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Inside California’s audacious plan to stash more than a trillion gallons of water underground

The world is slowly but surely running out of groundwater. A resource that for centuries has seemed unending is being lapped up faster than nature can replenish it.
“Globally speaking, there’s a groundwater crisis,” said Michael Kiparsky, director of the Wheeler Water Institute at UC Berkeley’s Center for Law, Energy, and the Environment. “We have treated groundwater as a free and limitless source of water in effect, even as we have learned that it’s not that.”
Aquifers are the porous, sponge-like bodies of rock underground that store groundwater; they can be tapped by wells and discharge naturally at springs or wetlands. Especially in places that have already been hard-hit by climate change, many aquifers have become so depleted that humans need to step in; the Arabian Aquifer in Saudi Arabia and the Murzuk-Djado Basin in North Africa, per a 2015 study, are particularly stressed and have little hope of recharging. In the U.S., aquifers are depleting fast from the Pacific Northwest to the Gulf, but drought-stricken California is the poster-child of both water stress and efforts to undo the damage.
In March, the state approved plans to actively replenish its groundwater after months of being inundated by unexpected levels of rainfall. While this move is not brand-new — the state’s Water Resources Control Board has been structuring water restrictions to encourage enhanced aquifer recharge since 2015 in the brief windows when California has water to spare — the scale of this year’s effort is unprecedented.
But just how will all that flood water get back underground? California’s approach, which promotes flooding certain fields and letting the water seep down slowly through soil and rocks to the aquifers below, represents just one potential technique. There are others, from injecting water straight into wells to developing pits and basins designed specifically for infiltration. It’s a plumbing challenge on an unprecedented scale.
The act of putting water back into aquifers has a number of unglamorous names — enhanced aquifer recharge, water banking, artificial groundwater recharge, and aquifer storage and recovery, among others — with some nuanced differences between them. But they all mean roughly the same thing: increasing the amount of water that infiltrates into the ground and ultimately into aquifers.
This can have the overall effect of smoothing the high peaks and deep valleys of water supply in places dealing with extreme weather fluctuations. The idea is to capture the extra water that floods during periods of intense rainfall, and bank it for use during droughts. (While aquifers can also be recharged using any old freshwater, water rights are so complicated in the West that floodwater often represents “the only surface water that’s not spoken for,” Thomas Harter, a groundwater hydrology professor at U.C. Davis, told local television outlet KCRA.)
Recharge has the potential added benefit of protecting groundwater from saltwater intrusion. As water is pumped from a coastal aquifer, water from the ocean can seep in to fill the empty space, potentially poisoning the well for future use for agriculture or drinking water. It’s a risk that will only get bigger as the climate warms and sea levels rise.
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According to the Environmental Protection Agency, aquifer recharge is most often used in places where groundwater demand is high and increasing even as supply remains limited. These tend to be places with lots of people and lots of farms; the San Joaquin Valley, which is the focus of California’s current plan, checks all of those boxes. Aquifers are the source of nearly 40% of water used by farms and cities in California, per the Public Policy Institute of California, and more in dry years. And, until 2023, most recent years have been dry.
In response to this year’s sudden reversal of California’s water fortunes, the state’s Water Board — which regulates water rights — allowed local contractors of the U.S. Bureau of Reclamation to move up to 600,000 acre-feet of water, or well over a trillion gallons, to places that normally would be off-limits this time of year. Those contractors, who are largely farmers and other major landowners, have until July 30 to take advantage.
“California is essentially the pilot project for how we want to do this in the future,” said Erik Ekdahl, deputy director for the Water Board’s water rights division. It won’t be until the end of the year that the state will know exactly how much water was successfully banked, but Ekdahl said anecdotally that some contractors have already taken steps to put the spare water underground.
This comes as California’s enormous snowpack begins to melt: a potential boon for the aquifers that could also mean problematic and dangerous floods for the communities downstream of the runoff.
How does enhanced aquifer recharge actually happen? It’s not as if the vast underground stretches of rock and sediment have faucets or even obvious holes leading to their watery depths. People aiming to reverse the centuries-long trend of drawing up water without actively replacing it have a range of artificial recharge options, which either speed along the natural seepage process or direct water straight to the aquifer below.
In the former cases, one option is to allow water to flood fields left fallow, a process known as “surface spreading,” as is beginning to happen in the San Joaquin Valley.

Water can also be directed to dedicated recharge basins and canals. In both cases, excess water is absorbed by fast-draining soil, which encourages it to pass below ground. Aside from the technical challenge of redirecting water from typical flood patterns, these approaches tend to be low-tech.

But in cases of aquifer depletion where those approaches are impractical — such as when the aquifer is under impermeable rock — injection wells represent a direct connection to the groundwater. These are either deep pits that drain into sedimentary layers above an underground drinking water source (like a traditional well functioning in reverse), or else webs of tubes and casing that blast water straight into the source.

Cities are also experimenting with aquifer recharge on a smaller scale. For urban stormwater, the EPA promotes certain “green infrastructure” approaches that mold the built environment to mimic natural hydrology. For instance, shallow channels lined with vegetation, known as bioswales, redirect stormwater while encouraging it to seep through the ground. Permeable pavement — in use in several Northeastern states — works much the same way. Meanwhile, rain gardens designed to prevent flooding have the added benefit of replenishing groundwater.
Determining when and where to use different approaches to aquifer recharge, though, can be unclear. We are still a long way from widespread or coordinated adoption of these techniques, but researchers are working on weighing their costs and benefits.
Supported by a $2 million EPA grant, Kiparsky is part of a U.C. Berkeley team looking at how to make California-esque recharge work on a national scale. , including by developing a cost-benefit tool for water managers. Some of the geochemical and physical considerations are relatively simple to measure: Is the soil in question porous? Are there gravel-filled “paleo valleys” that could allow water to rapidly seep to the aquifers below, as one 2022 study found?
More complicated, potentially immeasurable, but no less important are the legal and regulatory considerations around water rights. It is, as Kiparsky put it, one of the quintessential modern examples of the tragedy of the commons. Whether the government will be able to entice individuals to use their own little corner of Earth to fill an aquifer for the benefit of the many is an open question.
But Kiparsky is fairly optimistic that recharge will take hold in years where there is water to spare, as the West recognizes that future drought must be prepared for, especially when it’s raining.
“Is recharge going to become a bigger part of water management? I would say absolutely,” he said. “I’m not usually in the game of making predictions, but I would predict the answer is yes. When we can figure out how to do it.”
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How will America’s largest grid deal with the influx of electricity demand? It has until the end of the year to figure things out.
As America’s largest electricity market was deliberating over how to reform the interconnection of data centers, its independent market monitor threw a regulatory grenade into the mix. Just before the Thanksgiving holiday, the monitor filed a complaint with federal regulators saying that PJM Interconnection, which spans from Washington, D.C. to Ohio, should simply stop connecting new large data centers that it doesn’t have the capacity to serve reliably.
The complaint is just the latest development in a months-long debate involving the electricity market, power producers, utilities, elected officials, environmental activists, and consumer advocates over how to connect the deluge data centers in PJM’s 13-state territory without further increasing consumer electricity prices.
The system has been pushed into crisis by skyrocketing capacity auction prices, in which generators get paid to ensure they’re available when demand spikes. Those capacity auction prices have been fueled by high-octane demand projections, with PJM’s summer peak forecasted to jump from 154 gigawatts to 210 gigawatts in a decade. The 2034-35 forecast jumped 17% in just a year.
Over the past two two capacity auctions, actual and forecast data center growth has been responsible for over $16.6 billion in new costs, according to PJM’s independent market monitor; by contrast, the previous year’s auction generated a mere $2.2 billion. This has translated directly to higher retail electricity prices, including 20% increases in some parts of PJM’s territory, like New Jersey. It has also generated concerns about reliability of the whole system.
PJM wants to reform how data centers interconnect before the next capacity auction in June, but its members committee was unable to come to an agreement on a recommendation to PJM’s board during a November meeting. There were a dozen proposals, including one from the monitor; like all the others, it failed to garner the necessary two-thirds majority vote to be adopted formally.
So the monitor took its ideas straight to the top.
The market monitor’s complaint to the Federal Energy Regulatory Commission tracks closely with its plan at the November meeting. “PJM is currently proposing to allow the interconnection of large new data center loads that it cannot serve reliably and that will require load curtailments (black outs) of the data centers or of other customers at times. That result is not consistent with the basic responsibility of PJM to maintain a reliable grid and is therefore not just and reasonable,” the filing said. “Interconnecting large new data center loads when adequate capacity is not available is not providing reliable service.”
A PJM spokesperson told me, “We are still reviewing the complaint and will reserve comment at this time.”
But can its board still get a plan to FERC and avoid another blowout capacity auction?
“PJM is going to make a filing in December, no matter what. They have to get these rules in place to get to that next capacity auction in June,” Jon Gordon, policy director at Advanced Energy United, told me. “That’s what this has been about from the get-go. Nothing is going to stop PJM from filling something.”
The PJM spokesperson confirmed to me that “the board intends to act on large load additions to the system and is expected to provide an indication of its next steps over the next few weeks.” But especially after the membership’s failure to make a unified recommendation, what that proposal will be remains unclear. That has been a source of agita for the organizations’ many stakeholders.
“The absence of an affirmative advisory recommendation from the Members Committee creates uncertainty as to what reforms PJM’s Board of Managers may submit to the Federal Energy Regulatory Commission (FERC), and when stakeholders can expect that submission,” analysts at ClearView Energy Partners wrote in a note to clients. In spite of PJM’s commitments, they warned that the process could “slip into January,” which would give FERC just enough time to process the submission before the next capacity auction.
One idea did attract a majority vote from PJM’s membership: Southern Maryland Electric Cooperative’s, which largely echoed the PJM board’s own plan with some amendments. That suggestion called for a “Price Responsive Demand” system, in which electricity customers would agree to reduce their usage when wholesale prices spike. The system would be voluntary, unlike an earlier PJM proposal, which foresaw forcing large customers to curtail their power. “The load elects to not take on a capacity obligation, therefore does not pay for capacity, and is required to reduce demand during stressed system conditions,” PJM explained in an update. The Southern Maryland plan tweaks the PRD system to adjust its pricing mechanism. but largely aligns with what PJM’s staff put forward.
“There’s almost no real difference between the PJM proposal and that Southern Maryland proposal,” Gordon told me.
That might please restive stakeholders, or at least be something PJM’s board could go forward with knowing that the balance of its voting membership agreed with something similar.
“We maintain our view that a final proposal could resemble the proposed solution package from PJM staff,” the ClearView note said. “We also think the Board could propose reforms to PJM’s PRD program. Indeed, as noted above, SMECO’s revisions to the service gained majority support.”
The PJM plan also included relatively uncontroversial reforms to load forecasting to cut down on duplicated requests and better share information, and an “expedited interconnection track” on which new, large-scale generation could be fast-tracked if it were signed off on by a state government “to expedite consideration of permitting and siting.”
Gordon said that the market monitor’s complaint could be read as the organization “desperately trying to get FERC to weigh in” on its side, even if PJM is more likely to go with something like its own staff-authored submission.
“The key aspect of the market monitor’s proposal was that PJM should not allow a data center to interconnect until there was enough generation to supply them,” Gordon explained. During the meeting preceding the vote, “PJM said they didn’t think they had the authority to deny someone interconnection.”
This dispute over whether the electricity system has an obligation to serve all customers has been the existential question making the debate about how to serve data centers extra angsty.
But PJM looks to be trying to sidestep that big question and nibble around the edges of reform.
“Everybody is really conflicted here,” Gordon told me. “They’re all about protecting consumers. They don’t want to see any more increases, obviously, and they want to keep the lights on. Of course, they also want data center developers in their states. It’s really hard to have all three.”
Atomic Canyon is set to announce the deal with the International Atomic Energy Agency.
Two years ago, Trey Lauderdale asked not what nuclear power could do for artificial intelligence, but what artificial intelligence could do for nuclear power.
The value of atomic power stations to provide the constant, zero-carbon electricity many data centers demand was well understood. What large language models could do to make building and operating reactors easier was less obvious. His startup, Atomic Canyon, made a first attempt at answering that by creating a program that could make the mountains of paper documents at the Diablo Canyon nuclear plant, California’s only remaining station, searchable. But Lauderdale was thinking bigger.
In September, Atomic Canyon inked a deal with the Idaho National Laboratory to start devising industry standards to test the capacity of AI software for nuclear projects, in much the same way each update to ChatGPT or Perplexity is benchmarked by the program’s ability to complete bar exams or medical tests. Now, the company’s effort is going global.
On Wednesday, Atomic Canyon is set to announce a partnership with the United Nations International Atomic Energy Agency to begin cataloging the United Nations nuclear watchdog’s data and laying the groundwork for global standards of how AI software can be used in the industry.
“We’re going to start building proof of concepts and models together, and we’re going to build a framework of what the opportunities and use cases are for AI,” Lauderdale, Atomic Canyon’s chief executive, told me on a call from his hotel room in Vienna, Austria, where the IAEA is headquartered.
The memorandum of understanding between the company and the UN agency is at an early stage, so it’s as yet unclear what international standards or guidelines could look like.
In the U.S., Atomic Canyon began making inroads earlier this year with a project backed by the Institute of Nuclear Power Operators, the Nuclear Energy Institute, and the Electric Power Research Institute to create a virtual assistant for nuclear workers.
Atomic Canyon isn’t the only company applying AI to nuclear power. Last month, nuclear giant Westinghouse unveiled new software it’s designing with Google to calculate ways to bring down the cost of key components in reactors by millions of dollars. The Nuclear Company, a startup developer that’s aiming to build fleets of reactors based on existing designs, announced a deal with the software behemoth Palantir to craft the software equivalent of what the companies described as an “Iron Man suit,” able to swiftly pull up regulatory and blueprint details for the engineers tasked with building new atomic power stations.
Lauderdale doesn’t see that as competition.
“All of that, I view as complementary,” he said.
“There is so much wood to chop in the nuclear power space, the amount of work from an administrative perspective regarding every inch of the nuclear supply chain, from how we design reactors to how we license reactors, how we regulate to how we do environmental reviews, how we construct them to how we maintain,” he added. “Every aspect of the nuclear power life cycle is going to be transformed. There’s no way one company alone could come in and say, we have a magical approach. We’re going to need multiple players.”
That Atomic Canyon is making inroads at the IAEA has the potential to significantly broaden the company’s reach. Unlike other energy sources, nuclear power is uniquely subject to international oversight as part of global efforts to prevent civilian atomic energy from bleeding over into weapons production.
The IAEA’s bylaws award particular agenda-setting powers to whatever country has the largest fleet of nuclear reactors. In the nearly seven decades since the agency’s founding, that nation has been the U.S. As such, the 30 other countries with nuclear power have largely aligned their regulations and approaches to the ones standardized in Washington. When the U.S. artificially capped the enrichment levels of traditional reactor fuel at 5%, for example, the rest of the world followed.
That could soon change, however, as China’s breakneck deployment of new reactors looks poised to vault the country ahead of the U.S. sometime in the next decade. It wouldn’t just be a symbolic milestone. China’s emergence as the world’s preeminent nuclear-powered nation would likely come with Beijing’s increased influence over other countries’ atomic energy programs. As it is, China is preparing to start exporting its reactors overseas.
The role electricity demand from the data centers powering the AI boom has played in spurring calls for new reactors is undeniable. But if AI turns out to have as big an impact on nuclear operations as Lauderdale predicts, an American company helping to establish the global guidelines could help cement U.S. influence over a potentially major new factor in how the industry works for years, if not decades to come.
Current conditions: The Northeastern U.S. is bracing for 6 inches of snow, including potential showers in New York City today • A broad swath of the Mountain West, from Montana through Colorado down to New Mexico, is expecting up to six inches of snow • After routinely breaking temperature records for the past three years, Guyana shattered its December high with thermometers crossing 92 degrees Fahrenheit.
The Department of Energy gave a combined $800 million to two projects to build what could be the United States’ first commercial small modular reactors. The first $400 million went to the federally owned Tennessee Valley Authority to finance construction of the country’s first BWRX-300. The project, which Heatmap’s Matthew Zeitlin called the TVA’s “big swing at small nuclear,” is meant to follow on the debut deployment of GE-Hitachi Nuclear Energy’s 300-megawatt SMR at the Darlington nuclear plant in Ontario. The second $400 million grant backed Holtec International’s plan to expand the Palisades nuclear plant in Michigan where it’s currently working to restart with the company’s own 300-megawatt reactor. The funding came from a pot of money earmarked for third-generation reactors, the type that hew closely to the large light water reactors that make up nearly all the U.S. fleet of 94 commercial nuclear reactors. While their similarities with existing plants offer some benefits, the Trump administration has also heavily invested in incentives to spur construction of fourth-generation reactors that use coolants other than water. “Advanced light-water SMRs will give our nation the reliable, round-the-clock power we need to fuel the President’s manufacturing boom, support data centers and AI growth, and reinforce a stronger, more secure electric grid,” Secretary of Energy Chris Wright said in a statement. “These awards ensure we can deploy these reactors as soon as possible.”
You know who also wants to see more investment in SMRs? Arizona senator and rumored Democratic presidential hopeful Ruben Gallego, who released an energy plan Wednesday calling on the Energy Department to ease the “regulatory, scaling, and supply chain challenges” new reactors still face.
Since he first emerged on the political scene a decade ago, President Donald Trump has made the proverbial forgotten coal miner a central theme of his anti-establishment campaigns, vowing to correct for urbanite elites’ neglect by putting workers’ concerns at the forefront. Yet his administration is now considering overhauling black lung protections that miners lobbied federal agencies to enact and enforce. Secretary of Labor Lori Chavez-DeRemer will “reconsider and seek comments” on parts of the Biden-era silica rule that mining companies and trade groups are challenging in court, the agency told E&E News. It’s unclear how the Trump administration may seek to alter the regulation. But the rule, finalized last year, reduced exposure limits for miners to airborne silica crystals that lodge deep inside lung tissue to 50 micrograms from the previous 100 microgram limit. The rule also required companies to provide expanded medical tests to workers. Dozens of miners and medical advocates protested outside the agency’s headquarters in Washington in October to request that the rule, expected to prevent more than 1,000 deaths and 3,700 cases of black lung per year, be saved.
Rolling back some of the protections would be just the latest effort to gut Biden-era policy. On Wednesday, the White House invited automotive executives to attend what’s expected to be an announcement to shred fuel-efficiency standards for new vehicles, The New York Times reported late on Tuesday.
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The average American spent a combined 11 hours without electricity last year as a result of extreme weather, worse outages than during any previous year going back a decade. That’s according to the latest analysis by the U.S. Energy Information Administration. Blackouts attributed to major events averaged nearly nine hours in 2025, compared to an average of roughly four hours per year in 2014 through 2023. Major hurricanes accounted for 80% of the hours without electricity in 2024.
The latest federal grants may be good news for third-generation SMRs, but one of the leading fourth-generation projects — the Bill Gates-owned TerraPower’s bid to build a molten salt-cooled reactor at a former coal plant in Wyoming — just cleared the final safety hurdle for its construction permit. Calling the approval a “momentous occasion for TerraPower,” CEO Chris Levesque said the “favorable safety evaluation from the U.S. Nuclear Regulatory Commission reflects years of rigorous evaluation, thoughtful collaboration with the NRC, and an unwavering commitment to both safety and innovation.”
TerraPower’s project in Kemmerer, Wyoming, is meant to demonstrate the company’s reactors, which are designed to store power when it’s needed — making them uniquely complementary to grids with large amounts of wind and solar — to avoid the possibility of a meltdown. Still, at a private lunch I attended in October, Gates warned that the U.S. is falling behind China on nuclear power. China is charging ahead on all energy fronts. On Tuesday, Bloomberg reported that the Chinese had started up a domestically-produced gas turbine for the first time as the country seeks to compete with the U.S. on even the fossil fuels American producers dominate.
It’s been a rough year for green hydrogen projects as the high cost of producing the zero-carbon fuel from renewable electricity and water makes finding customers difficult for projects. Blue hydrogen, the version of the fuel made with natural gas equipped with carbon capture equipment, isn’t doing much better. Last month, Exxon Mobil Corp. abandoned plans to build what would have been one of the world’s largest hydrogen production plants in Baytown, Texas. This week, BP withdrew from a blue hydrogen project in England. At issue are strict new standards in the European Union for how much carbon blue hydrogen plants would need to capture to qualify as clean.
You’re not the only one accidentally ingesting loads of microplastics. New research suggests crickets can’t tell the difference between tiny bits of plastics and natural food sources. Evidence shows that crickets can break down microplastics into smaller nanoplastics — which may be even worse in the environment since they’re more easily eaten or absorbed by other lifeforms.