The EV Tax Credit Expires Today

Current conditions: Tropical Storm Imelda is gaining wind intensity this week, bringing flooding rain and storm surge to the southeastern U.S. • Hurricane Humberto, now a Category 4 storm, is passing west of Bermuda, bringing marine hazards to the U.S. East Coast • Typhoon Bualoi is pummeling the Philippines and Vietnam, where it’s already killed a dozen people.

THE TOP FIVE

1. Today’s the last day to claim the electric vehicle tax credit

If you were planning to cash in on the $7,500 federal tax credit for buying an electric vehicle, you’d better make moves. Today’s the last day to claim the so-called 30D tax credit. Congress moved the expiration date for the writeoff to September 30 as part of the One Big Beautiful Bill Act.

That doesn’t mean all government incentives for EVs are going away. New York still offers a $2,000 “Drive Clean Rebate” for some vehicles, and California offers up to $7,000 in rebates. Prices for new electric cars are still higher than those for comparable internal combustion vehicles, a frustratingly persistent condition the federal tax credit was meant to help address. Owning an EV has its own rewards, however, including lower fuel and maintenance costs over time. For more on how to go about choosing an EV, here’s Andrew Moseman’s guide from our Decarbonize Your Life series.

2. Trump offers $625 million to reopen and ‘modernize’ coal plants

Stacks at the Hugh L. Spurlock Generating Station in Maysville, Kentucky. Jeff Swensen/Getty Images

The Trump administration is opening more than 13 million acres of federal land to leasing for new coal mines. And it’s providing funding to keep demand for coal roaring. The Department of Energy announced Monday it will offer $625 million to upgrade, reopen, and “modernize” coal-fired power plants across the country.

It’s a sign of the trend Heatmap’s Matthew Zeitlin clocked in July: “Global coal demand is rising,” he wrote, “and America wants in.” Indeed, in a press release, Secretary of Energy Chris Wright boasted that the new funding would “keep our nation’s coal plants operating” and would ultimately help lower rising electricity prices. “Beautiful, clean coal will be essential to powering America’s reindustrialization and winning the AI race,” Wright said. “Coal built the greatest industrial engine the world has ever known, and with President Trump’s leadership, it will help do so again.”

3. Trump cuts funding for climate adaptation research

The Trump administration is shutting down or shrinking roughly one third of the federal offices that track bird populations after hurricanes, map megafire risks in the Midwest, figure out new ways to fight invasive plants, and prepare communities’ stormwater drains against intense flooding. The U.S. Geological Survey’s Climate Adaptation Science Centers “are expected to drastically wind down and possibly close after Tuesday because of a lack of funds,” The Washington Post reported Monday. The centers in the South Central, Northeast, and Pacific Islands regions, which “collectively cover about one-third of the U.S. population and are funded under the Interior Department,” are potentially facing permanent closure.

The shuttering isn’t linked to a potential government shutdown, and appears planned as part of the Trump administration’s broader cuts to federal research. “We’re not willing to just drop everything and walk away,” Bethany Bradley, the co-director of the Northeast Climate Adaptation Science Center and a University of Massachusetts professor, told the newspaper. “But the reality is we can’t do this for free.”

4. Data center giants propose fix for PJM’s electricity shortages

Amazon, Google, Microsoft, utility giant Constellation, and power company Talen came together to propose a way to meet electricity needs in the nation’s largest power grid. Under their plan, the PJM Interconnection would allow large power users to volunteer for time-limited periods of reducing electricity demand when the grid is stressed. The proposal also outlines plans for time-limited use of backup generation. If making the load more flexible doesn’t work, PJM would increase the supply of firm power through procurement.

The pitch comes in response to an earlier mandatory curtailment proposal from PJM, which drew fierce blowback from many of the companies that wrote up this alternative. (“Everyone hates it,” Matthew wrote.) As analyst Aniruddh Mohan noted, PJM ultimately withdrew its initial load flexibility proposal.

5. PG&E unveils $73 billion spending plan

Pacific Gas & Electric announced plans to spend $73 billion on upgrades to the electrical grid in California to meet the surge in demand from data centers. PG&E, as it’s known, has been deemed responsible for multiple large-scale wildfires in recent years, incurring billions in damages. As the utility told investors on a call Monday, the new investment plan “comes on the heels” of new liability reforms in the state. Under Senate Bill 254, the state expanded its wildfire fund by $18 billion and “acknowledged that the utilities and their customers cannot continue to carry the full burden of climate-driven catastrophic wildfires, especially when the utility has acted prudently,” PG&E CEO Patricia Poppe said, according to Power magazine. The utility had filed a proposal in March to build 700 miles of underground power lines between 2026 and 2028 and complete 500 miles of additional wildfire safety system upgrades by next year.

THE KICKER

Fervo Energy, the company using fracking technology to harness the planet’s molten energy, is undeniably leading the race to commercialize next-generation geothermal. But a clear second-place contender emerged Tuesday when XGS Energy released the results from its first commercial test, the company told Heatmap exclusively. The startup’s system outperformed the executives’ expectations, setting the stage for full-scale development. While Fervo’s technology represents what’s known as “enhanced” geothermal system, XGS’ approach is what’s known as “advanced” geothermal systems that rely on closed-loop infrastructure, as Matthew previously explained.