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Technology

Microsoft’s Major Carbon Removal Deal

On curbing AI emissions, flood resilience, and offshore wind

Microsoft’s Major Carbon Removal Deal
Heatmap Illustration/Getty Images

Current conditions: Extreme heat in Southern California is causing cars to break down on the highway • Flooding in northeastern India killed nine rare one-horned rhinos • Residents in Mount Vernon, Indiana, are waking up to debris and devastation from a violent tornado spawned by the remnants of Hurricane Beryl.

THE TOP FIVE

1. Microsoft and Oxy agree to largest-ever DAC credits deal

Tech giant Microsoft has agreed to the “single largest purchase” of direct air capture carbon credits, buying 500,000 metric tons of credits from Occidental Petroleum’s (aka Oxy) 1PointFive DAC subsidiary. The deal is worth hundreds of millions of dollars and will help Microsoft confront its growing emissions problem as demand for energy-intensive artificial intelligence grows. Microsoft’s emissions grew by 30% in 2023 compared to 2020. Google’s emissions are also rising, up 13% last year compared to the year before. Both companies pin the blame on the growth of AI. As Bloomberg noted, DAC “is expensive, energy-intensive and not yet proven at industrial scale.” Occidental clinched a similar (but smaller) deal with Amazon last year.

2. New FEMA rule will improve infrastructure flood resilience

The Biden administration yesterday finalized a rule aimed at protecting federal infrastructure from flooding exacerbated by climate change. The federal flood risk management standard, first proposed in 2015, will require public structures funded by FEMA be built above the projected flood level for their location, or be moved to a different location entirely. The hope is to “put a stop to the cycle of response and recovery, and rinse and repeat,” said Deanne Criswell, the FEMA administrator. FEMA will cover the cost of implementing the changes. The rule will come into effect on September 9.

3. Texas power outages persist as temperatures rise

Frustration is growing in Texas, where nearly 2 million people are still without power after Hurricane Beryl tore through the state Monday as a category 1 storm. The power outages mean many residents are without access to air conditioning as a heat wave pushes temperatures into the 90s. At least 16 hospitals were relying on generators to keep the lights on yesterday, according to The Associated Press. Making matters worse, flooding from the storm caused a “domestic wastewater” spill in downtown Houston, where residents were told to boil water before consuming it. A report published in April found that power outages from extreme weather events are rising in the U.S., with Texas being the worst-affected state.

Climate Central

4. Report: Offshore wind capacity won’t meet Biden’s goal

New analysis from the American Clean Power Association found that U.S. offshore wind capacity will fall short of President Biden’s goal of 30 gigawatts by 2030. There are currently 56 GW of capacity under development across 37 leases, the report finds, but just 14 GW will be deployed by 2030. However, things will speed up quickly, and it’ll take just three years for capacity to hit 30 GW in 2033, and another two to hit 40 GW in 2035.

5. Climate change-denying senator James Inhofe dies

Former Republican senator James Inhofe, “the capital’s most vociferous denier of climate change,” died Tuesday at age 89. Inhofe served five terms in the Senate starting in the 1990s before retiring in January last year. He began vocally downplaying scientific evidence of climate change in 2003. His campaigns received generous donations from fossil fuel interests. In 2012, Inhofe authored a book called The Greatest Hoax: How the Global Warming Conspiracy Threatens Your Future. In a 2015 stunt, he brought a snowball into the Senate in an attempt to prove that man-made global warming was not real. He opposed efforts to cap greenhouse gas emissions and once called the Environmental Protection Agency a “Gestapo bureaucracy.” He later went on to play a key role in transforming the EPA under former President Trump.

The late Sen. Inhofe during his 2015 snowball stunt.YouTube/C-SPAN

THE KICKER

Global temperatures seem to be falling slightly now, after more than a year of unrelenting new record monthly highs.

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Daily Briefing

Exclusive: 75% of Americans Now Oppose Local Data Center Development

The U.S. public’s support for AI data centers has continued to collapse since the spring, a new Heatmap Pro poll shows.

A data center protester.
Heatmap Illustration/Getty Images

The American public has soured even further on local data center development since the spring, new polling shows.

Three-quarters of Americans now say that they would oppose a new data center being built near where they live, according to a new Heatmap Pro poll conducted by Embold Research, and more than six in 10 Americans say they would strongly oppose such a proposal.

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Now Is the Worst Time for Diesel to Get Expensive

Agricultural equipment largely runs on diesel, and with the harvest season coming up, that spells bad news for farmers.

A farmer looking at diesel prices.
Heatmap Illustration/Getty Images

Gas prices are climbing again.

As the United States and Iran confusingly engage following the end of a 60-day “memorandum of understanding” between the two warring countries, the fuel market has begun to readjust yet again, continuing the volatility that has confounded analysts since mid-February. While the gasoline most drivers buy has seen its price increase — the national average gas price now sits at $4.09 a gallon, according to AAA, compared to $4 a month ago and $3.13 a year ago — the most dramatic increase has been in diesel. The price of that fuel — a crucial input to the agricultural economy, as well as an important heat source in certain parts of the U.S. — now sits at $5.50 a gallon, up around 14 cents on the week and close to its peak price for the year in June. It’s also dramatically higher than the $3.70 a gallon it was selling at a year ago.

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AM Briefing

Operation Blue Skies

On electrolyte factories, Josh Shapiro's flip, and Canadian clean power

Contrails.
Heatmap Illustration/Getty Images

Current conditions: Firefighters are encircling Belgium’s largest fire on record, just the latest blaze in Europe as historic heat waves roast the continent • The Canadian wildfire smoke that billowed into Michigan this summer cost the state nearly $6.7 billion • The string of storms that now includes the habagat, or southwest monsoon, hammering the Philippines has displaced 5.2 million Filipinos so far.


THE TOP FIVE

1. Trump pushes to open 45 million acres of national forests to logging

The Trump administration is barreling forward with a plan to open close to 45 million acres of wilderness in national forests to road construction and logging, removing protection The New York Times said has been in place for a quarter century. The U.S. Forest Service’s proposal would rescind a Clinton-era rule enacted in 2001 to bar roadways from routing through certain areas. The repeal is a major victory for Republican states and industry groups that lobbied for years to revoke the protections, and even unsuccessfully sued more than a dozen times to strike down the so-called roadless rule.

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