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Climate

The LNG Lawsuit Everyone Saw Coming

On Biden’s big legal challenge, the Ukraine war, and sea levels

Briefing image.
The WMO Just Issued a Climate ‘Red Alert’
Heatmap Illustration/Getty Images

Current conditions: The air quality in Birmingham, Alabama, is “moderate” due to smoke from planned fires • Tourists in drought-stricken Barcelona are being asked to conserve water • It’s 103 degrees Fahrenheit in South Sudan. Tomorrow will be even hotter.

THE TOP FIVE

1. 16 states sue Biden administration over LNG pause

Sixteen Republican-led states are suing the Biden administration over its pause on approvals for new liquified natural gas export terminals. The White House announced the pause in January, saying it wanted the Energy Department to first study the effect LNG projects have on the climate. The lawsuit claims this move was illegal and that there should have been a regulatory process giving key stakeholders a voice in the final decision. The U.S. is the biggest exporter of LNG in the world. Gas is “cleaner” to burn than coal, but the emissions footprint of transporting LNG is potentially massive, which is why climate activists celebrated the pause. But the decision was slammed by the fossil fuel industry and some advocates who say gas is “crucial for discouraging coal use in developing nations,” Bloomberg explained, adding: “The White House’s move struck at the heart of the debate over the future of energy.”

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  • 2. White House tells Ukraine to stop targeting Russian oil refineries

    Washington has told Ukraine to stop targeting Russia’s energy infrastructure because its attacks could cause global oil prices to rise and push the Kremlin to retaliate, the Financial Times reported. A military intelligence official told the paper that there have been at least 12 attacks on Russian oil refineries since 2022, nine of which occurred this year. There have also been attacks on terminals and storage infrastructure. “Russia remains one of the world’s most important energy exporters despite western sanctions on its oil and gas sector,” the FT said. Gas prices have risen almost 15% already this year, putting pressure on President Biden leading into the November election.

    3. NASA: Sea levels saw ‘relatively large jump’ last year

    The global average sea level rose by about 0.3 inches between 2022 and 2023, according to NASA. This is a “relatively large jump,” the agency said, driven by climate change and El Niño. Since 1993, the global average sea level has risen by 4 inches and the rate of rise is accelerating. In 1993, sea levels rose by about .07 inches per year.

    NASA

    “Current rates of acceleration mean that we are on track to add another 20 centimeters [nearly 8 inches] of global mean sea level by 2050, doubling the amount of change in the next three decades compared to the previous 100 years and increasing the frequency and impacts of floods across the world,” said Nadya Vinogradova Shiffer, director for the NASA sea level change team and the ocean physics program in Washington.

    4. Countries pledge to double down on nuclear energy expansion

    A group of 35 countries have pledged to “work to fully unlock the potential of nuclear energy” in the quest for energy security and emissions reductions. The relatively vague commitment, cosigned by the U.S., China, Britain, and Saudi Arabia, emerged from the first-ever Nuclear Energy Summit in Brussels yesterday. It says countries will help extend the lives of existing nuclear reactors, construct new ones, and support deployment of advanced reactors. “Generating electricity using nuclear fission remains a divisive issue that cuts across partisan lines,” wrote Nicole Pollack at Heatmap. Some environmental groups see the risk of nuclear disasters as too high, while others see it as a reliable low-carbon energy resource that’s available to us right now. “Without the support of nuclear power, we have no chance to reach our climate targets on time,” said International Energy Agency chief Fatih Birol.

    5. Biden administration to award $6.3 billion for projects to decarbonize heavy industries

    In the coming days, the Biden administration is expected to announce which projects will receive a cut of some $6.3 billion in funding to help decarbonize the U.S. industrial sector, Bloomberg reported. Heavy industry contributes nearly one third of the nation’s primary energy-related carbon dioxide, according to the Department of Energy, so slashing emissions here without hurting the economy is a priority. The Industrial Demonstrations Program aims to kickstart the process by focusing on the big emitters, like iron, steel, cement and concrete, chemicals, food and drink, aluminum, and paper products. “We hear every day about industrial companies that are interested in decarbonizing their plants, but the initial costs can be daunting,” Nora Esram, a senior director for research with the American Council for an Energy-Efficient Economy nonprofit, told Bloomberg. “The federal funds are geared to enable them to invest in new technologies to cut emissions while supporting community development.” The announcement could come as soon as Monday.

    THE KICKER

    New York’s JFK airport is getting a large EV charging station that will be open to the public 24/7.

    Yellow

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    Energy

    Sunrun, Tesla, and Renew Home Have 16 Gigawatts Up For Grabs

    The companies just launched a major VPP play.

    Tesla, Sunrun, and Renew Home logos.
    Heatmap Illustration/Getty Images

    For all the hype surrounding virtual power plants, they’re still a niche player on the U.S. electric grid. A new partnership between three of the biggest residential energy companies in the country — Tesla, Sunrun, and Renew Home — aims to recast VPPs into a leading role.

    The companies announced on Wednesday that they have more than 16 gigawatts of dispatchable VPP capacity available today to deliver to utilities and data center developers throughout the country. That’s about the same as 16 nuclear reactors, except instead of generating power round the clock from a central plant, the companies aggregate unused electricity capacity from thousands of individual home solar and battery systems and programmable thermostats, and can make it available for several hours at a time.

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    Green
    AM Briefing

    Save Nuclear Plants. Live Better.

    On Trump’s AP1000 deal, Utah solar, Canadian cobalt

    Walmart.
    Heatmap Illustration/Getty Images

    Current conditions: The warehouse fire in Boyle Heights is raging for a third day, spewing dark smoke over the Downtown Los Angeles skyline • The death toll from Western Europe’s heatwave has reached into the dozens • An 18-wheeler carrying more than 400 beehives overturned in eastern Texas and filled a small neighborhood with more than 2 million honeybees.


    THE TOP FIVE

    1. Walmart inks a major deal for nuclear energy

    Wally World is soon to be powered by the atom. On Tuesday, Walmart announced a 15-year deal with Constellation, the nation’s largest operator of nuclear plants, for a chunk of the electricity coming from the Dresden Clean Energy Center in Illinois. The agreement included about 176 megawatts of wholesale supply from the two-reactor station southwest of Chicago, including 30 megawatts of expanded generating capacity through “uprates” — upgrades that allow operators to get more power out of an existing unit. Over the past two years, tech giants such as Google, Microsoft, and Meta, have bought shares of the power coming from nuclear power stations as the companies sought steady supplies of clean electricity for their burgeoning data centers. But the Walmart deal stands out as one of the first to involve a major brick-and-mortar retailer. “We’re constantly evaluating new capabilities and energy solutions that help ensure the electricity we rely on is dependable, responsibly produced, and built to support long-term growth,” Shayne Wahlmeier, Walmart’s senior vice president of energy, said in a statement.

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    Yellow
    Podcast

    How China Saved the World From Trump’s Energy Crisis

    Rob checks in with Commodity Context’s Rory Johnston as the Iran War (hopefully) draws to a close.

    Chinese oil.
    Heatmap Illustration/Getty Images

    When Iran closed the Strait of Hormuz earlier this year, experts projected oil prices would go to $200 a barrel. But then… they didn’t. In fact, while gasoline prices rose in the United States, and Europe and Asia suffered higher costs, the resulting energy crisis wasn’t even as bad as what followed Russia’s 2022 invasion of Ukraine.

    Why? China. The country seems to have absorbed the costs of Trump’s war of choice by releasing hundreds of millions of barrels from its strategic stockpile. On this episode of Shift Key, Rob is joined by Rory Johnston, an oil markets researcher and the author of the Commodity Context newsletter. They discuss China’s massive (and quiet) intervention, why it’s “the most important thing we learned” from the Iran War, and what it means for the future of energy and geopolitics. Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap News.

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