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Jesse is on vacation until August, so this is a special, Rob-only summer episode of Shift Key.
Over the past few weeks, the U.S. Supreme Court has profoundly changed how the federal government does its day-to-day work. In a series of landmark rulings, the high court sharply curtailed the ability of government agencies — including the Environmental Protection Agency — to write and enforce rules and regulations.
That will change how the federal government oversees the products we buy, the air we breathe, and the water we drink. But it could also alter how the government regulates heat-trapping greenhouse gas pollution.
But how, exactly, will these new rulings affect climate law? And is there an upside to the deregulatory revolution? This week, Rob holds a roundtable with two environmental law experts about what the high court’s rulings mean for America’s decarbonization project — and whether the court just inadvertently made the country’s already burdensome permitting process even worse. They are Jody Freeman, a Harvard law professor and former Obama administration lawyer, and Nicholas Bagley, a University of Michigan law professor.
This episode of Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap.
Subscribe to “Shift Key” and find this episode on Apple Podcasts, Spotify, Amazon, or wherever you get your podcasts.
You can also add the show’s RSS feed to your podcast app to follow us directly.
Here is an excerpt from our conversation:
Nicholas Bagley: I was working at the court and working for Justice Stevens when Massachusetts v. EPA was decided, and you know, even at the time, the level of frustration and even anger from the conservative justices — it was a 5-4 decision — was pretty intense. And since that time, of course, the conservatives have really consolidated their authority on the court.
And there are a lot of cases after Mass v. EPA that accept the principle that EPA can regulate greenhouse gases while still finding ways to push back on agency efforts to do so. And so, is Mass v. EPA going to be overruled? Well, the court doesn’t tend to like to overrule statutory holdings. Once the Supreme Court has said statute means X, it gives that determination a very high degree of precedential effect, even more so than in the constitutional context. The theory is that if Congress doesn’t like what we said, Congress can always fix it. In the constitutional context, we actually have to be a little bit more flexible because Congress can’t just fix any mistakes that we might make. So there’s a kind of super stare decisis, is what they call it, a super precedential effect of that decision.
And so far, the court hasn’t decided to kind of go after that interpretation, and I’m not sure they will. And I’m not sure they need to [with] all of these different doctrinal outs that they’ve got: the major questions doctrine, we’re going to interpret your statute differently, we’re going to strike it down on arbitrary and capricious grounds, it gives them all the tools they need to push back on EPA without actually taking the big, bold, and splashy step of overruling Mass v. EPA.
Jody Freeman: You can see all these cases as revenge for Mass v. EPA, a sort of reaction to Mass v. EPA in a funny way. I mean, to be sure, if the court currently constituted were to have to rule on that case, they would never have decided that the Clean Air Act authorizes regulation of greenhouse gas. So they’re fighting a rearguard action in all the ways Nick suggested.
This Supreme Court appears to be, as one scholar said, a sort of anti-novelty court. That is, agencies shouldn’t do new things, Congress should have to pass new statutes for that to happen. And it’s a really disabling notion because Congress passes broad statutes that say things like “protect the public health with an adequate margin of safety.” They give the agency broad authority to, say, protect workers against grave dangers in the workplace without necessarily defining what “grave danger” could mean, or what “public health protection” could mean, because they expect the agencies to develop their view over time, depending on what science says and what technology makes available and so on.
And this court seems to be opposed to evolution, right? To progress and letting agencies adapt over time. And in that sense, I think they’re a kind of small-C conservative court, in the sense that change is bad, and certainly regulatory change is bad unless Congress itself authorizes agencies anew to do something. And that, in and of itself, is, if not anti-regulatory, it’s hostile to any kind of innovation or adaptation by the federal bureaucracy.
This episode of Shift Key is sponsored by …
Watershed’s climate data engine helps companies measure and reduce their emissions, turning the data they already have into an audit-ready carbon footprint backed by the latest climate science. Get the sustainability data you need in weeks, not months. Learn more at watershed.com.
As a global leader in PV and ESS solutions, Sungrow invests heavily in research and development, constantly pushing the boundaries of solar and battery inverter technology. Discover why Sungrow is the essential component of the clean energy transition by visiting sungrowpower.com.
Music for Shift Key is by Adam Kromelow.
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On Trump's global gas up, a Garden State wind flub, and Colorado coal
Current conditions: From Cleveland to Syracuse, cities on the Great Lakes are bracing for heavy snowfall • Rainfall in Northern California could top 6 inches today • Thousands evacuated in the last few hours in Taiwan as Typhoon Fung-wong makes landfall.
The bill that would fund the government through the end of the year and end the nation’s longest federal shutdown eliminates support for the Department of Agriculture’s climate hubs. The proposed compromise to reopen the government would slash funding for USDA’s 10 climate hubs, which E&E News described as producing “regional research and data on extreme weather, natural disasters and droughts to help farmers make informed decisions.”
There were, however, some green shoots. A $730 million line item in the military’s budget could go to microgrids, renewables, or nuclear reactors. The bill also contains millions of dollars for the cleanup of so-called forever chemicals, which had stalled under the Trump administration. Still, the damage from the shutdown was severe. As Heatmap reported throughout the record-breaking funding lapse, the administration slashed funding for a backup energy storage system at a children’s hospital, major infrastructure projects in New York City, and droves of grants for clean energy.

Call it American exceptionalism. The effects of President Donald Trump’s One Big Beautiful Bill Act and America’s world-leading artificial intelligence development “have meaningfully altered” the International Energy Agency’s forecasts of global fossil fuel usage and emissions, Heatmap’s Matthew Zeitlin wrote this morning. The trajectory of global temperature rise may be, as I have written in this newsletter, so far largely unaffected by the new American administration’s policies. But multiple scenarios outlined in the Paris-based IEA’s 2025 World Energy Outlook predict “gas demand continues growing into the 2030s, due mainly to changes in U.S. policies and lower gas prices.”
That stands in contrast to China, a comparison that was inevitable this week as the world gathers for the United Nations climate summit in Belém, Brazil — the first that Washington is all but ignoring as the Trump administration moves to withdraw the U.S. from the Paris Agreement. As I wrote here yesterday, China's emissions remained flat in the last quarter, extending a streak that began in March 2024.
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Heatmap’s Jael Holzman had a big scoop last night: Yet another offshore wind project on the East Coast is kaput. The lawyers representing the Leading Light Wind offshore project filed a letter on November 7 to the New Jersey Board of Public Utilities informing the regulator it “no longer sees any way to complete construction and wants to pull the plug,” Jael wrote. “The Board is well aware that the offshore wind industry has experienced economic and regulatory conditions that have made the development of new offshore wind projects extremely difficult,” counsel Colleen Foley wrote in the letter, a copy of which Jael got her hands on. The project was meant to be built 35 miles off New Jersey’s coast, and was expected to provide about 2.4 gigawatts of electricity to the power-starved state.
It’s the latest casualty of Trump’s “total war on wind,” and comes as other projects in Maryland and New England are fighting to retain permits amid the administration’s multi-agency onslaught.
Xcel Energy proposed extending the life of its Comanche 2 coal-fired power plant for 12 months past its shutdown date in December. The utility giant, backed by state officials and consumer advocates, told the Colorado Public Utilities Commission on Monday that maintaining power production from the 50-year-old unit was important as the power plant scrambled to maintain enough power generation following the breakdown of the coal plant's third unit. The 335-megawatt Comanche 2 generator in Pueblo is expected to get approval to keep running. “We need it for resource adequacy and reliability, underlining that need for reliability and resource adequacy are central issues,” Robert Kenney, CEO of Xcel Energy’s Colorado subsidiary, told The Colorado Sun. The move comes as Trump’s Department of Energy is ordering coal plants in states such as Michigan to keep operating months past closure deadlines at the cost of millions of dollars per month to ratepayers, as I have previously written.
Pennsylvania, meanwhile, may be preparing to withdraw from the Regional Greenhouse Gas Initiative, the cap-and-trade market in which much of the Northeast’s biggest states partake. A state budget deal described by Spotlight PA reporter Stephen Caruso on X would remove the commonwealth from the market.
Germany and Spain vowed to give $100 million to the World Bank’s Climate Investment Funds, a $13 billion multilateral financing pool to help poor countries deal with the effects of climate change. The funding, announced Monday at an event at the U.N.’s Cop30 summit in Brazil, is “an opportunity too large to ignore,” Tariye Gbadegesin, chief executive officer of Climate Investment Funds, said in a statement. While mitigation work has long held priority in international lending, adaptation work to give some relief to the countries that contributed the least to climate change but pay the highest tolls from extreme weather has often received scant support. In his controversial memo calling for a sober, new direction for global funding, billionaire philanthropist Bill Gates called on countries to take adaptation more seriously. For more on what he said, read the rundown Heatmap’s Robinson Meyer wrote.
Right in time for the region’s most iconic season, when even celebrants in farflung parts of this country think of the old Puritan lands during Halloween and Thanksgiving, I bring to you what might be the most New England story ever. A blade broke off a wind turbine near Plymouth, Massachusetts, last week and landed in — get ready for it — a cranberry bog. The roughly 90-foot blade left behind debris, but “no one was hurt, and the turbine automatically shut itself down as designed,” the local fire chief said.
Rob and Jesse unpack one of the key questions of the global fight against climate change with the Centre for Research on Energy and Clean Air’s Lauri Myllyvirta.
Robinson Meyer and Jesse Jenkins are off this week. Please enjoy this selection from the Shift Key archive.
China’s greenhouse gas emissions were essentially flat in 2024 — or they recorded a tiny increase, according to a November report from the Centre for Research on Energy and Clean Air, or CREA. A third of experts surveyed by the report believe that its coal emissions have peaked. Has the world’s No. 1 emitter of carbon pollution now turned a corner on climate change?
Lauri Myllyvirta is the co-founder and lead analyst at CREA, an independent research organization focused on air pollution and headquartered in Finland. Myllyvirta has worked on climate policy, pollution, and energy issues in Asia for the past decade, and he lived in Beijing from 2015 to 2019.
On this week’s episode of Shift Key, Rob and Jesse talk with Lauri about whether China’s emissions have peaked, why the country is still building so much coal power (along with gobs of solar and wind), and the energy-intensive shift that its economy has taken in the past five years. Shift Key is hosted by Robinson Meyer, the founding executive editor of Heatmap, and Jesse Jenkins, a professor of energy systems engineering at Princeton University.
Subscribe to “Shift Key” and find this episode on Apple Podcasts, Spotify, Amazon, or wherever you get your podcasts.
You can also add the show’s RSS feed to your podcast app to follow us directly.
Here is an excerpt from our conversation:
Robinson Meyer: When we think about Chinese demand emissions going forward, it sounds like — somewhat to my surprise, perhaps — this is increasingly a power sector story, which is … is that wrong? Is it an industrial story? Is it a …
Lauri Myllyvirta: I want to emphasize the steel sector besides power. So if you simply look at what the China Steel Association is projecting, which is a gradual, gentle decline in total output and the increase in the availability of scrap. If you use that to replace coal-based with electricity-based steelmaking, you can achieve an about 40% reduction in steelmaking emissions over the next decade.
Of course, some of that is going to shift to electricity, so you need the clean electricity as well to realize it. But that’s at least as large an opportunity as there is on the power sector, so that’s what I’m telling everyone — that if you want to understand what China can accomplish over the next decade, it’s these two sectors, first and foremost.
Jesse Jenkins: Yeah. I mean, there’s some positive overall trends, right? If you look at the arc that we’re seeing in each sector, with renewables growth starting to outpace demand growth in electricity and eat into coal in absolute terms, not just market share, with the transition in the steel industry — which is sort of a story that we’ve seen in multiple countries as they move through different phases, right? As you’re building out your primary infrastructure, the first time you don’t have enough scrap, but as the infrastructure and rate of car recycling and things like that goes up, you now have a much larger supply. And that’s the case in the U.S., where the vast majority of our steel now comes from scrap.
And then, you know, the slowdown in the construction boom — China’s built an enormous amount of infrastructure and housing, and there’s only so much more that they need. And so the pace of that construction is likely to fall, as well. And then finally, the big shift to EVs in the transportation sector. So you’ve got your four largest-emitting sources on a very positive trajectory when it comes to greenhouse gas emissions.
Mentioned:
CREA’s reports on China’s emissions trajectory
Chinese EV companies beat their own targets in 2024
How China Created an EV Juggernaut
Jeremy Wallace: China Can’t Decide if It Wants to Be the World’s First ‘Electrostate’
This episode of Shift Key is sponsored by …
Hydrostor is building the future of energy with Advanced Compressed Air Energy Storage. Delivering clean, reliable power with 500-megawatt facilities sited on 100 acres, Hydrostor’s energy storage projects are transforming the grid and creating thousands of American jobs. Learn more at hydrostor.ca.
Uplight is a clean energy technology company that helps energy providers unlock grid capacity by activating energy customers and their connected devices to generate, shift, and save energy. The Uplight Demand Stack — which integrates energy efficiency, electrification, rates, and flexibility programs — improves grid resilience, reduces costs, and accelerates decarbonization for energy providers and their customers. Learn more at uplight.com/heatmap.
Music for Shift Key is by Adam Kromelow.
The group’s latest World Energy Outlook reflects the sharp swerve in U.S. policy over the past year.
The United States is different when it comes to energy and fossil fuels. While it’s no longer the world’s largest greenhouse gas emitter, no other country combines the United States’ production and consumptive capacity when it comes to oil — and, increasingly, natural gas. And no other country has made such a substantial recent policy U-turn in the past year, turning against renewables deployment at the same time as it is seeing electricity demand leap up thanks to data centers.
All of this is mirrored in the International Energy Agency’s 2025 World Energy Outlook, released Wednesday, which reflects a stark portrait of how America’s development of artificial intelligence and natural gas has made it distinct from its global peers. In combination, the effects of the One Big Beautiful Bill Act and the U.S.’s world-leading artificial intelligence development have meaningfully altered the group’s forecasts of global fossil fuel usage and emissions.
Much of the report compares two different scenarios for global energy usage and emissions — one looking at what governments are actually doing, and the other at what they say they want to do. The difference between the two is in the pace of the renewables buildout, and especially the pace at which fossil fuels’ place in the energy supply is wound down, if it is at all.
For example, the Current Policies Scenario (the stricter scenario) shows “demand for oil and natural gas continu[ing] to grow to 2050,” while the Stated Policies Scenario, or STEPS (the more optimistic one) shows oil use flattening “around 2030.” But in both cases, “gas demand continues growing into the 2030s, due mainly to changes in U.S. policies and lower gas prices.”

Even in the more optimistic outlook, natural gas use peaks later than it did in earlier forecasts. In 2035, the IEA projects, gas output will be 350 billion cubic meters greater than it projected last year, which is roughly equal to the annual gas production of Texas — and that’s in the optimistic scenario. “Three-quarters of this is for electricity generation, mainly in the United States, Japan and the Middle East, and reflects higher electricity demand and slower progress in adding renewables to the generation mix than projected,” the report says.
But the U.S. is not the whole story — the tide of renewable deployment continues apace. The clean energy analytics group Ember argues that the report’s “downgrades on clean growth in the U.S. are offset by rises in other countries,” especially as electric vehicles grow in popularity everywhere else. While the STEPS forecast shows a 30% drop in renewables capacity compared to last year’s projection in 2035 in the US (and a 60% drop in EVs on the road in 2035), “there are 20% more EVs projected in emerging markets outside China and the renewables forecast was also upgraded outside the U.S,” Ember said in a statement.
Ember attributes this to an “increasing focus on energy security,” with more countries following China in electrifying broader swathes of their economies in order to reduce their dependence on fossil fuel imports like natural gas, coal, and oil — including from the United States.
Similarly, Ember is sanguine about artificial intelligence throwing off projections for the wind-down of fossil fuels, which the IEA has and continues to portray generally as largely a U.S. phenomenon.
The IEA estimates that over 85% of global data center capacity growth will take place in the United States, China, and Europe, and that data centers will be responsible for only 6% to 10% of electricity demand growth in the EU and China through 2030. In the U.S., however, they’re responsible for about half of projected growth.
But it’s not just data centers that are causing the IEA to revise its figures. The IEA upped its forecast for electricity use in 2035 by 4% compared to last year, which amounts to some 1,700 terawatt-hours, a bit south of India’s annual electricity generation today. The group attributes this upward move in its forecast not just to “electricity demand to serve data centres” — which dominates discussion of energy use and climate change — but also to “higher demand for air conditioning in the Middle East and North Africa.”
While the economic benefits of artificial development are still necessarily speculative — with trillions of dollars of investment leading us potentially to a singularity of exponentially increasing technological development, machine-led human extinction, or somewhere in between — the benefits of air conditioning are far less so. With increased AC usage, even as temperature rises, heat-related mortality could fall.
And as the Global South heats and grows economically, its demand for and ability to procure air conditioning will grow, leading to higher energy usage and putting more pressure on the climate. The IEA figures square with another recent report from the climate and energy think tank Rhodium Group, which predicts a rise in emissions after 2060 due to economic development in the Global South.
In short, the energy consumption that feeds economic development all over the world is making the hottest parts of the world hotter while also enabling them to use more energy to cool their homes. At the same time, the richest parts of the world are increasing their electricity usage — and therefore their emissions — in order to develop a technology they hope will supercharge economic growth. The climate hangs in the balance.