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Skiers, snowboarders, and cross-country athletes are in mourning for snow.

On January 15, as the first major winter storm of the season screeched across the U.S., Minneapolis’ Theodore Wirth Regional Park remained cold, hard, and — most stubbornly — brown. “We continue to be denied any measurable amount of snow,” read the park’s trail report for the day. “Frozen dandruff-covered dirt is our destiny for the time being.”
In a few weeks, over Presidents Day weekend, the park is scheduled to host the United States’ first cross country skiing World Cup in more than 20 years. For an event like that, “dandruff-covered dirt” simply will not cut it. “We’re really excited to have a great event there with tons of friends and family,” Gus Schumacher, a 2022 Winter Olympian in skiathlon, told me. While he still has hope, the Twin Cities’ snow deficit remains around 18 inches for the season. “We have to cross our fingers for some winter in the next month,” he said.
For the 30 million Americans who enjoy snow sports every year, this sort of finger-crossing has become as much of a pre-season ritual as tightening bindings and waxing skis. While scientists have long taken note of dwindling snowpack — the Fifth National Climate Assessment, released last year, specifically cited winter recreation as a pending cultural and economic victim of climate change — data had only shakily linked snow level to human-driven warming until recently. This month, a study published in Nature confirmed that it’s not all in our heads: Some parts of the U.S. are losing 10% to 20% of their snowpack per decade because of anthropogenic climate change.
Perhaps even more concerning, the study’s authors found that snow loss has a tipping point: Once the average winter temperature in a region warms beyond 17 degrees Fahrenheit (-8 degrees Celsius), snow loss rapidly accelerates, even with small temperature rises.
In spite of headlines about arctic blasts and photos of buried football fields, snow levels in many parts of the country have remained worryingly low at the midpoint of this year’s meteorological winter — and temperatures, on average, remain high. In early January, most ski areas in the U.S. were only operating half of their lifts, “which is unusual for this time of year,” Chance Keso, a senior news producer for On the Snow, which tracks ski conditions, told me. “Typically,” he explained, “we would see most resorts almost all completely open by this time of year.”
The recent storm systems have helped somewhat, Keso said — Alyeska, a ski area in Alaska, “passed the 400 inches mark a few weeks ago.” But even Buffalo, which received record snow in January, is tracking behind average when the whole season is considered. In California, where the ski industry is a $1.6 billion business, snowpack is only 57% of normal.
Likewise, meteorologist Sven Sundgaard wrote for Minneapolis’ Bring Me the News that this winter has been “pretty weak” in Minnesota. It has been cold, no doubt, and yet “nowhere in the state reached 25 [degrees Fahrenheit] below zero, which should EASILY happen in a January cold snap in northern Minnesota, even in our much warmer climate,” he said. (This week, temperatures are expected to be 10 to 15 degrees above normal across the state.) On the Snow reported that, as of Monday, “snowpack levels across Minnesota are currently 73% of normal.”
Counterintuitive as it may be, researchers expect climate change to bring more snow to certain places, as extremely cold parts of the world warm to more snow-friendly temperatures and increased precipitation from a warmer atmosphere results in more flurries. Parts of Siberia and the northern Great Plains appear to be experiencing a deepening snowpack of over 20% per decade, Justin Mankin and Alexander Gottlieb, the co-authors of the Nature paper, found in their research. But just because snow loss hasn’t hit an area yet doesn’t mean it won’t soon; “basins that are hovering right at the edge of that cliff, for whom major snow losses have not yet emerged, are about to see the snow losses emerge,” Mankin said.
Despite the worries about Minnesota’s upcoming World Cup, Susanna Sieff — the sustainability director for the Switzerland-based International Ski and Snowboard Federation (known by its French initials, FIS) — told me that event cancellations for the six Olympic snow sport disciplines this season have so far “been on par with previous seasons.” A spate of foiled World Cups in Zermatt, Italy, Beaver Creek, Colorado, and the French Alps in late 2023, she said, was “due to inclement weather and not lack of snowfall.”
Still, Sieff admitted that “for those that needed a wake-up call, the last few years have certainly provided it.” 2022 was especially bad for competitive ski and snowboarding — the organization canceled seven of its eight early-season World Cups for lack of snow. This month, FIS released an updated sustainability action plan that runs through the 2026 season and includes a particular focus on mitigation, environmental justice, and responsible stewardship. (Protect Our Winters, an environmental advocacy group that put me in touch with Schumacher, the ski athlete who serves as one of their ambassadors, has pressured FIS to be more transparent given the existential crisis facing competitive snow sports. My father is a longtime FIS event volunteer.)
Resort operators are increasingly using machine-made snow as a fall-back plan — as Schumacher told me, in cross-country, “we ski on warm, manmade snow far more than was the case 10 years ago.” It’s also common for XC events to move to alternate venues where snow can be stretched further. For example, Lillehammer, Norway has hosted a World Cup race in nine of the past 10 years. But “since I came on the World Cup in 2020, we haven’t been able to use the marquee trails built for the 1994 Olympics,” Schumacher said.
Even this “fake” snow is imperiled. “Snowmaking is not a climate solution,” the National Ski Areas Association, an industry group, has made clear. “It is an operational tool.”
It’s also expensive. Snowmaking can eat up to 15% of a ski area’s operating budget, draining the pockets of small and independent resorts. The consequence is yet another illustration of how climate change hits “the most vulnerable system and the most vulnerable people in that system,” Mankin said. “The ski industry is a really clear example of where you’re going to see consolidation onto better resourced, higher, more exclusive mountains that have the ability to produce human-made snow — and which are more difficult for the general population to access.”
Since the 1970s, ski areas in the U.S. have dwindled from roughly 1,000 locations to only about 470, according to SnowBrains, a ski and snowboard publication. It’s a trend climate change is helping to accelerate. That, of course, means fewer areas for athletes to compete and practice, as well as fewer local hills and trails for would-be athletes to fall in love with the sport.
For those in the snow sports world, this is nothing short of heartbreaking. The average American already doesn’t watch snow sports and “shouldn’t really care” whether cross-country or downhill skiing competitions survive, Schumacher told me. But the consequences are bigger than just competitive and recreational snow sports having shorter seasons of poorer quality or becoming more exclusive. A lack of snow is also about critical watersheds that are strained when snow doesn’t fall in the mountains, leaving ecosystems damaged and agriculture unirrigated. Heck, it’s about hardy, stoic Minnesotans losing what it means to be hardy, stoic Minnesotans. “What they should care about,” Schumacher said of his fellow Americans, “is the effects of climate change that come after the death of snow sport as we know it.”
Mankin told me something similar. “What happens in winter,” he warned, “doesn’t stay in winter.”
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On Thacker Pass, the Bonneville Power Administration, and Azerbaijan’s offshore wind
Current conditions: New York City is bracing for triple-digit heat in some parts of the five boroughs this week • The warm-up along the East Coast could worsen the drought parching the country’s southeastern shores • After Sunday reached 95 degrees Fahrenheit in the war-ravaged Gaza, temperatures in the Palestinian enclave are dropping back into the 80s and 70s all week.
Assuming world peace is something you find aspirational, here’s the good news: By all accounts, President Donald Trump’s two-day summit in Beijing with Chinese President Xi Jinping went well. Here’s the bad news: The energy crisis triggered by the Iran War is entering a grim new phase. Nearly 80 countries have now instituted emergency measures as the world braces for slow but long-predicted reverberations of the most severe oil shock in modern history. With demand for air conditioning and summer vacations poised to begin in the northern hemisphere’s summer, already-strained global supplies of crude oil, gasoline, diesel, and jet fuel will grow scarcer as the United States and Iran mutually blockade the Strait of Hormuz and halt virtually all tanker shipments from each other’s allies. “We are taking that outcome very seriously,” Paul Diggle, the chief economist at fund manager Aberdeen, told the Financial Times, noting that his team was now considering scenarios where Brent crude shoots up to $180 a barrel from $109 a barrel today. “We are living on borrowed time.”
The weekend brought a grave new energy concern over the conflict’s kinetic warfare. On Sunday, the United Arab Emirates condemned a drone strike it referred to as a “treacherous terrorist attack” that caused a fire near Abu Dhabi’s Barakah nuclear station. The UAE’s top English-language newspaper, The National, noted that the government’s official statement did not blame Iran explicitly. The attack came just a day after the International Atomic Energy Agency raised the alarm over drone strikes near nuclear plants after a swarm of more than 160 drones hovered near key stations in Ukraine last week.
We are apparently now entering the megamerger phase of the new electricity supercycle. On Friday, the Financial Times broke news that NextEra Energy is in talks with rival Dominion Energy for a tie-up that would create a more than $400 billion utility behemoth in one of the biggest deals of all time. The merger talks, which The Wall Street Journal confirmed, could be announced as early as this week. The combined company would reach from Dominion’s homebase of Virginia, where the northern half of the state is serving as what the FT called “the heartland of U.S. digital infrastructure serving the AI boom,” down to NextEra’s home-state of Florida, where the subsidiary Florida Power & Light serves roughly 6 million customers. While Dominion dominates data centers in Northern Virginia, NextEra last year partnered with Google to build more power plants and even reopen the Duane Arnold nuclear station in Iowa.

Trump digs lithium. In fact, he’s such a fan of Lithium Americas’ plan to build North America’s largest lithium mine on federal land in Nevada that he renegotiated a Biden-era deal to finance construction of the Thacker Pass project to secure a 5% equity stake in the publicly-traded developer. Yet the White House’s macroeconomic policies are pinching the nation’s lithium champion. During its first-quarter earnings call with investors last week, Lithium Americas cautioned that the Trump administration’s steel tariffs, coupled with inflation from disrupted shipments through the Strait of Hormuz, could add between $80 million and $120 million to construction costs at Thacker Pass. Most of the impact, Mining.com noted, is expected this year. Once mining begins, the project could spur new discussion of a strategic lithium reserve, the case for which Heatmap’s Matthew Zeitlin articulated here.
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The Department of Energy has selected Travis Kavulla, an energy industry veteran, as the 17th chief executive and administrator of the Bonneville Power Administration, NewsData reported. Founded under then-President Franklin D. Roosevelt in 1937, the federal agency is a holdover from the New Deal era before utilities had built out electrical networks in rural parts of the U.S. Unlike the Tennessee Valley Authority — which functions as a standalone utility that owns and sells power, though it’s wholly owned by the federal government and its board of directors is appointed by the White House — the BPA, as it’s known, is a power marketing agency that sells electricity from hydroelectric dams owned by the Army Corps of Engineers and the Department of the Interior’s Bureau of Reclamation. Kavulla currently serves as the head of policy for Base Power, the startup building a network of distributed batteries to back up the grid. He previously worked as the regulatory chief at the utility NRG Energy, and as a state utility commissioner in his home state of Montana. NewsData, a trade publication focused on Western energy markets, cautioned that the Energy Department may hold off on announcing the appointment for “the next few days or weeks” as sources warned that “it might be delayed while the department conducts a background check, or to allow the new undersecretary of energy, Kyle Haustveit, to be confirmed.”
Reached Sunday night via LinkedIn message, Kavulla politely declined to comment on whether he was appointed to lead the BPA.
Offshore wind may be spinning in reverse in the U.S. as the Trump administration attempts to, as Heatmap’s Jael Holzman put it, “murder” an industry through death by a thousand cuts. But elsewhere in the world, offshore wind is booming. Just look at Azerbaijan. Despite its vast reserves of natural gas, the nation on the Caspian Sea is looking into building its first offshore turbines. On Friday, offshoreWIND.biz reported that the Azerbaijan Green Energy Company, owned by the Baku-based industrial giant Nobel Energy, had commissioned a Spanish company to design a floating LiDAR-equipped buoy for the country’s first turbines in the Caspian. The debut project, backed by the Azeri government, would start with 200 megawatts of offshore wind and eventually triple in size.
Before the wealthy software entrepreneur Greg Gianforte ran to be governor of Montana, he donated millions of dollars to a Christian-themed museum that claims humans walked alongside dinosaurs and the Earth is just 6,000 years old. After winning the state’s top job, the Republican set about revoking virtually all policies related to climate change, including banning the projected effects of warming from state agencies’ risk forecasts. With drought withering the state, however, Gianforte has turned to perhaps the most ancient policy approach humanities leaders have called upon to fix devastating weather patterns: Pray. On Sunday, Gianforte declared an official day of prayer for rain. “Prayer is the most powerful tool we have,” he wrote in a post on X. “I ask all who are faithful to come to God with thanks and pray.”
With construction deadlines approaching, developers still aren’t sure how to comply with the new rules.
Certainty, certainty, certainty — three things that are of paramount importance for anyone making an investment decision. There’s little of it to be found in the renewable energy business these days.
The main vectors of uncertainty are obvious enough — whipsawing trade policy, protean administrative hostility toward wind, a long-awaited summit with China that appears to have done nothing to resolve the war with Iran. But there’s still one big “known unknown” — rules governing how companies are allowed to interact with “prohibited foreign entities,” which remain unwritten nearly a year after the One Big Beautiful Bill Act slapped them on just about every remaining clean energy tax credit.
The list of countries that qualify as “foreign entities of concern” is short, including Russian, Iran, North Korea, and China. Post-OBBBA, a firm may be treated as a “foreign-influenced entity” if at least 15% of its debt is issued by one of these countries — though in reality, China is the only one that matters. This rule also kicks in when there’s foreign entity authority to appoint executive officers, 25% or greater ownership by a single entity or a combined ownership of at least 40%.
Any company that wants to claim a clean energy tax credit must comply with the FEOC rules. How to calculate those percentages, however, the Trump administration has so far failed to say. This is tricky because clean energy projects seeking tax credits must be placed in service by the end of 2027 or start construction by July 4 of this year, which doesn’t leave them much time left to align themselves with the new rules.
While the Treasury Department published preliminary guidance in February, it largely covered “material assistance,” the system for determining how much of the cost of the project comes from inputs that are linked to those four nations (again, this is really about China). That still leaves the issue of foreign influence and “effective control,” i.e. who is allowed to own or invest in a project and what that means.
This has meant a lot of work for tax lawyers, Heather Cooper, a partner at McDermott Will & Schulte, told me on Friday.
“The FEOC ownership rules are an all or nothing proposition,” she said. “You have to satisfy these rules. It’s not optional. It’s not a matter of you lose some of the credits, but you keep others. There’s no remedy or anything. This is all or nothing.”
That uncertainty has had a chilling effect on the market. In February, Bloomberg reported that Morgan Stanley and JPMorgan had frozen some of their renewables financing work because of uncertainty around these rules, though Cooper told me the market has since thawed somewhat.
“More parties are getting comfortable enough that there are reasonable interpretations of these rules that they can move forward,” she said. “The reality is that, for folks in this industry — not just developers, but investors, tax insurers, and others — their business mandate is they need to be doing these projects.”
Some of the most frequent complaints from advisors and trade groups come around just how deep into a project’s investors you have to look to find undue foreign ownership or investment.
This gets complicated when it comes to the structures involved with clean energy projects that claim tax credits. They often combine developers (who have their own investors), outside investment funds, banks, and large companies that buy the tax credits on the transferability market.
These companies — especially the banks, which fund themselves with debt — “don’t know on any particular date how much of their debt is held by Chinese connected lenders, and therefore they’re not sure how the rules apply, and that’s caused a couple of banks to pull out of the tax equity market,” David Burton, a partner at Norton Rose Fulbright, told me. “It seems pretty crazy that a large international bank that has its debt trading is going to be a specified foreign entity because on some date, a Chinese party decided to take a large position in its debt.”
For those still participating in the market, the lack of guidance on debt and equity provisions has meant that lawyers are having to ascend the ladder of entities involved in a project, from private equity firms who aren’t typically used to disclosing their limited partners to developers, banks, and public companies that buy the tax credits.
“We’re having to go to private equity funds and say, hey, how many of your LPs are Chinese?” David Burton, a partner at Norton Rose Fulbright, told me. This is not information these funds are typically particularly eager to share. If a lawyer “had asked a private equity firm please tell us about your LPs, before One Big Beautiful Bill, they probably would have told us to go jump in the lake,” Burton said.
Still, the deals are still happening, but “the legal fees are more expensive. The underwriting and due diligence time is longer, there are more headaches,” he told me.
Typically these deals involve joint ventures that formed for that specific deal, which can then transfer the tax credits to another entity with more tax liability to offset. The joint venture might be majority owned by a public company, with a large minority position held by a private equity fund, Burton said.
For the public company, Burton said, his team has to ask “Are any of your shareholders large enough that they have to be disclosed to the SEC? Are any of those Chinese?” For the private equity fund, they have to ask where its investors are residents and what countries they’re citizens of. While private equity funds can be “relatively cooperative,” the process is still a “headache.”
“It took time to figure out how to write these certifications and get me comfortable with the certification, my client comfortable with it, the private equity firm comfortable with it, the tax credit buyer comfortable with it,” he told me, referring to the written legal explanation for how companies involved are complying with what their lawyers think the tax rules are.
Players such as the American Council on Renewable Energy hope that guidance will cut down on this certification time by limiting the universe of entities that will have to scrub their rolls of Chinese investors or corporate officers.
“It’d be nice if we knew you only have to apply the test at the entity that’s considered the tax owner of the project,” i.e. just the joint venture that’s formed for a specific project, Cooper told me.
“There’s a pretty reasonable and plain reading of the statute that limits the term ’taxpayer’ to the entity that owns the project when it’s placed in service,” Cooper said.
Many in the industry expect more guidance on the rules by the end of year, though as Burton noted, “this Treasury is hard to predict.”
In the meantime, expect even more work for tax lawyers.
“We’re used to December being super busy,” Burton said. “But it now feels like every month since the One Big Beautiful Bill passed is like December, so we’ve had, like, you know, eight Decembers in a row.”
Deep cuts to the department have left each staffer with a huge amount of money to manage.
The Department of Energy has an enviable problem: It has more money than it can spend.
DOE disbursed just 2% of its total budgetary resources in fiscal year 2025, according to a report released earlier this year from the EFI Foundation, a nonprofit that tracks innovations in energy. That figure is far lower than the 38% of funds it distributed the year prior.
While some of that is due to political whiplash in Washington, there is another, far more mundane cause: There simply aren’t that many people left to oversee the money. Thanks to the Department of Government Efficiency’s efforts, one in five DOE staff members left the agency. On top of that, Energy Secretary Chris Wright shuffled around and combined offices in a Kafkaesque restructuring. Short on workers and clear direction, the department appears unable to churn through its sizable budget.

Though Congress provides budgetary authority, agencies are left to allot spending for the programs under their ambit, and then obligate payments through contracts, grants, and loans. While departments are expected to use the money they’re allocated, federal staff have to work through the gritty details of each individual transaction.
As a result of its reduced headcount, DOE’s employees are each responsible for far more budgetary resources than ever before.
“DOE is facing its largest imbalance in its history,” Alex Kizer, executive vice president of EFI Foundation, told me. In fiscal year 2017, DOE budgeted around $4.7 million per full-time employee. In the fiscal year 2026 budget request, that figure reached $35.7 million per worker — about eight times more.
Part of that increase is the result of the unprecedented injection of funding into DOE from the 2021 Infrastructure Investment and Jobs Act and the 2022 Inflation Reduction Act. The pair of laws, which gave DOE access to $97 billion, comprised the United States’ largest investment to combat climate change in the nation’s history.
The epoch of federally backed renewable energy investment proved to be short-lived, however. Once President Trump retook office last year, his administration froze funds and initiated a purge of federal workers that resulted in 3,000 staffers (about one in five) leaving DOE through the Deferred Resignation Program. The administration canceled hundreds of projects, evaporating $23 billion in federal support.
While the One Big Beautiful Bill Act passed last summer depleted some of the IRA’s coffers and sunsetted many tax credits years early, it only rescinded about $1.8 billion from DOE, according to the EFI Foundation. Much of the IRA’s spending had already gone out the door or was left intact.
This leaves DOE in a strange position: Its budget is historically high, but its staffing levels have suffered an unprecedented drop.

Even before the short-lived Elon Musk-run agency took a chainsaw to the federal workforce, DOE struggled to hire enough people to keep up with the pace of funding demanded by the IRA’s funding deadlines. The Loan Programs Office, for example, was criticized for moving too slowly in shelling out its hundreds of billions in loan authority. According to a report from three ex-DOE staffers that Heatmap’s Emily Pontecorvo covered, the IRA’s implementation suffered from a lack of “highly skilled, highly talented staff” to carry out its many programs.
“The last year’s uncertainty and the staff cuts, the project cancellations, those increase an already tightening bottleneck of difficulty with implementation at the department,” Sarah Frances Smith, EFI Foundation’s deputy director, told me.
One former longtime Department of Energy staffer who asked not to be named because they may want to return one day told me that as soon as Trump’s second term started, funding disbursement slowed to a halt. Employees had to get permission from leadership just to pay invoices for projects that had already been granted funding, the ex-DOE worker said.
While the Trump administration quickly moved to hamstring renewable energy resources, staff were kept busy complying with executive orders such as removing any mention of diversity equity and inclusion from government websites and responding to automated “What did you do last week?” emails.
On top of government funding drying up, Kizer told me that the confusion surrounding DOE has had a “cooling effect on the private sector’s appetite to do business with DOE,” though the size of that effect is “hard to quantify.”
Under President Biden, DOE put a lot of effort into building trust with companies doing work critical to its renewable energy priorities. Now, states and companies alike are suing DOE to restore revoked funds. In a recent report, the Government Accountability Office warned, “Private companies, which are often funding more than 50 percent of these projects, may reconsider future partnerships with the federal government.”
Clean energy firms aren’t the only ones upset by DOE’s about-face. Even the Republican-controlled Congress balked at President Trump’s proposed deep cuts to DOE’s budget in its latest round of budget negotiations. Appropriations for fiscal year 2026 will be just slightly lower than the year before — though without additional headcount to manage it, the same difficulties getting money out the door will remain.
The widespread staff exit also appears to have slowed work supporting the administration’s new priorities, namely coal and critical minerals. LPO, which was rebranded the “Office of Energy Dominance Financing,” has announced only a few new loans since President Biden left office. Southern Company, which received the Office’s largest-ever loan, was previously backed by a loan to its subsidiary Georgia Power under the first Trump administration.
Despite Trump’s frequent invocation of the importance of coal, DOE hasn’t accomplished much for the technology besides some funding to keep open a handful of struggling coal plants and a loan to restart a coal gasification plant for fertilizer production that was already in LPO’s pipeline under Biden.
Even if DOE wanted to become an oil and gas-enabling juggernaut, it may not have the labor force it needs to carry out a carbon-heavy energy mandate.
“When you cut as many people as they did, you have to figure out who’s going to do the stuff that those people were doing,” said the ex-DOE staffer. “And now they’re going to move and going, Oh crap, we fired that guy.”