomo, Andreessen Horowitz, and Crucible Capital, increased their stakes. The financing will support Standard Nuclear’s plans to expand TRISO production to over 2 metric tons per year at multiple sites across the country. The timeline, the company said, is “rapid” and will take place by mid-2026. “With this funding, we are positioned to accelerate our roadmap, scale operations, and deliver on the promise to fuel the next generation of reactors powering industry, defense, and space,” Kurt Terrani, Standard Nuclear’s chief executive, said in a statement.
While TRISO was invented decades ago, the fuel — which has extra layers of ceramic coating that are meant to make a meltdown virtually impossible — is making a comeback as the go-to material for next-generation reactors designed to reach higher temperatures by using coolants other than water. Standard Nuclear has also inked a deal with the nuclear recycling company SHINE Technologies to work on reprocessing radioactive waste into fresh fuel.
Years ago, at a lecture about the spread of Lyme disease in the New York area, I learned that opossums eat thousands of ticks every season. That information totally changed my perception of a rodent that previously creeped me out. Well, it turns out kestrels — colorful, predatory birds — serve a similar function on fruit farms. New research in the Journal of Applied Ecology suggests kestrels keep harmful pathogens off fruit by eating and scaring off small birds that carry those diseases. Orchards that housed the birds in nest boxes saw fewer cherry-eating birds than orchards without, translating to what Inside Climate News described as a 81% reduction in crop damage.
It was a big week for geothermal.
Practically every week brings a flood of climate tech funding news and announcements — startups raising a new round, a venture capital firm closing a fresh fund, and big projects hitting (and missing) milestones. Going forward, I’ll close out each week with a roundup of some of the biggest stories that I didn’t get a chance to cover in full.
This week, we’ve got money for electric ships, next-gen geothermal, and residential electrification in Europe. Yay!
Many say battery-powered cargo ships will never make sense — that batteries are too heavy, too bulky, and would take up too much valuable space. Fleetzero says it can make it work. Last Friday, the electric shipping startup raised a $43 million Series A round led by Obvious Ventures, with participation from other firms including Maersk Growth, the shipping giant’s corporate venture arm, and Breakthrough Energy Ventures. The funding will support production of the company’s hybrid and electric propulsion systems, as well as new manufacturing and R&D operations in Houston.
Ships’ bunker fuel is extremely polluting. It accounts for roughly 3% of global CO2 emissions and dirties the air with other pollutants such as sulfur and nitrogen oxides. Most players in the shipping decarbonization space want to shift to liquid fuels such as e-ammonia or e-methanol — a move that would require mulit-million-dollar engine overhauls and retrofits. Fleetzero says that battery electrification will prove to be cheaper and simpler. The company is building batteries large enough to hybridize — and potentially one day fully electrify — large container ships.
As Fleetzero’s CEO and co-founder Steven Henderson told my colleague Robinson Meyer on a 2024 episode of Heatmap’s Shift Key podcast, batteries are a relatively simple maritime decarbonization solution because “you can use existing infrastructure and build on it. You don’t need a new fundamental technology to do this.” And while the company has yet to provide any cost estimates for electrifying commercial shipping, as Henderson put it, “the numbers to do this are not outside the realm of possibility.”
The next-generation geothermal startup Sage Geosystems announced on Wednesday that it raised a $97 million Series B round, co-led by the renewable energy company Ormat Technologies and the growth equity firm Carbon Direct Capital. This came atop a hot week for geothermal overall. As I wrote already, the artificial intelligence-powered geothermal developer Zanskar announced a $115 million Series C round for its pursuit of AI-driven conventional geothermal, while Axios reported that the geothermal unicorn Fervo Energy has filed for an IPO.
Like Fervo, Sage uses drilling technology adapted from the oil and gas industry to create its own artificial reservoirs in hot, dry rock. The startup then pumps these fractures full of water, where it absorbs heat from the surrounding rocks before being brought to the surface as steam that’s used to generate electricity. Sage’s CEO, Cindy Taff — a former Shell executive — told Bloomberg that this latest investment will accelerate the company’s project timeline by a full year or two, allowing it to put power on Nevada’s grid sometime in 2027.
This latest funding follows Sage’s strategic partnership with Ormat, announced last year, and could help the startup make good on its agreement with Meta to deliver up to 150 megawatts of clean electricity for the tech giant’s data centers starting in 2027.
Berlin-based startup Cloover — which helps Europeans finance home electrification upgrades — announced a $22 million Series A round on Wednesday, alongside a $1.2 billion debt facility from an unnamed “leading European bank” that it can draw on. The company, which describes itself as both the “operating system for energy independence” and the “Shopify of Energy,” aims to help homeowners ditch fossil fuels by facilitating loans to cover the upfront cost of, say, buying and installing heat pumps, rooftop solar, or home batteries — something traditional banks struggle to finance.
Cloover’s fintech platform allows home energy installers to manage complex projects while offering loans for green upgrades to customers at the point of sale. The software’s AI-driven credit underwriting evaluates not just a customer’s credit score, but also the projected energy savings and performance of the upgrade itself, helping align the price and terms of borrowing with the anticipated economic value of the asset.
Forbes reports that Cloover has already financed roughly 2,500 home energy installations. The company says it’s profitable, generating nearly $100 million in sales last year. With this new funding, the startup plans to expand across Europe and is projecting $500 million in sales this year, anticipating an explosion in demand for distributed energy resources.
One of the oldest players in the race to commercialize fusion energy, General Fusion, has been candid about its recent funding struggles, laying off 25% of its staff last spring while publicly pleading for more cash. This Thursday, it announced a lifeline: a SPAC merger that will provide the company with up to $335 million, if all goes according to plan. Read more about the deal in our Heatmap AM newsletter.