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New Jersey Is the Latest State to Go All-EV

Gov. Phil Murphy announces new rules aiming to wean the state off internal combustion passenger vehicle sales by 2035.

New Jersey Governor Phil Murphy.
Heatmap Illustration/Getty Images

New Jersey Gov. Phil Murphy just announced a rule requiring that all new cars sold in the state must be electric by 2035, with interim goals starting for model year 2027 and ramping up from there.

Meeting these goals will take an aggressive push given that as of June, just 1.8% of the state’s light duty vehicles were electric, according to the New Jersey Motor Vehicle Commission. To help with the transition, New Jersey offers rebates — up to $4,000 — on top of federal tax credits towards EV purchases. And though the Garden State has just 911 public charging locations as of February, compared to California’s 16,000, it plans to add 500 more by 2025.

Perhaps unsurprisingly, the state’s EV advocates greeted Murphy’s announcement with optimism. “Our state needs to reduce our greenhouse gas emissions and air pollution, and after this announcement we are no longer sitting in the slow lane while other states pass us by on clean energy,” Alex Ambrose, a climate policy analyst for New Jersey Policy Perspective, told local news outlet NJ Advance Media.

The new rule is based on a 2022 California regulation known as Advanced Clean Cars II, making New Jersey one of 17 states, including New York and Maryland, to adopt all or part of California’s low- or zero-emission vehicle regulations. Crucially, as Kate Klinger of the Governor’s Office of Climate Action and the Green Economy toldROI-NJ, Advanced Clean Cars II does not affect the sale of used cars. So just as a federal assault weapons ban wouldn’t mean AR-15s suddenly disappear, so too do EV sales targets allow for the continued existence of internal combustion vehicles.

Will that make 2035 the beginning of a new environmental culture war — new-car liberals versus used-car conservatives? We can only hope. As a native New Jerseyan, I’ll look forward to the day when our most vigorous debate is no longer whether the state’s favorite breakfast meat should be called “Taylor ham” or “pork roll.”

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Sparks

The Country’s Largest Power Markets Are Getting More Gas

Three companies are joining forces to add at least a gigawatt of new generation by 2029. The question is whether they can actually do it.

Natural gas pipelines.
Heatmap Illustration/Getty Images

Two of the biggest electricity markets in the country — the 13-state PJM Interconnection, which spans the Mid-Atlantic and the Midwest, and ERCOT, which covers nearly all of Texas — want more natural gas. Both are projecting immense increases in electricity demand thanks to data centers and electrification. And both have had bouts of market weirdness and dysfunction, with ERCOT experiencing spiky prices and even blackouts during extreme weather and PJM making enormous payouts largely to gas and coal operators to lock in their “capacity,” i.e. their ability to provide power when most needed.

Now a trio of companies, including the independent power producer NRG, the turbine manufacturer GE Vernova, and a subsidiary of the construction firm Kiewit Corporation, are teaming up with a plan to bring gas-powered plants to PJM and ERCOT, the companies announced today.

The three companies said that the new joint venture “will work to advance four projects totaling over 5 gigawatts” of natural gas combined cycle plants to the two power markets, with over a gigawatt coming by 2029. The companies said that they could eventually build 10 to 15 gigawatts “and expand to other areas across the U.S.”

So far, PJM and Texas’ call for new gas has been more widely heard than answered. The power producer Calpine said last year that it would look into developing more gas in PJM, but actual investment announcements have been scarce, although at least one gas plant scheduled to close has said it would stay open.

So far, across the country, planned new additions to the grid are still overwhelmingly solar and battery storage, according to the Energy Information Administration, whose data shows some 63 gigawatts of planned capacity scheduled to be added this year, with more than half being solar and over 80% being storage.

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Sparks

An Emergency Trump-Coded Appeal to Save the Hydrogen Tax Credit

Featuring China, fossil fuels, and data centers.

The Capitol.
Heatmap Illustration/Getty Images

As Republicans in Congress go hunting for ways to slash spending to carry out President Trump’s agenda, more than 100 energy businesses, trade groups, and advocacy organizations sent a letter to key House and Senate leaders on Tuesday requesting that one particular line item be spared: the hydrogen tax credit.

The tax credit “will serve as a catalyst to propel the United States to global energy dominance,” the letter argues, “while advancing American competitiveness in energy technologies that our adversaries are actively pursuing.” The Fuel Cell and Hydrogen Energy Association organized the letter, which features signatures from the American Petroleum Institute, the U.S. Chamber of Commerce, the Clean Energy Buyers Association, and numerous hydrogen, industrial gas, and chemical companies, among many others. Three out of the seven regional clean hydrogen hubs — the Mid-Atlantic, Heartland, and Pacific Northwest hubs — are also listed.

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Why Your Car Insurance Bill Is Making Renewables More Expensive

Core inflation is up, meaning that interest rates are unlikely to go down anytime soon.

Wind turbines being built.
Heatmap Illustration/Getty Images

The Fed on Wednesday issued a report showing substantial increases in the price of eggs, used cars, and auto insurance — data that could spell bad news for the renewables economy.

Though some of those factors had already been widely reported on, the overall rise in prices exceeded analysts’ expectations. With overall inflation still elevated — reaching an annual rate of 3%, while “core” inflation, stripping out food and energy, rose to 3.3%, after an unexpectedly sharp 0.4% jump in January alone — any prospect of substantial interest rate cuts from the Federal Reserve has dwindled even further.

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