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Politics

Biden Presses Pause on LNG Export Approvals

On the White House's big announcement, scorched Colombia, and rhino IVF

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Biden Presses Pause on LNG Export Approvals
Heatmap Illustration/Getty Images

Current conditions: Spain experienced its warmest January day ever recorded • Huge parts of the U.S. are blanketed in dense fog • California is bracing for another atmospheric river that could bring heavy rain.

THE TOP FIVE

1. Biden confirms delay on LNG export approvals

The Biden administration confirmed this morning that it is pausing approvals of contentious liquified natural gas (LNG) export terminals until the climate impacts of such projects can be better understood. The New York Times broke the news earlier this week but the White House didn't comment until today. Any review by the Department of Energy of LNG environmental impacts would take time, and likely delay the approvals for the new terminals until after the 2024 election.

2. Largest US solar and battery storage system up and running

The largest solar power and battery storage project in the U.S. officially came online this week. The Edwards & Sanborn facility has 2 million solar panels and 120,720 storage batteries, and stretches across 4,600 acres of California’s Mojave Desert. It can generate 875 megawatts from solar, and has 3,287 megawatt-hours of energy storage. Canary Media’s Eric Wesoff called projects like these “bright spots in the U.S. renewable energy landscape,” and explained that “as solar makes up a bigger and bigger share of grid power, battery storage is needed to soak up surplus daytime energy and make it available for use later in the day.”

Mortenson

3. Scorched Colombia calls for help

Colombia is asking for help from the international community as it battles wildfires that have scorched more than 16,300 acres of land. Hot and dry conditions mean more than 87% of the country is at “maximum risk” for fires, according to AFP. Some towns have seen temperatures upwards of 105 degrees Fahrenheit this week, and at least 62 municipalities are facing water shortages. In the nation’s capital of Bogota, residents are choking on smoke. President Gustavo Petro declared a “situation of disaster and calamity” and pleaded for assistance from countries that have “enormous experience” fighting fires, including the U.S. The conditions fueling the fires have been linked to the El Niño weather pattern, but Petro noted the role of climate change, as well, and called on “every mayor, every governor and the national government” to prioritize water supplies.

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4. UK power giant Drax eyes US expansion into carbon capture

Americans are likely to start hearing a lot more about a company called Drax. The British power plant operator is “beefing up its presence” in the U.S., reported the Times of London, starting with a new Houston-based subsidiary and plan to build out two biomass power plants that can capture and store carbon. Bioenergy with carbon capture and storage, or BECCS, is when biomass like wood is burned to generate electricity, and the resulting emissions are captured and stored. It’s “the only carbon dioxide removal technique that can also provide energy,” the International Energy Agency explained, and “plays an important role in decarbonising sectors such as heavy industry, aviation and trucking.” But critics worry the practice encourages deforestation and that the capturing and storing part of the equation is unproven. Drax, it seems, wants a taste of those sweet, sweet, U.S. green tax credits: The company aims to remove at least 6 million tons of carbon dioxide every year, and would reportedly be eligible for tax breaks of $85 per ton of carbon captured.

5. Renewables heavyweight NextEra says IRA is here to stay

Donald Trump has threatened to gut President Biden’s Inflation Reduction (IRA) Act should he win back the White House in November, but the CEO of the biggest renewable energy developer in the U.S. isn’t worried. NextEra boss John Ketchum told analysts this week that it’s “really hard to overturn existing law … no matter what the political winds are.” The company saw record orders for renewables and battery storage for the second year in a row in 2023, the Financial Times reported, and raked in annual net profits of $7.3 billion, up from $4.2 billion in 2022. It expects to have 63 megawatts of renewable energy projects in operation by 2026, which is “more than all but nine countries in the world,” the FT added.

Ketchum said: “In the 21 years I’ve been at the company, as we’ve changed administrations and as we’ve seen changes in Congress, we’ve never seen a change or repeal of tax credits – no matter what form they’ve taken.”

THE KICKER

“I think with this achievement, we are very confident that we will be able to create northern white rhinos in the same manner and that we will be able to save the species.” –Scientist Susanne Holtze, commenting on the world’s first IVF rhino pregnancy

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The IBEW logo.
Heatmap Illustration/Getty Images

Building trades want to build.

This desire for more and better big projects has meant that unions representing construction workers, utility linemen, operating engineers, plumbers, pipefitters, and so on have spent past decade-plus ping-ponging between praise and exasperation toward major Democratic priorities, especially when it comes to climate and energy policy.

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Nuclear’s Near-Term Fix

On Indonesia’s climate win, hacking renewables, and John Cena’s ad

Google headquarters.
Heatmap Illustration/Getty Images

Current conditions: A tropical rainstorm in the southwestern Gulf of Mexico, likely strengthening into what would become Tropical Storm Isaias, is poised to dump rain on the southeastern United States and may become the Atlantic’s first major hurricane of the year • Italy is bracing for a type of heavy rainstorm known as a nubifragio, set to soak Naples and Rome later this week • The Dome Fire in Yosemite National Park has burned about 7,000 acres, and officials determined it was sparked by humans.


THE TOP FIVE

1. Google inks a deal to uprate 11 of Constellation’s nuclear reactors

If you can’t wait a decade or more for a new Westinghouse AP1000 or one of the small modular reactors under development, your best bet to get more nuclear electricity is probably to upgrade an existing reactor to squeeze more power out of it, a process known as “uprating.” In February, the Department of Energy gave out its largest-ever loan to Southern Company to fund up to 6 gigawatts of uprates across the utility’s nuclear fleet. Last week, Amazon inked a 20-year deal with Constellation, the nation’s largest operator of nuclear reactors, to buy power from and uprate the Calvert Cliffs plant in Maryland. Google has now signed a deal with Constellation aimed at wringing out 890 megawatts of new power from 11 reactors across PJM Interconnection, the nation’s second-largest and arguably most stressed grid system. Asked whether the uprates are a sufficient replacement for building new reactors, Raiford Smith, Google’s head of power and energy for the cloud, said there was plenty of demand to go around. “New data centers are coming on at a gigawatt a clip,” he told me yesterday. “That means even with all the uprates, there’s still more to come.” Software giant Oracle also announced a deal last week to buy $300 million of nuclear power from a NextEra nuclear plant in Wisconsin to help fund its increased fuel costs.

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Blue
Podcast

The Tesla Alum Trying to Turn GM Into an American Battery Juggernaut

Rob talks with the U.S. auto giant”s VP of batteries and sustainability, Kurt Kelty.

A Denali EV.
Heatmap Illustration/General Motors

There are two big trends in the American battery sector at the moment. The first is that the electric vehicle market is deteriorating. GM, for instance, sold just 25,000 EVs in the third quarter of this year. Ford sold 6,000 EVs. Even the long-awaited return of the Chevy Bolt sold just 8,000 units — a small fraction of the vehicle’s already-limited production run. At the same time, the data center boom and the return of electricity growth is boosting batteries of all kinds not designed to power EVs.

Our guest today is in charge of navigating those opposing trends and figuring out what comes next. Kurt Kelty started his career at Panasonic in 1993, where he led the company’s battery research lab. He then went on to Tesla, helping to build the first Gigafactory. Since February 2024, he’s been vice president of battery and sustainability at GM. We talked about manufacturing generally, how the U.S. battery manufacturing sector should look, and how companies should be structured to compete globally, even though they’re making batteries for a mostly U.S. audience.

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