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A conversation with Kajsa Hendrickson, Carbon180’s director of policy

This week I spoke with Kajsa Hendrickson, director of policy at Carbon180, about why they’re eager to talk about the social concerns involved in direct air capture (DAC) and how conflicts over carbon pipelines are hurting DAC projects too. We talk a lot about renewables here on The Fight but DAC is a crucial part of decarbonization and it has a host of conflicts that’ll be familiar to our readers.
The following is an abridged version of our conversation. Let’s get started…
How do the conflicts over DAC compare to fights against solar and wind farms?
“There are a lot of overlaps in the conflicts that can exist between DAC and more traditional energy systems. That is the reality. The difference is, so much of DAC is being funded by the federal government so we want to see those higher standards come into play about where communities should be engaged, what engagement should entail.”
“Plus, DAC is fundamentally a public good. The goal of it is to do something that is benefiting all of us writ large and that’s why it can’t follow traditional extractive models coming out of even some of the solar industry.”
What do you mean by solar being extractive?
“The approach to communities tends to be, cool, his project is coming in, there’s going to be some jobs, here’s how it’s going. And there might be a community benefits process there.
“What we’d like to see with DAC, whether it’s funded by DOE or not, is ideally communities get a choice as to whether or not a project comes to them. Communities get some form of prior engagement in determining whether or not they’d like to host a DAC site.”
How does the conflict over the Summit Carbon Solutions CO2 pipeline impact local support for other forms of carbon management, especially DAC?
“Infrastructure around CO2 is going to be a pain point. We at Carbon180 don’t really advocate for or support CCS. That being said, how the pipelines are being deployed, how developers engage with communities on CCS, is going to very much influence DAC. We fundamentally see DAC as serving a public good and CCS not necessary, but that doesn’t change the fact they’re likely going to have shared infrastructure and that the two of them are often going to be paired together.”
“I can’t speak to any of the particular specific details on the Summit pipeline other than that we have been hearing concerns about that, and concerns about what that means for the CO2 landscape as a whole. Just like any other burgeoning industry, negative handling of any particular project is going to look bad for the rest of them. I’d love to see developers proactively engage communities effectively, focusing on their rights, to allow CO2 storage.”
So there’s a blast radius from Summit’s controversy?
“Very much so. DAC and CCS often get conflated. Well informed organizations still refer to them interchangeably. Regardless of whether we like it or not, pipelines are going to be an extremely big expense for DAC, something that doesn’t have as much of an immediate [thing] it’s selling – it’s already facing an uphill financial battle.”
Some in the environmental justice activism space are against DAC. What would you say to an activist who is a no on DAC?
“It’s funny because I actually have several friends who work in environmental justice and I have this conversation with them.”
“What I would say is that we’re a boat in the middle of the ocean. We have holes in the middle of the boat that are the carbon coming into the air. And first thing, foremost, we’ve got to plug the holes. You don’t prioritize bailing out the water before closing the holes. That’s why decarbonization and DAC have to go hand in hand, it can’t be one or the other.”
“I understand where the criticisms come from. Is DAC a false climate solution? Is this something that’s going to allow us to continue to perpetuate fossil fuels?”
“As we are decarbonizing, by the time we get decarbonized, we won’t be able to just scale up DAC at that point. We have to scale up now so by the time we get decarbonized we’re able to get those legacy emissions.”
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NineDot Energy’s nine-fiigure bet on New York City is a huge sign from the marketplace.
Battery storage is moving full steam ahead in the Big Apple under new Mayor Zohran Mamdani.
NineDot Energy, the city’s largest battery storage developer, just raised more than $430 million in debt financing for 28 projects across the metro area, bringing the company’s overall project pipeline to more than 60 battery storage facilities across every borough except Manhattan. It’s a huge sign from the marketplace that investors remain confident the flashpoints in recent years over individual battery projects in New York City may fail to halt development overall. In an interview with me on Tuesday, NineDot CEO David Arfin said as much. “The last administration, the Adams administration, was very supportive of the transition to clean energy. We expect the Mamdani administration to be similar.”
It’s a big deal given that a year ago, the Moss Landing battery fire in California sparked a wave of fresh battery restrictions at the local level. We’ve been able to track at least seven battery storage fights in the boroughs so far, but we wouldn’t be surprised if the number was even higher. In other words, risk remains evident all over the place.
Asked where the fears over battery storage are heading, Arfin said it's “really hard to tell.”
“As we create more facts on the ground and have more operating batteries in New York, people will gain confidence or have less fear over how these systems operate and the positive nature of them,” he told me. “Infrastructure projects will introduce concern and reasonably so – people should know what’s going on there, what has been done to protect public safety. We share that concern. So I think the future is very bright for being able to build the cleaner infrastructure of the future, but it's not a straightforward path.”
In terms of new policy threats for development, local lawmakers are trying to create new setback requirements and bond rules. Sam Pirozzolo, a Staten Island area assemblyman, has been one of the local politicians most vocally opposed to battery storage without new regulations in place, citing how close projects can be to residences, because it's all happening in a city.
“If I was the CEO of NineDot I would probably be doing the same thing they’re doing now, and that is making sure my company is profitable,” Pirozzolo told me, explaining that in private conversations with the company, he’s made it clear his stance is that Staten Islanders “take the liability and no profit – you’re going to give money to the city of New York but not Staten Island.”
But onlookers also view the NineDot debt financing as a vote of confidence and believe the Mamdani administration may be better able to tackle the various little bouts of hysterics happening today over battery storage. Former mayor Eric Adams did have the City of Yes policy, which allowed for streamlined permitting. However, he didn’t use his pulpit to assuage battery fears. The hope is that the new mayor will use his ample charisma to deftly dispatch these flares.
“I’d be shocked if the administration wasn’t supportive,” said Jonathan Cohen, policy director for NY SEIA, stating Mamdani “has proven to be one of the most effective messengers in New York City politics in a long time and I think his success shows that for at least the majority of folks who turned out in the election, he is a trusted voice. It is an exercise that he has the tools to make this argument.”
City Hall couldn’t be reached for comment on this story. But it’s worth noting the likeliest pathway to any fresh action will come from the city council, then upwards. Hearings on potential legislation around battery storage siting only began late last year. In those hearings, it appears policymakers are erring on the side of safety instead of blanket restrictions.
The week’s most notable updates on conflicts around renewable energy and data centers.
1. Wasco County, Oregon – They used to fight the Rajneeshees, and now they’re fighting a solar farm.
2. Worcester County, Maryland – The legal fight over the primary Maryland offshore wind project just turned in an incredibly ugly direction for offshore projects generally.
3. Manitowoc County, Wisconsin – Towns are starting to pressure counties to ban data centers, galvanizing support for wider moratoria in a fashion similar to what we’ve seen with solar and wind power.
4. Pinal County, Arizona – This county’s commission rejected a 8,122-acre solar farm unanimously this week, only months after the same officials approved multiple data centers.
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A conversation with Adib Nasle, CEO of Xendee Corporation
Today’s Q&A is with Adib Nasle, CEO of Xendee Corporation. Xendee is a microgrid software company that advises large power users on how best to distribute energy over small-scale localized power projects. It’s been working with a lot with data centers as of late, trying to provide algorithmic solutions to alleviate some of the electricity pressures involved with such projects.
I wanted to speak with Nasle because I’ve wondered whether there are other ways to reduce data center impacts on local communities besides BYO power. Specifically, I wanted to know whether a more flexible and dynamic approach to balancing large loads on the grid could help reckon with the cost concerns driving opposition to data centers.
Our conversation is abridged and edited slightly for clarity.
So first of all, tell me about your company.
We’re a software company focused on addressing the end-to-end needs of power systems – microgrids. It’s focused on building the economic case for bringing your own power while operating these systems to make sure they’re delivering the benefits that were promised. It’s to make sure the power gap is filled as quickly as possible for the data center, while at the same time bringing the flexibility any business case needs to be able to expand, understand, and adopt technologies while taking advantage of grid opportunities, as well. It speaks to multiple stakeholders: technical stakeholders, financial stakeholders, policy stakeholders, and the owner and operator of a data center.
At what point do you enter the project planning process?
From the very beginning. There’s a site. It needs power. Maybe there is no power available, or the power available from the grid is very limited. How do we fill that gap in a way that has a business case tied to it? Whatever objective the customer has is what we serve, whether it’s cost savings or supply chain issues around lead times, and then the resiliency or emissions goals an organization has as well.
It’s about dealing with the gap between what you need to run your chips and what the utility can give you today. These data center things almost always have back-up systems and are familiar with putting power on site. It must now be continuous. We helped them design that.
With our algorithm, you tell it what the site is, what the load requirements are, and what the technologies you’re interested in are. It designs the optimal power system. What do we need? How much money is it going to take and how long?
The algorithm helps deliver on those cost savings, deliverables, and so forth. It’s a decision support system to get to a solution very, very quickly and with a high level of confidence.
How does a microgrid reduce impacts to the surrounding community?
The data center obviously wants to power as quickly and cheaply as possible. That’s the objective of that facility. At the same time, when you start bringing generation assets in, there are a few things that’ll impact the local community. Usually we have carbon monoxide systems in our homes and it warns us, right? Emissions from these assets become important and there’s a need to introduce technologies in a way that introduces that power gap and the air quality need. Our software helps address the emissions component and the cost component. And there are technologies that are silent. Batteries, technology components that are noise compliant.
From a policy perspective and a fairness perspective, a microgrid – on-site power plant you can put right next to the data center – helps unburden the local grid at a cost of upgrades that has no value to ratepayers other than just meeting the needs of one big customer. That one big customer can produce and store their own power and ratepayers don’t see a massive increase in their costs. It solves a few problems.
What are data centers most focused on right now when it comes to energy use, and how do you help?
I think they’re very focused on the timeframe and how quickly they can get that power gap filled, those permits in.
At the end of the day the conversation is about the utility’s relationship with the community as opposed to the data center’s relationship with the utility. Everything’s being driven by timelines and those timelines are inherently leaning towards on-site power solutions and microgrids.
More and more of these data center operators and owners are going off-grid. They’ll plug into the grid with what’s available but they’re not going to wait.
Do you feel like using a microgrid makes people more supportive of a data center?
Whether the microgrid is serving a hospital or a campus or a data center, it’s an energy system. From a community perspective, if it’s designed carefully and they’re addressing the environmental impact, the microgrid can actually provide shock absorbers to the system. It can be a localized generation source that can bring strength and stability to that local, regional grid when it needs help. This ability to take yourself out of the equation as a big load and run autonomously to heal itself or stabilize from whatever shock it's dealing with, that’s a big benefit to the local community.