Siemens Cuts Emissions 66% and Helps Customers Avoid 694 Million Tons of CO₂

Saptakee S
-
0
Siemens Cuts Emissions 66% and Helps Customers Avoid 694 Million Tons of CO₂

Siemens made major progress toward its 2030 climate goals. On December 3, the company said that products sold over the past three years will help customers avoid 694 million metric tons of carbon emissions over their lifetime. That amount is close to Germany’s yearly emissions. Siemens also cut its own operational emissions by 66% compared to 2019, beating its 2025 target earlier than planned.

For the second year in a row, the company helped customers avoid more emissions than it produced across its full value chain. This shift shows how sustainability now strengthens the company’s business and competitiveness.

Sustainability Becomes Part of Siemens’ Core

Eva Riesenhuber, Global Head of Sustainability at Siemens, expressed herself in the press release,

“With more than 90 percent of our business enabling customers to achieve a positive sustainability impact in our three key impact areas, we’re uniquely positioned to empower them to become more competitive, resilient, and sustainable. Even further, our Sustainability Statement 2025 provides measurable proof that our impact on societal infrastructure goes beyond our customers and our own business transformation to reach, ultimately, our planet and society.”

The company uses its DEGREE framework to guide 14 sustainability targets. DEGREE covers six areas: decarbonization, ethics, governance, resource efficiency, equity, and employability. Siemens reports that more than 90% of its business portfolio helps create a positive impact in areas such as energy efficiency, circularity, and people-focused solutions.

Furthermore, it aims to cut scope 1 and 2 emissions by 90% by 2030 and reach net-zero across its full value chain by 2050. It also plans to reduce scope 3 emissions by 30% by 2030 compared to 2019.

Its scope 1 and 2 targets match a 1.5°C and scope 3 target aligns with a well-below-2°C pathway. A full 1.5°C scope 3 target would require a 46% cut, which may not be realistic across all markets today.

Emission Reduction Plan

Its 2025 sustainability report highlighted that for scopes 1 and 2, Siemens focuses on: electrifying its vehicle fleet, improving energy performance in buildings, and reducing fuel use in operations.

  • Between 2025 and 2030, the company plans to invest €320 million in capital spending and €410 million in operating costs for these initiatives.
scope emissions Siemens
Source: Siemens

Similarly, for scope 3, it targets reductions through: low-carbon materials, smarter product design, engaging suppliers on sustainability, and improving circularity and recovery at product end-of-life.

  • Its gross scope 3 emissions stood at 159,144 ktCO₂e in 2025.

Because Siemens sells many electric-powered products, customer emissions during product use depend on how fast global power grids decarbonize. Siemens says this is an important factor that could influence its long-term scope 3 progress.

Strong Gains in Circular Design and Resource Efficiency

Circularity remains a major focus for Siemens. In fiscal year 2025, the company expanded its Robust Eco Design approach to 67% of its product and service portfolio. This marked a 13% jump from the previous year.

More than 25,000 Siemens products earned the EcoTech label. These products meet strict environmental standards related to sustainable materials, lower energy use, and better recycling options.

At a sustainability forum, Ross Colon, CEO of Siemens Thailand, said Siemens’ technology helps customers avoid about 144 million tons of CO₂ every year. This amount is higher than the emissions in Siemens’ full supply chain. Colon said technologies like digital twins and AI-powered energy tools already offer strong solutions. “The technology we need is here today,” he said.

Siemens Limits Carbon Credit Use to Residual Emissions

Siemens follows science-based climate targets validated by the Science Based Targets initiative (SBTi) and prioritizes cutting emissions first to reach Net-Zero.

  • Total carbon credits planned to be cancelled over fiscal 2026–2030 are 70.5 ktCO₂e, of which 1.5 ktCO₂e are already covered by existing contractual agreements.
siemens carbon credits
Source: Siemens
  • Meanwhile, from fiscal 2030, after reducing Scope 1 and 2 emissions by 90%, Siemens will address remaining emissions with high-quality carbon credits.
  • Starting in fiscal 2050, it will offset any remaining Scope 1, 2, and 3 emissions, which will account for no more than 10% of its base-year emissions, using carbon credits that meet SBTi eligibility rules.

These credits are independently verified and follow strict standards for transparency, additionality, permanence, and avoiding double-counting. They also comply with rigorous rules for measuring, monitoring, and reporting greenhouse gas reductions.

Verified Credits Support Emission Goals

Additionally, Siemens recognizes credits certified by leading programs, including Verra’s Verified Carbon Standard, the Gold Standard, and Plan Vivo, as well as other standards such as ISO. It also applies safeguards, such as excluding projects started before 2016, checking project methods like reforestation species, and screening all involved parties.

siemens carbon credits
Source: Siemens

For projects beyond its GHG reduction targets, Siemens follows the Oxford Offsetting Principles. Its portfolio includes different types of credits, with a growing share of permanent removal credits each year. All credits meet verified standards and undergo internal due diligence similar to that applied for credits linked to emission reductions.

  • As a result, in fiscal 2025, Siemens retired 2.0 ktCO₂e of carbon credits outside its value chain.

Helping Customers Avoid Over 1 Billion Tons of Emissions by 2030

Along with reducing its own footprint, Siemens wants to help customers cut emissions at a massive scale. The company aims to enable more than 1 billion tons of cumulative avoided emissions from 2023 to 2030. These savings come from technologies such as efficient motors, automation systems, smart infrastructure, and electrification projects.

It hails customer impact as essential to global decarbonization, especially as industries move toward net-zero targets.

Climate and Innovation Drive Siemens’ Future

Siemens’ progress shows how fast corporate climate action is evolving. The company treats sustainability as a driver of growth, not a cost. With validated science-based targets, strong gains in circularity, and large customer emissions savings, Siemens positions itself as a major player in the global net-zero transition.

The company still faces challenges, including supply chain emissions and the speed at which customers adopt clean electricity. But Siemens remains confident that innovation, digital tools, and smart engineering can support the next stage of climate progress.

Overall, Siemens shows that climate action can strengthen both the planet and the bottom line — and that the transition to a low-carbon future is already underway.

Canada’s Stellantis Dispute: What It Means for EVs and Net-Zero Goals

Jennifer L
-
0
Canada’s Stellantis Dispute: What It Means for EVs and Net-Zero Goals

Canada’s decision to issue a default notice to Stellantis in late 2025 has become one of the year’s major industry stories. The move followed Stellantis’s decision to shift production of the Jeep Compass from its Brampton, Ontario, plant to Illinois in the United States.

The Canadian government claims this breaks earlier funding deals linked to jobs, manufacturing, and future electric vehicle (EV) plans. Stellantis argues that the change is temporary and linked to wider production adjustments in North America.

Beyond the contract disagreement, the situation raises bigger questions. It impacts the company’s EV rollout, its public image on ESG issues, and its long-term net-zero plan. It also tests how governments handle public incentives for the clean energy transition.

How the Conflict Started

The dispute began when Stellantis paused work at the Brampton plant earlier in 2025. The company said market conditions were shifting and that it needed time to reassess future models. The plant was getting ready for new Compass production. It expects stronger hybrid and electric models in the coming years. The pause led to layoffs for around 3,000 workers.

Months later, Stellantis moved production to Illinois. For Canada, this was a major concern. The federal government gave significant financial support, $222 million, to help the company keep operating in Brampton and Windsor. This included investments related to EVs.

The government of Canada and Ontario had pledged “roughly C$500 million” in public support for capital spending at the said Canadian assembly plants.

Officials said the shift broke the terms of the deal, so they issued a default notice and started a 30-day dispute resolution process.

Stellantis responded by saying it remains committed to Canada. It pointed to ongoing activity at the Windsor battery plant and other projects. The company said the Brampton change is an “operational pause,” not a permanent withdrawal.

Stellantis’s spokesperson, Lou Ann Gosselin, stated that:

“Stellantis continues to engage with the government in the dispute resolution process under the agreement. We are working towards our shared objective of securing a long-term, sustainable future for automotive manufacturing in Canada, including in Brampton.”

The outcome now depends on ongoing talks between Stellantis and the government.

Impact on EV Plans in Canada and North America

Stellantis has set major goals for expanding EV and hybrid production across the world. The company needs new factories, battery plants, and supply chain networks to reach these targets. Because of this, the Brampton decision creates uncertainty for Canada’s place in that strategy.

Stellantis EV rollout production plan

The Compass was expected to become one of the company’s next electrified models produced in Canada. Moving production may slow down that plan. It also impacts the country’s aim to create a solid EV manufacturing base. This includes battery cell production, mineral processing, and final assembly.

Canada targets 100% zero-emission vehicle sales by 2035. It has interim goals of 20% by 2026 and 60% by 2030. This plan supports battery production, expected to reach a market size of US$57.50 million by 2025, with a 22% annual growth rate.

Canada Zero Emission Vehicle Target
Source: Government of Canada

Stellantis’ Windsor battery plant, in partnership with LG Energy Solution, focuses on lithium-ion cells for North America. Government support links it to Brampton operations.

Notably, Budget 2025 includes a new $50 million Critical Minerals Fund starting in 2026. It also features Accelerated Investment Incentives for EV-related assets, such as zero-emission vehicles and clean equipment.

The dispute reflects broader pressures from U.S. trade policy, including tariffs on imported vehicles. Stellantis shifted production to avoid higher costs under these tariffs. While the move triggered Canada’s default notice, it highlights how trade measures can influence automakers’ production decisions.

Tariffs raise the costs of cross-border manufacturing. This can push companies to focus on saving money instead of keeping local commitments. This happens even when public funding and EV projects are involved.

This case shows how EV strategies depend on long-term commitment. Moving a model meant to aid future electrification brings up concerns about execution and timing. It also highlights how cross-border rules, tariffs, and manufacturing incentives can shape decisions, even when they clash with broader sustainability goals.

Why Production Moves Matter for Net-Zero Pathways

Stellantis aims to reach carbon net zero by 2038. This includes emissions from its factories, supply chain, and the use of its vehicles. Reaching that target requires steady progress in electric vehicle adoption, cleaner production, and more renewable energy.

Stellantis net zero
Source: Stellantis

The dispute with Canada may not change the company’s long-term goals, but it affects the pathway toward them. When EV projects slow down, carbon reductions slow as well. This is especially true in North America, where passenger vehicle emissions are a big part of climate plans.

Several risks emerge:

  • Delays in EV launches reduce the pace of emissions cuts from new vehicles.
  • Interrupted supply chains increase emissions when materials travel longer distances.
  • Delays in battery plant ramp-up limit production of low-carbon models.
  • Short-term reliance on combustion models keeps fleet emissions higher for longer.

To stay on track, Stellantis must show how it will balance financial pressures with commitments to carbon reductions. The company has to explain how production adjustments fit into its net-zero roadmap and what new steps it will take to reduce emissions.

Its strategy combines cleaner manufacturing, electrification, and circular‑economy practices to lower greenhouse‑gas emissions. So far, the carmaker achieved the following:

  • By 2024, Scope 1 and Scope 2 emissions dropped about 39 % relative to 2021 levels.

  • 59 % of the electricity powering Stellantis operations came from decarbonized sources in 2024, up from 45 % in 2021.

Stellantis GHG emissions 2024
Source: Stellantis 2024 Sustainability Statement

  • Has expanded circular‑economy practices, recycling over two million vehicle parts globally in 2023, including bumpers, wheels, catalytic converters, and high‑voltage batteries.

Stellantis is pursuing an aggressive electrification roadmap, offering more battery‑electric and hybrid models. It is building an integrated battery ecosystem, including sustainable sourcing and recycling.

Also, efforts target emissions across the full “well‑to‑wheel” and “cradle‑to‑grave” lifecycle, including production, operations, and vehicle use.

A Turning Point for EV and ESG Expectations

Governments across the world are offering major financial incentives to support EV manufacturing. These include tax credits, direct funding, and long-term partnerships with automakers. Canada’s firm response to Stellantis shows that public funding may come with much stricter enforcement in the future.

This dispute could reshape how public-private partnerships work in the clean energy transition. It shows that governments want companies to fulfill their duties. This includes not only financial responsibilities but also creating jobs, making EVs, and developing supply chains.

The decision to move production affects Canadian workers, EV timelines, and carbon-reduction goals. It shapes the company’s reputation with governments and investors. It also highlights the challenges automakers face when balancing cost pressures with sustainability goals.

The Stellantis-Canada conflict is a test of how well the auto industry can manage the shift to electric mobility while meeting net-zero commitments. As talks continue, the results will influence future EV projects in Canada and beyond. It will also shape how governments structure funding deals tied to clean technology transitions.

Meta and NextEra Partner for a Big Solar and Storage Energy Deal

Jennifer L
-
0
Meta and NextEra Partner for a Big Solar and Storage Energy Deal

Meta, owner of Facebook, Thread, Instagram, and WhatsApp, has signed one of its largest clean energy agreements in the United States. The company entered a new partnership with NextEra Energy Resources to secure about 2.5 gigawatts (GW) of solar power and energy storage.

The deal includes projects across several major U.S. power markets and will support the growing electricity needs of Meta’s data centers. It also expands Meta’s long-term plan to match its operations with clean and renewable energy.

Inside Meta’s Biggest Solar-and-Storage Power Grab Yet

Meta and NextEra Energy agreed on a group of long-term power purchase agreements. These contracts cover 11 new solar power deals and two battery storage agreements. When combined, they equal about 2.5 GW of clean energy capacity. This is enough electricity to support several large data centers.

Most of the new capacity comes from nine solar farms, which will be built in regions covered by ERCOT in Texas, SPP in the central U.S., and MISO in the Midwest. Some of the projects are also based in New Mexico under the local utility’s clean energy program. These New Mexico facilities will deliver around 190 megawatts (MW) of solar energy and 168 MW of battery storage.

The new contracts add to previous deals between Meta and NextEra. Before this announcement, Meta already had about 500 MW of clean energy agreements with the company. The new projects will begin construction over the next few years. Both companies expect the facilities to start operating between 2026 and 2028.

Here are the main items from the deal:

  • About 2.5 GW in total clean energy capacity.
  • Solar projects across ERCOT, SPP, MISO, and New Mexico.
  • 9 major solar plants and several battery systems.

These contracts are long-term and are designed to supply clean electricity directly to Meta’s operations in the U.S.

Why This Deal Matters to the Companies and the US Grid

This agreement matters to several groups, including Meta, NextEra, state and local communities, and America’s power system.

For Meta, the deal strengthens its ability to support its fast-growing data center network with clean power. Data centers use a lot of electricity, and demand is rising because of cloud services and artificial intelligence.

By signing long-term clean energy contracts, the tech giant gains more control over future energy costs. It also moves closer to its goal of matching all company operations with renewable energy.

For NextEra Energy Resources, the partnership adds to its development pipeline and strengthens revenue through stable, multi-year contracts. The company already leads the U.S. market in renewable power development. Securing large buyers like Meta helps lower financing risks and increases the speed of project construction.

For local communities, the new solar and storage projects will bring jobs. Construction of these facilities is expected to create more than 2,400 temporary jobs, along with additional economic activity from local spending on equipment and services.

For grid operators, new capacity in ERCOT, SPP, and MISO arrives at a time when these regions are managing higher power demand. Many states in these markets have seen strong growth in tech-driven electricity use.

Moreover, as the projects include battery storage, they can support the grid by providing power during late afternoon and evening hours when solar production drops.

Urvi Parekh, Head of Energy at Meta, noted:

“We are proud to continue our collaboration with NextEra Energy Resources in advancing energy infrastructure and storage solutions. The integration of 2.1 GW across ERCOT, SPP, and MISO, along with more than 350 MW from the three-way collaboration with PNM in New Mexico, to support our data center operations, demonstrates how industry cooperation can drive technological progress and strengthen America’s energy infrastructure.”

What the Numbers Show About America’s New Energy Boom

This deal reflects a wider trend in the energy market. Large technology companies are now among the biggest buyers of renewable power in the world.

Large tech firms lead global renewable procurement, with Meta securing 791 MW solar PPAs in 2025, plus this new deal with NextEra. This contributes to over 9.8 GW total contracted capacity toward 100% U.S. data center renewables by 2030.Meta Annual Renewable Energy Deals Announced

Meta’s annual clean energy procurement shows steady growth, peaking in 2025 with record announcements to power AI data centers. Google and Microsoft have similarly expanded deals, including Google’s 900 MW solar PPA, positioning tech as top buyers amid AI-driven needs.

As data center demand increases, these companies must secure a long-term electricity supply. Many now choose clean energy because it offers stable pricing and supports corporate climate goals.

  • Meta’s 2.5 GW contract also highlights how fast renewable power is scaling. For comparison, one gigawatt of solar can power hundreds of thousands of homes.

Deals of this size were rare a decade ago. Today, they are becoming more common as renewable energy becomes cheaper and easier to build.

Developers like NextEra are responding to this demand. Rising interest from data center operators has encouraged the company to raise its earnings forecast for the next several years.

U.S. electricity consumption hit record highs in 2024, with EIA forecasting further rises due to data centers for AI and crypto. Data center power demand may climb 20-40% in 2025. Some regions are seeing 4%+ annual growth through the early 2030s and a potential 4x expansion by 2032.

US data center power use 2030 BLoomberg
Source: Bloomberg

Battery storage also plays a bigger role in these new deals. Storage can reduce stress on the power grid by holding excess solar energy and releasing it at night. U.S. battery capacity targets exceed 30 GW by end-2024. Some analysts expect up to 140-150 GW by 2030 despite interconnection hurdles.

These changes point to a shift in how the U.S. energy system plans new resources. Instead of relying mostly on natural gas or coal, utilities and developers are now building more solar, wind, and batteries. Corporate buyers like Meta help drive this shift by guaranteeing demand for new clean energy projects.

US battery energy storage 2030
Source: McKinsey & Company

How Meta Is Building a Multi-Tech Clean-Power Portfolio

Meta has been expanding its clean energy portfolio for years, and this new deal fits into a broader strategy. The company has already signed dozens of renewable contracts across the U.S. and has pledged to match its global operations with clean energy.

In mid-2025, Meta signed a 20-year nuclear power agreement for more than 1 GW of carbon-free energy in Illinois. This deal supports the Clinton Clean Energy Center and helps keep the plant in operation through the next decade.

Meta has also partnered with other solar developers, including ENGIE North America, on a 600 MW solar project in Texas.

Meta’s energy strategy focuses on three main goals:

  • Support the growth of renewable and zero-carbon energy.
  • Secure long-term electricity supply for data centers.
  • Reduce the company’s carbon footprint and meet climate commitments.

The new agreement with NextEra strengthens all three goals. It also shows that large companies are willing to support a mix of technologies, including solar, batteries, and nuclear, to meet long-term needs.

Is This the Next Phase of U.S. Clean Energy?

Meta’s new 2.5 GW clean-energy agreement with NextEra represents a major step for both companies and for the U.S. renewable energy market. The deal adds a large amount of new solar and battery capacity to several important power regions. It supports Meta’s growing electricity needs and strengthens NextEra’s project pipeline.

As the country’s energy system shifts toward clean power, partnerships like this help speed the transition. The success of the projects will depend on construction schedules, grid connections, and long-term planning. But the scale of the deal shows how fast clean energy development is advancing, and how large companies are helping build the next generation of the nation’s power supply.

Verra Issues First CCP-Labeled IFM Credits Under VM0045: A New Era for Forest Carbon Accounting

Saptakee S
-
0
Verra Issues First CCP-Labeled IFM Credits Under VM0045: A New Era for Forest Carbon Accounting

Verra has officially issued the first carbon credits carrying the Core Carbon Principles (CCP) label under its Improved Forest Management (IFM) methodology, VM0045. This milestone comes after the Integrity Council for the Voluntary Carbon Market (ICVCM) approved the latest version of the methodology, marking a major step forward for transparent and reliable forest carbon accounting.

VM0045—formally known as Improved Forest Management Using Dynamic Matched Baselines from National Forest Inventories—introduces a new way of evaluating forest carbon. Instead of relying on long-term growth models or outdated assumptions, it uses real, continuously updated forest inventory data to set dynamic baselines. This design helps project developers track real-world carbon changes with a higher level of precision and integrity.

Mandy Rambharos, CEO, Verra, noted:

“This is a powerful example of how innovation and integrity can work hand-in-hand to unlock new opportunities for forest stewardship. VM0045 not only meets the highest standards of climate rigor but also empowers rural landowners to participate in climate action in innovative and impactful ways. We’re proud to see CCP-labeled credits being generated by a project that puts family forest owners at the center of the solution.”

Verra’s VM0045: A New Approach to Forest Carbon Accounting

VM0045 stands out because it supports many IFM practices and uses dynamic performance benchmarks. Instead of relying on modeled projections, it directly compares project plots with matched baseline plots taken from national forest inventory data. These baseline plots come from outside the project area but share the same starting conditions.

Because the baseline plots are monitored over time, the method captures real changes in forests, including impacts from climate, pests, markets, and natural disturbances. This real-time comparison creates a quasi-experimental setup, making carbon accounting more accurate and harder to manipulate.

The methodology focuses on measuring actual changes in carbon, not estimating total carbon stocks. Tracking increases or decreases within permanent sample plots improves the precision of reported emission reductions and carbon removals.

How it Works in Practice

The methodology allows projects to adopt one or more specific IFM practices that deliver measurable climate benefits. To qualify, these practices must be new, additional, and not pre-existing on the land.

Examples of eligible IFM activities include:

  • Enrichment planting
  • Managing vegetation to support natural regeneration
  • Irrigation or fertilization to improve tree growth
  • Lowering harvest levels
  • Delaying or extending harvest cycles
  • Setting up forest reserves
  • Reducing fire risk through fuel management

For all these activities, VM0045 uses a large-scale monitoring and accounting system that tracks how each practice affects greenhouse gas (GHG) emissions or carbon sequestration.

Unlike traditional IFM methodologies, VM0045 does not require developers to run growth-and-yield forest models. Instead, it uses actual field measurements from both the project area and matched baseline plots. As these plots are monitored year after year, the methodology updates baseline expectations dynamically.

This approach ensures that project results reflect the real world—not hypothetical scenarios—making the credits more credible to buyers and regulators.

Key Deadlines and Versions

Several important deadlines apply to VM0045 users:

  • VM0045 v1.2 became active on July 10, 2025.
  • Projects using v1.1 must complete validation and submit registration by April 30, 2026.
  • Verra released Corrections and Clarifications for v1.1 on December 13, 2024, and all projects using that version must apply them.
  • Projects using v1.0 must have been listed before March 12, 2024, and validated by March 12, 2025.

These updates ensure that projects operate under the most rigorous version of the methodology.

KNOW MORE:

First Credits Issued: Family Forest Carbon Program

The Family Forest Carbon Program – Central Appalachia, developed by the American Forest Foundation (AFF) with support from The Nature Conservancy, became the first project to receive credits under VM0045 v1.2. The project earned 18,326 Verified Carbon Units (VCUs).

Although the project originally began under version 1.1, AFF voluntarily transitioned to v1.2 after it received ICVCM approval. This move demonstrates a strong commitment to environmental integrity and the highest standards of carbon crediting.

This issuance also highlights how VM0045 can open the voluntary carbon market to small landowners. These landowners often struggle with high participation costs and complex requirements. The simpler, more standardized design of VM0045 helps reduce those barriers.

Carbon Sequestration Potential of Forests 

IFM credits
Source: BCG.com

Using National Forest Inventories—In the U.S. and Beyond

Currently, VM0045 uses data from the U.S. Forest Service’s Forest Inventory and Analysis (FIA) database, which tracks forest conditions across the country. However, the methodology was designed to be globally adaptable. Many countries have national forest inventory programs with comparable datasets.

Work is underway to expand VM0045 so developers in more regions can use their national inventories to build dynamic baselines and project comparisons. This will make the methodology a powerful tool for forest conservation worldwide.

Global Impact of IFM on Carbon Markets

Improved Forest Management, or IFM, refers to a set of sustainable practices that help existing forests store more carbon or avoid emissions. Unlike plantiFng new forests, IFM focuses on managing current forestlands in ways that increase carbon storage while supporting ecosystem health.

These practices help forests grow older, become more diverse, and build resilience against disturbances like fire, drought, and pests. At the same time, IFM supports continued timber production by optimizing harvest cycles instead of eliminating them.

Because IFM projects often run for 100 years or more, they ensure long-term carbon benefits and create healthier forests that can withstand climate stress.

IFM credits CCP
Source: BCG.com

IFM plays a major role in voluntary carbon markets.

  • Studies have shown that, globally, 293 IFM projects have produced about 11% of all offset credits issued by registries. These projects direct substantial climate finance into forest conservation.
  • IFM practices could increase global carbon stocks by 0.2 to 2.1 gigatonnes of CO₂e per year without reducing wood supply or other ecosystem services.
  • Practices like longer rotations, reduced-impact logging, soil protection, and habitat conservation all help build more stable and productive forest ecosystems.

In tropical regions, for example, reduced-impact logging preserves soil carbon and limits forest degradation. In temperate forests, extending harvest cycles helps trees store more carbon while maintaining timber revenues.

IFM can also boost resilience, reducing the risk of carbon loss from wildfire, insects, and extreme weather—threats that are becoming more intense due to climate change.

Thus, with strong support and a robust regulatory environment, IFM projects—especially those under VM0045—can play a crucial role in creating a more sustainable and climate-resilient future.

READ MORE:

Oklo Stock Rockets After Nvidia CEO Jensen Huang Backs Nuclear for AI Data Centers

Saptakee S
-
0
Oklo Stock Rockets After Nvidia CEO Jensen Huang Backs Nuclear for AI Data Centers

Artificial intelligence is expanding at a breathtaking pace, and its growing energy needs are creating a new problem for the tech world. This week, the discussion took a dramatic turn after Nvidia (NASDAQ: NVDA) CEO Jensen Huang backed nuclear power as the key to powering the next generation of AI. His comments immediately sent ripples through the market—especially for SMR companies Oklo (NYSE: OKLO).

Oklo shares surged almost 24% after Huang predicted that advanced reactors would become essential within six to seven years. The move added to Oklo’s already unbelievable 1,000% gain over the past year. Investors took Huang’s view seriously, and nuclear energy stocks suddenly looked like the next beneficiaries of the AI boom.

OKLO share price

The One Comment That Made Oklo an AI Stock Sensation

Huang didn’t comment lightly. As per media reports, during his appearance on The Joe Rogan Experience, he warned that energy is becoming “the bottleneck” for AI. Data centers, he said, are turning into “gigawatt factories,” and the current grid simply cannot handle the pressure.

  • His message was clear: AI will need stable, round-the-clock, carbon-free power—and nuclear checks every box.

Oklo’s momentum reflects this shift. The California company is developing fast-neutron microreactors called Aurora powerhouses, which deliver 15–75 MW of clean energy using recycled nuclear waste. These reactors can run up to 10 years without refueling, making them ideal for remote areas or power-hungry AI campuses.

This year, Oklo struck a historic deal with data-center giant Switch. Under what the companies call the “Master Power Agreement,” Switch plans to deploy 12 gigawatts of Oklo’s reactors through 2044. It is one of the largest corporate clean-power agreements ever signed and places Oklo at the center of the AI energy transition.

Oklo’s market cap has now reached about $16.35, driven by both investor enthusiasm and the belief that nuclear microreactors will become standard infrastructure for AI-ready data centers. Wedbush analyst Daniel Ives even raised his price target to $150, saying the demand for reliable new energy sources is overwhelming.

Regulators Still Stand in the Way

Despite the excitement, Oklo remains a pre-revenue company. It is still navigating the lengthy U.S. Nuclear Regulatory Commission (NRC) approval process, which has hindered the advancement of nuclear technology for years. The company aims to deploy its first reactors by 2027 or early 2028; however, timelines in the nuclear industry are rarely straightforward.

Even so, Oklo is making progress. It received clearance from the DOE and Idaho National Laboratory (INL) to begin site characterization for its first commercial plant. It also received a permit to access fuel material from INL and submitted the first custom combined license application for an advanced fission plant.

NuScale Power also rallied after Huang’s comments. However, NuScale remains a speculative investment, though, because it does not generate meaningful revenue and has struggled with costs. Analysts note that investors who want nuclear exposure without company-specific risks may prefer nuclear energy ETFs.

DOE Plans a Nuclear Boom to Feed Exploding AI Demand

The nuclear momentum isn’t just coming from Silicon Valley. The Department of Energy and the National Nuclear Security Administration (NNSA) are turning to nuclear power as the backbone for future AI growth.

Federal agencies are preparing major sites—Savannah River Site, Oak Ridge Reservation, Idaho National Laboratory, and the Paducah Gaseous Diffusion Plant—to host AI data centers powered by advanced reactors. This signals a major shift in how the U.S. plans to fuel digital infrastructure.

A key DOE study called for tripling U.S. nuclear capacity from today’s 100 GW to 300 GW by 2050. The report identified 190 potential coal and retired nuclear sites that could host up to 269 GW of new reactors.

Bloomberg Intelligence projects U.S. nuclear capacity could rise 63% to 159 GW by 2050, requiring around $350 billion in investment—much of it driven by AI.

US nuclear

Only Nuclear Fits the Bill

The numbers reveal the urgency. According to the U.S. Department of Energy (DOE):

  • U.S. data centers consumed 176 TWh of electricity in 2023, equal to around 4.4% of all U.S. power use.

  • By 2028, this could reach 325–580 TWh, mainly because of AI servers.

  • By 2035, AI data centers alone could double total U.S. data-center demand to about 9% of the national grid.

Globally, data centers could consume over 4% of electricity by 2035, making them one of the world’s biggest power users.

us data center energy
Image sourced from: PEW research center

As AI models grow, so does the energy intensity. Next-generation chips generate more heat, require more cooling, and most importantly, need nonstop power. Solar and wind can contribute, but their intermittent nature makes them difficult to rely on 24/7. Nuclear, in contrast, offers constant, carbon-free electricity that fits perfectly with AI’s nonstop compute cycles.

Tech Giants Secure Nuclear Deals

Big Tech doesn’t want to wait for grid upgrades. Companies are directly partnering with nuclear operators to secure decades of stable power:

  • Microsoft signed a 20-year agreement with Constellation to restart the Three Mile Island Unit 1 reactor, bringing 837 MW of power to its data centers.

  • Meta signed a long-term deal with Constellation to expand an Illinois nuclear plant by 30 MW, protecting local jobs and boosting the grid.

  • Amazon Web Services secured a 10-year contract for several hundred MW from Talen Energy’s Susquehanna nuclear plant.

These deals show that nuclear power is becoming a competitive advantage in the AI race. Companies that secure clean, steady electricity today will scale faster than those stuck waiting for the next power line.

nuclear power investment
Source: IEA

Is Oklo Ready to Fuel the AI Era?

Huang’s endorsement gave Oklo a huge confidence boost. The company sits at the intersection of AI, clean energy, and next-gen nuclear technology. If its Aurora powerhouses reach commercial deployment on schedule, Oklo could become one of the most important energy suppliers for the AI era.

Still, it faces years of regulatory review, technical testing, and construction challenges. NuScale has similar hurdles and remains a high-risk bet.

Yet the broader trend is undeniable: AI needs nuclear power to grow, and nuclear companies are finally receiving the attention and investment they long waited for. And with Nvidia’s CEO putting the spotlight on advanced reactors, Oklo may be stepping into its most important chapter yet.

Peatland Carbon Credits: Microsoft Invests in Pantheon to Restore Peatlands for Durable Carbon Removal

Saptakee S
-
0
Peatland Carbon Credits: Microsoft Invests in Pantheon to Restore Peatlands for Durable Carbon Removal

Recently, Microsoft partnered with Pantheon Regeneration to restore degraded peatlands in the U.S. The partnership aims to generate high-quality peatland carbon credits, sequester carbon for centuries, and provide one of the most durable nature-based climate solutions.

Before diving deeper into the deal, it’s important to understand how peatland restoration works and how it generates carbon credits. Let’s read on.

Peatlands: Nature’s Most Concentrated and Durable Carbon Sink

Surprisingly, peatlands are one of Earth’s most powerful climate allies. These waterlogged ecosystems hold the largest natural land-based carbon reserve on the planet. Scientists estimate that peatlands store roughly 455 gigatonnes (Pg) of carbon—about twice the amount locked in all the world’s forests combined. Most of this carbon sits deep within saturated peat soils, built over thousands of years as partially decomposed plants accumulated layer after layer.

pantheon peatland
Source: pantheon

Because of this extraordinary carbon density, peatlands play a huge role in global climate regulation. However, when they are drained, disturbed, or converted for agriculture and development, they shift from carbon sinks to major carbon sources. Restoring and rewetting peatlands has therefore become one of the most critical nature-based actions for climate mitigation today.

Why Peatland Rewetting Matters for Climate Action

Peatlands store more carbon per hectare than any other ecosystem—even more than lush tropical forests. Their natural state is wet, oxygen-poor, and stable, which keeps organic matter from breaking down. But once drained, peat dries out and decomposes rapidly, releasing heavy amounts of CO₂ into the atmosphere.

Drained peatlands contribute a surprisingly large share of global emissions. They are prone to fire, especially during periods of heat and drought intensified by climate change. Wildfires in degraded peatlands burn underground for weeks or months, releasing enormous carbon plumes while destroying biodiversity and threatening communities.

Rewetting turns this trend around. By restoring natural water levels, peatlands return to their slow, steady carbon-locking function. Wet soil prevents decomposition, sharply reduces fire risk, and revives entire ecosystems. As a result, peatland rewetting is now widely recognized as one of the most impactful nature-based climate solutions.

Peat performs multiple roles at once—it removes carbon, buffers floods, filters water, and supports rare species. Restoring peatlands delivers benefits for climate mitigation, climate adaptation, and ecological recovery, all at the same time.

Carbon Credits from Peatland Rewetting

Peatland rewetting not only cuts emissions but also generates verified carbon credits. Several established methodologies allow restoration projects to measure, certify, and issue credits based on avoided emissions and enhanced carbon storage.

Key methodologies include:

  • Verra VM0027 – Designed specifically for rewetting tropical peatlands.
  • Verra VM0036 – Tailored for temperate and boreal peatland restoration.
  • MoorFutures – A pioneering regional standard developed in Germany for peatland-based credits.

These standards have already been used in real-world projects. We found out that one of the earliest examples, the Kieve Polder project in Germany, is projected to remove 38,655 tonnes of CO₂ over 50 years. The project demonstrates how peatland restoration can deliver both ecological gains and economic value through the carbon market.

Durable carbon removal peatland

The Power of Rewetting Peat

Pantheon has explained the following attributes of rewetting peat.

  1. Exceptional Carbon Density: Peatlands are the planet’s most concentrated terrestrial carbon stores. They can hold up to 10 times more carbon per hectare compared to forests or grasslands. This unique density means that even small peatland areas have global significance.
  1. Long-Term Permanence: Once rewetted, peat soils remain waterlogged, which dramatically slows decomposition. This natural process locks carbon away for thousands of years. As long as the site stays wet, permanence is extremely high, making peat restoration one of the most durable forms of natural carbon removal.
  1. Resilience and Climate Adaptation: Healthy peatlands moderate water flow, reducing the impact of droughts, floods, and storms. Rewetting also lowers wildfire risk and stabilizes landscapes. These hydrological benefits create safer environments for both people and wildlife.
  1. Biodiversity Revival: Restoration reestablishes habitats for rare plants, migratory birds, and other peat-dependent species. Biodiversity bounces back quickly when peatlands return to their natural, wet conditions.
  1. Water Quality Improvements: Rewetted peatlands act like natural sponges and filters. They absorb and store freshwater, gradually releasing it downstream while improving water quality.
  2. Health Benefits: By reducing peat fires and smoke pollution, rewetting helps lower respiratory health risks for nearby communities—a key but often overlooked benefit.

Pantheon Regeneration and Microsoft: A Major Step for U.S. Peatland Restoration

Pantheon Regeneration recently secured a strategic investment from Microsoft’s Climate Innovation Fund, marking a significant milestone for peatland restoration in the United States. This funding will accelerate Pantheon’s ability to develop and scale ecological restoration projects that deliver high-quality carbon removal.

Pantheon’s approach combines scientific rigor with large-scale project execution. By focusing on peatlands—one of Earth’s most carbon-dense ecosystems—the company aims to generate meaningful volumes of high-quality, durable carbon credits. At the same time, its restoration efforts bring back critical wetland ecosystems that have quietly supported climate balance for thousands of years.

Pantheon CEO Tripp Wall noted the significance of the investment:

“Support from the Microsoft Climate Innovation Fund is a profound game-changer. The Pantheon team has been driven from day one by the enormous potential of our ecosystem restoration work to deliver the type of landscape scale climate solutions the planet needs and the carbon credit quality and volumes the market craves. We are grateful for this recognition of the quality of what we’re doing and know their support will enable us to scale our work.”

Pocosin Ecological Reserve I: A Flagship Project

Pantheon’s first major project, Pocosin Ecological Reserve I (PER I), is among the earliest commercial peatland restoration initiatives in the U.S. Located on the Scuppernong High in the Southeastern United States, the site contains some of the deepest peat deposits in the region’s coastal plain.

Historically drained for farming and forestry, the land experienced large carbon releases and frequent fire risks. Today, PER I spans 14,500 acres and is bordered on three sides by a federal wildlife refuge—an ideal setup for landscape-scale restoration.

PER I is designed to show what peatland restoration can achieve when science, land stewardship, and carbon markets align. The project aims to reverse decades of degradation, bring back natural hydrology, sequester large amounts of carbon, and enhance biodiversity across a vast ecosystem.

A Science-Led Approach

Pantheon works closely with Duke University to monitor ecosystem recovery, carbon storage, water benefits, and biodiversity outcomes. This science-first strategy ensures that the carbon credits produced meet the highest quality expectations for corporate buyers seeking durable, verifiable climate solutions.

Microsoft’s investment strengthens Pantheon’s ability to scale its project pipeline, improve monitoring systems, and accelerate the delivery of high-quality credits. Erika Basham, Director of Microsoft’s Climate Innovation Fund, will join Pantheon’s board as an observer—underscoring the strategic importance of the partnership.

Microsoft’s Broader Climate Strategy

Microsoft has committed to becoming carbon negative by 2030 and removing all historical emissions by 2050. Achieving this ambition requires a diverse portfolio of both natural and engineered carbon removal approaches. Peatland restoration fits squarely into this strategy because of its durability, ecological benefits, and scalability potential.

The investment in Pantheon reflects Microsoft’s recognition that nature-based solutions—when implemented with scientific integrity—play a vital role in global decarbonization.

A Climate Solution Rooted in Nature

Peatlands may be quiet landscapes, but their importance is immense. Rewetting them prevents large emissions, restores natural resilience, and locks carbon away for millennia. With growing momentum from developers like Pantheon and buyers like Microsoft, peatland restoration is gaining long-overdue recognition as one of the most powerful and durable climate solutions available today.

FURTHER READING:

EU Unlocks €5.2B for Clean-Tech Innovation: Hydrogen, Heat, and Net-Zero Projects

Jennifer L
-
0
EU Unlocks €5.2B for Clean-Tech Innovation: Hydrogen, Heat, and Net-Zero Projects

The European Commission has launched a major funding package worth €5.2 billion, drawn from revenues under the EU Emissions Trading System (EU ETS). It aims to support clean transition technologies and push Europe toward a low-carbon future.

The EU package, under the Innovation Fund, has three funding tracks that opened together:

  • Net-zero technology projects
  • Hydrogen production
  • Industrial heat decarbonization

This shows a coordinated effort across different sectors. The EU wants to decarbonize heavy industries and aims to promote renewable energy and boost clean-technology innovation in member states.

What Is the Innovation Fund?

The funding is part of the EU Innovation Fund. This is the EU’s main tool for backing net-zero and low-carbon technologies. The Fund gets money from the EU ETS. Companies pay for carbon allowances, also known as carbon credits. Then, the proceeds go into clean-tech projects.

From 2020 to 2030, the Innovation Fund aims to mobilise up to €40 billion, assuming a carbon price of €75 per tonne. So the new €5.2 billion allocation is a big part of the Fund’s 10-year budget. This shows the EU’s strong commitment to becoming climate-neutral.

The Fund backs many technologies. These include renewable energy, energy storage, industrial decarbonisation, carbon capture, green mobility, and clean buildings. It also supports unique projects that are too risky for private investors on their own.

The Three Pillars: Net-Zero, Hydrogen, and Industrial Heat

According to the Commission’s “Calls for Proposals” page, the €5.2 billion is split into three parts: a net-zero technology fund, a hydrogen auction, and a heat-decarbonization auction.

  • €2.9 billion — for the 2025 Net-Zero Technologies Call (grant funding)
  • €1.3 billion — for the third hydrogen auction under the European Hydrogen Bank
  • €1.0 billion — for the first industrial process-heat decarbonisation auction under the Industrial Decarbonisation Bank

EU innovation fund for clean transition 2025

This structure takes a broad approach. It promotes clean technologies, enables green fuels, and targets a tough area to decarbonize: industrial heat. The EC states:

“Together, these opportunities mark a major step forward in achieving the EU’s climate and energy objectives by 2030 and climate neutrality by 2050. They will also significantly contribute to progress on the clean transition and deliver the Clean Industrial Deal, boosting the competitiveness and resilience of European industry.”

What the €2.9 Billion Net-Zero Funding Covers

On November 3, 2025, the Commission announced that the €2.9 billion grant will support 61 net-zero technology projects across Europe. The projects span 19 different industrial sectors and take place in 18 European countries.

The targeted sectors are:

  • Energy-intensive industries (like steel, cement, and chemicals)
  • Renewable energy and energy storage
  • Clean mobility
  • Net-zero buildings
  • Cleantech manufacturing
  • Industrial carbon management

The Commission says these projects will reduce 221 million tonnes of CO₂ equivalent in their first ten years. That is roughly equal to taking nearly 10 million average European cars off the road for a year.

The call attracted 359 applications, requesting a total of €21.7 billion — more than nine times the available budget. This strong interest shows high demand for clean tech in Europe, even when support is limited.

The 61 projects are now moving into the grant agreement preparation phase with CINEA, the European Climate, Infrastructure and Environment Executive Agency. Contracts are expected to be finalised in the first half of 2026.

Hydrogen Auction: Betting on Clean Fuel Supply

The second pillar is a €1.3 billion auction under the European Hydrogen Bank. This auction supports renewable hydrogen production. It is key for heavy industry, shipping, aviation, and other hard-to-electrify sectors.

For the first time in this auction, low-carbon hydrogen made by electrolysis can join renewable hydrogen. This expanded eligibility shows the Commission’s practical approach.

Renewable hydrogen is the long-term goal, but low-carbon hydrogen can meet immediate needs. It also helps industries transition more smoothly.

Europe green hydrogen production 2050

By subsidising the gap between production costs and market price, the auction helps make hydrogen more competitive with fossil fuels. The expected outcome: a growing supply of clean hydrogen, enabling industries to switch away from natural gas and oil.

The EU views hydrogen as key to its clean energy shift. This is especially true for heavy industries and transport sectors that are hard to electrify.

Industrial Heat: Targeting a Hard-to-Decarbonize Sector

The third funding track allocates €1.0 billion for an auction through the Industrial Decarbonisation Bank. It aims to decarbonise industrial process heat. Long-term industrial heat is tough to reduce. Factories often use fossil fuels for high-temperature processes.

The auction supports innovative technologies like heat pumps, electric boilers, and induction heating. It also includes other renewable or electricity-based heating solutions. It may also support renewable heat sources such as solar thermal or geothermal, where applicable.

The EU plans to offer dedicated funding for industrial heat. This will help energy-intensive industries cut emissions and stay competitive. The program welcomes many sectors, including heavy manufacturing and smaller to medium-sized factories. This creates a chance for wide impact throughout Europe.

Why Now? Timing and Climate Ambitions

The new funding package arrives as Europe seeks to meet its climate goals under the European Green Deal. The EU Innovation Fund is key to this effort. It offers money for new, hard-to-commercialize clean technologies throughout the continent.

EU 2040 climate goal

The size and scope of the €5.2 billion package underline the EU’s commitment. The Innovation Fund aims to raise up to €40 billion from 2020 to 2030. This recent funding round is a key step forward.

The program also helps balance climate ambitions with economic competitiveness. By supporting emerging technologies and clean energy supply chains, the EU aims to reduce dependence on imports, create jobs, and secure its industrial future.

The Source of Funding: EU ETS

The EU ETS requires companies in power, industry, aviation and now shipping to pay for their greenhouse‑gas emissions. Every allowance — which allows a company emit one tonne of CO₂ — is auctioned under a cap that shrinks each year to cut total emissions.

The money raised from selling these allowances helps fund the Innovation Fund. Through this system, polluters pay for emissions while those revenues are reinvested to support clean energy projects, renewable fuels, and low‑carbon industry across Europe.

What to Watch in 2026 and Beyond

The 61 selected net-zero projects are expected to sign grant agreements and begin implementation in 2026. At the same time, the auctions for hydrogen and industrial heat are open for new bids, inviting project proposals across the EU.

If successful, the combined effort could accelerate Europe’s clean energy transition, reduce emissions in heavy industry, and build a stronger industrial base for green technologies. It can also help Europe secure future energy and industry supply chains, covering clean hydrogen, renewable energy systems, low-carbon manufacturing, and carbon capture.

The €5.2 billion package is not the final word. The EU Innovation Fund is active through 2030. As projects mature and new rounds of funding open, the scale and ambition may grow. Success will depend not only on grant money but also on efficient implementation, robust policy support, and market adaptation.

For now, the package marks a clear and coordinated move by the European Commission. It backs innovation, promoting clean energy, and betting on technologies that can transform Europe’s industrial and energy landscape.

BYD Breaks Records While Xiaomi Slows: Despite Split Fortunes, They’re Still Driving China’s Emissions Down

Saptakee S
-
0
BYD Breaks Records While Xiaomi Slows: Despite Split Fortunes, They’re Still Driving China’s Emissions Down

China’s electric vehicle scene stayed red-hot in November 2025, but the results weren’t the same for everyone. BYD hit its strongest sales month of the year, even as profits and quality concerns weighed it down. Xiaomi, the fast-rising tech newcomer, kept delivering strong numbers too, but not strong enough to satisfy investors.

Together, the two companies offered a clear snapshot of where China’s fast-growing EV market is heading — and what customers want next.

BYD Scores Biggest Month of 2025 — Despite Profit Squeeze

BYD once again proved why it leads the global EV market. The company sold 480,186 new energy vehicles in November, its highest monthly total this year. But the celebration came with a twist. Sales still dipped 5.25% year-over-year, marking BYD’s third straight month of falling annual sales.

Still, things looked better compared to October. BYD managed an 8.71% month-over-month boost, suggesting the company still has plenty of momentum.

But the most interesting part? The gap between BYD’s battery models.

  • Battery electric vehicles (BEVs) jumped 19.93% year-over-year to 237,540 units.

  • Plug-in hybrids (PHEVs) tumbled 22.41% to 237,381 units.

This shift says a lot about Chinese car buyers. They’re moving toward full EVs and leaving hybrids behind as technology improves and charging networks grow.

Even with the strong sales, BYD felt the financial pressure. Its third-quarter profit dropped 32.6% to 7.82 billion yuan ($1.1 billion). That’s the second quarter in a row that profits slipped.

Because of these setbacks, BYD trimmed its 2025 sales target from 5.5 million to 4.6 million vehicles. Still, with 4.18 million units already sold, the company has already hit 90.9% of its updated goal.

Surprisingly, BYD’s (BYDDY stock) Hong Kong shares still finished December 1 up 1.18%, showing that investors haven’t lost faith in the company’s global strategy.

Exports Save the Day as BYD Goes Global

If domestic sales were a bit shaky, BYD’s overseas performance more than made up for it. November exports hit an eye-popping 131,935 units — BYD’s highest export number ever. That’s a 325.91% jump from last year and a 57.25% increase from October.

Simply put, BYD is winning big outside China.

The company is moving fast to build a global footprint. On December 1, BYD launched the Sealion 6 plug-in hybrid SUV in Japan — the country where Toyota has long ruled. Priced from ¥3.982 million ($25,620), the model marks BYD’s first PHEV in Japan and signals that the company is ready to take on its fiercest rivals.

But Recalls Return as Quality Concerns Grow

Not everything went smoothly for BYD in November. China’s safety regulator ordered the recall of 88,981 Qin PLUS DM-i plug-in hybrids built between January 2021 and September 2023. The issue? Battery pack inconsistencies could reduce electric-only range under extreme conditions.

With this recall, BYD has pulled more than 210,000 vehicles off the road in 2025 alone.

The recall involves older cars, but it still adds fuel to worries about BYD’s manufacturing quality. Even so, the company’s expanding export success helped soften the blow.

Xiaomi Cruises Past 40,000 Deliveries — But Investors Wanted More

Xiaomi, China’s fast-growing EV challenger, stayed above the 40,000-unit mark in November for a third straight month. The company didn’t reveal exact numbers, keeping to its habit of letting third-party reports handle that. But one thing was clear: analysts expected more.

Citi projected 48,000–50,000 deliveries, so Xiaomi’s number — likely just above 40,000 — disappointed the market. Investors reacted fast, pulling Xiaomi shares down 2.9% on December 1 to HK$39.84.

Still, Xiaomi’s growth story remains one of the most impressive in the EV world.

  • It topped 41,948 deliveries in September as per the China Passenger Car Association (CPCA) data.

  • It smashed records in October with 48,654 units.

  • From January to October, it delivered 315,376 EVs in total.

Despite the slowdown, it’s certainly not bad for a company that entered the car business only 19 months ago.

Celebrates 500,000 Cars Built in Under Two Years

Xiaomi reached a milestone few automakers have achieved so quickly. On November 20, it celebrated its 500,000th EV rolling off the production line. Deliveries only began in April 2024, making the accomplishment even more remarkable.

At the event, CEO Lei Jun lifted the company’s 2025 delivery target to 400,000 vehicles. This was the second upgrade of the year, following earlier hikes from 300,000 to 350,000.

Citi analysts backed the new goal. With Xiaomi delivering around 10,000 vehicles per week, they said the company is well-positioned to hit the 400,000 mark. They reaffirmed their “buy” rating and set a HK$50 price target.

Expands Stores and Speeds Up Deliveries

To keep up with rising demand, Xiaomi opened 17 new stores in November, pushing its total to 441 stores across 131 cities. Its service network is also expanding, with 249 centers now operating in 144 cities.

But success brought a new challenge: long wait times. Some customers faced delays of up to 52 weeks. To fix that, Xiaomi launched an “In-Stock Vehicle Purchase Program” on December 1.

Buyers can now get brand-new cars, official display models, or nearly new vehicles—all with faster delivery, full warranties, and possible discounts if they lock in orders by December 26.

The company’s lineup is also gaining momentum. The YU7 SUV, launched in June, accounted for 69% of Xiaomi’s deliveries in October, with 33,662 units. The model even beat Tesla’s Model Y in domestic sales that month. Meanwhile, the SU7 sedan continues to attract huge interest.

BYD Vs XIAOMI

EV Race Tightens as 2025 Winds Down

BYD and Xiaomi both ended November with momentum, but the paths they followed looked very different. BYD leaned on exports to keep growth steady, even as profits fell and recalls returned. Xiaomi kept expanding at lightning speed, but November’s softer numbers reminded investors that rapid growth also brings volatility.

As the EV market becomes more competitive and global, November’s results showed one clear message: China’s biggest EV players are evolving fast — and the race is far from over.

China’s EV Boom Helps Push Emissions Down

Electric car registrations in China jumped to 1.72 million units in October 2025, up from 1.60 million in September. This marked a new all-time high and showed how quickly the country’s EV market kept growing. For context, China averaged just over 419,000 monthly registrations between 2017 and 2025, with the lowest point recorded in early 2017.

china ev
Image sourced from Trading Economics

This rapid rise in EV adoption has also played a major role in flattening China’s emissions curve. According to CarbonBrief, transport fuel emissions fell by 5% year-on-year in Q3 2025. More drivers moved away from gasoline and diesel vehicles and shifted toward cleaner electric options.

China emissions

Moreover, this momentum reflects the strength of China’s electrification policies. The country leads the world in EV production and sales, backed by incentives, improving charging networks, and strong industrial support. As a result, China continued to steer its transport sector toward lower emissions and a cleaner energy future.

China Joins Google, Amazon, and xAI in the Race to Build AI Supercomputers in Space!

Jennifer L
-
0
China Joins Google, Amazon, and xAI in the Race to Build AI Supercomputers in Space!

In late 2025, space is emerging as a new frontier for artificial intelligence (AI) infrastructure. What was once a futuristic concept is now becoming a realistic goal. Global tech firms and Chinese aerospace companies are racing to deploy AI data centers in orbit. Their goal is to tackle the power, cooling, and data limits that challenge Earth-based systems.

Why Space — and Why Now

AI workloads are growing at an unprecedented pace. Training and running large models need a lot of computing power. They also use a lot of energy and need advanced cooling systems.

On Earth, these demands strain not only data centers but also power grids, water resources, and land availability. From 2019 to 2025, AI supercomputers saw their performance double every 9 months or 2.5x per year. In contrast, hardware costs and energy usage doubled about every year.

computational performance of AI supercomputers
Source: EPOCH AI

Space-based computing offers a promising alternative. Satellites in orbit get almost constant sunlight. This makes solar power generation more efficient than solar farms on the ground.

The vacuum of space also allows heat to dissipate naturally. This reduces the need for energy-intensive cooling systems.

Orbital “edge computing” allows engineers to process a lot of data right in space, including data from Earth observation satellites. This approach avoids the bandwidth limits and delays that occur when transferring vast amounts of raw data to Earth.

Experts view 2025–2027 as a key turning point. During this time, tech advances, costs, and goals will align.

Who’s Doing It: Rivals in Orbit

Chinese companies are taking the lead in deployment. Zhongke Tiansuan (Comospace), founded in 2024, has operated a space computer on a Jilin‑1 satellite for over 1,000 days. Their new system, “Aurora 5000,” uses a powerful domestic GPU. It will be tested in orbit soon. 

Liu Yaoqi, CEO of Zhongke, said:

“Orbital edge computing moves AI directly to the source of data filtering petabytes of daily satellite imagery and traffic before the narrow downlink chokes.”

At Zhejiang Laboratory, engineers are developing a “mini computing constellation” called the Three-Body Computing Constellation. Its first batch of 12 satellites was launched in May 2025.

Each satellite carries an 8-billion-parameter AI model and can perform around 744 trillion operations per second. Together, they form the first stage of a network that could reach 1,000 peta-operations per second if fully scaled.

China plans a central space data center in dawn–dusk orbit (700–800 km altitude) with a power capacity exceeding 1 gigawatt. The plan is phased: test satellites from 2025 to 2027, followed by a full-scale megawatt-class orbital data center by 2035. If realized, it could surpass the total capacity of China’s current terrestrial data centers.

Key technologies include high-speed laser links between satellites. These links recently showed a 400 Gbps connection. They also use advanced cooling and error-correction systems to tackle radiation and thermal challenges.

If it works, the constellation can handle data for Earth observation, maritime tracking, environmental monitoring, and disaster response. It could also support global AI services. This would not depend entirely on ground-based infrastructure.

Global Tech Giants: Orbital AI as the Next Moonshot

International tech companies are pursuing similar goals. Google’s Project Suncatcher plans solar-powered AI data centers in low Earth orbit. Each satellite would carry Tensor Processing Units (TPUs) and operate in dawn–dusk orbits for continuous sunlight.

Google anticipates launching the first test satellites by 2027. These small racks of hardware will test whether TPUs can operate reliably in orbit.

Other tech companies, including those running satellite internet constellations, are exploring space-based computing. Amazon’s “Leo” project, for example, may one day link satellites to cloud and AI infrastructure.

According to Epoch AI’s 2025 report on AI supercomputers, the United States accounts for about three‑quarters of total global AI supercomputer compute capacity. This dominance reflects how U.S.-based companies deploy the largest and most powerful GPU clusters.

total computational performance
Source: EPOCH AI

Why the Market Is Moving to Space-Based Compute

  • The shift to space-based AI reflects broader trends: increasing compute demand, rising energy costs, and sustainability concerns.

The global AI supercomputer sector is expected to grow dramatically. By 2030, top supercomputers might handle about 2 × 10²² 16-bit operations each second. They will use millions of AI chips and need gigawatts of power.

Space-based computing could ease pressure on terrestrial grids, lower carbon footprints, and reduce reliance on water for cooling. This is appealing to both technology companies and governments seeking sustainable infrastructure.

Orbital data centers are much more energy-efficient than those on Earth. They capture nearly constant solar power, being up to 10 times more effective than ground panels because there’s no atmosphere to interfere. They also use radiative cooling in space’s vacuum. This cuts cooling needs, which usually consume 40% of Earth’s data center energy, with average PUEs of 1.5 to 1.7.

  • As such, it could reduce emissions by 50-80% by operating without fossil fuels. It would also ease pressure on the grid.

Currently, data centers use 4-12% of U.S. electricity, mainly from carbon-heavy sources. By 2028, this shift can make a big difference. Projects like Google’s Suncatcher target this for scalable AI without water or land impacts.

As launch costs drop, thanks to reusable rockets and mass-produced satellites, orbital data centers could compete with ground options by the mid-2030s.

A full-scale orbital network, like China’s gigawatt-class constellation, could match or exceed Earth’s mega data centers. It could offer worldwide low-latency coverage. This may change industries like Earth observation, environmental monitoring, global connectivity, autonomous logistics, and disaster response.

What’s Next: The Road to 2035 Orbital Megacenters

orbital data center market growth 2035

Key milestones to watch include:

  • 2027: First test satellites from Google and other firms. Early results will show if solar-powered TPUs can operate reliably.
  • 2025–2030: AI compute demand continues to rise, and electricity and water costs increase on Earth. Launch costs may drop, making space deployment more viable.
  • 2030–2035: Large constellations, such as China’s gigawatt-class network, may start operating fully. This will provide global coverage and high computing power. The market could grow up to $39 billion in value.
  • Governance and regulation: Nations and companies will need new rules for orbital infrastructure, data rights, and collision avoidance.

Overall, the move to space represents a major evolution in cloud computing. AI infrastructure could shift from Earth to orbit, which could provide high performance and nearly universal coverage. It also offers a more sustainable path for AI growth.

Africa’s Forests Are Now Emitting Carbon Instead of Absorbing It

Jennifer L
-
0
Africa’s Forests Are Now Emitting Carbon Instead of Absorbing It

Africa’s forests have reached a worrying turning point. A new study shows that many forests now release more carbon dioxide than they take in. This change is mainly due to deforestation and forest degradation. It is the first time in modern records that Africa’s forests have become a net carbon source instead of a natural buffer against global warming.

The research, published in Scientific Reports, was led by scientists from the National Centre for Earth Observation at the Universities of Leicester, Sheffield, and Edinburgh. Using satellite data, they tracked changes in forest biomass over time. Their findings are crucial for global climate goals, which is especially true for the targets set in the Paris Agreement.

A Major Shift After 2010

The study shows that Africa’s forest carbon balance changed around 2010. Between 2007 and 2010, forests were still gaining carbon, acting as a natural sink. But from 2010 to 2017, the continent lost roughly 106 million tonnes of forest biomass each year. Converted to carbon dioxide, this equals about 200 million tonnes of CO₂ emissions annually.

This is significant because Africa is home to the second-largest block of tropical rainforest, mainly in the Congo Basin. These forests store carbon, regulate rainfall, and support biodiversity. Losing their ability to absorb carbon means the world must reduce emissions faster elsewhere.

The trend comes from two main causes: deforestation, which is when forests are cleared, and forest degradation. In degradation, forests stay, but they lose biomass from selective logging, fires, or mining. These processes reduce the amount of carbon stored in vegetation.

Hotspots of Concern: DRC, Madagascar, and West Africa

Central Africa, Madagascar, and parts of West Africa show the most pronounced changes. The Democratic Republic of Congo (DRC) holds more than half of the Congo Basin rainforest. In 2024, it lost a record 590,000 hectares of primary forest. This is the largest loss in its monitoring history.

The map below shows changes in Aboveground Biomass Density (AGBD) from 2007 to 2017. Green areas represent gains, while purple areas indicate losses.

The upper-right inset shows biomass loss due to deforestation near settlements, rivers, and roads in the DRC. The lower-left inset features a South African forest plantation, highlighting clearcuts next to newly planted areas.

cumulative Aboveground Biomass Density (AGBD) net gains (green) and losses (purple) from 2007 to 2017
Source: Rodríguez-Veiga, P., Carreiras, J.M.B., Quegan, S. et al. Loss of tropical moist broadleaf forest has turned Africa’s forests from a carbon sink into a source. Sci Rep 15, 41744 (2025). https://doi.org/10.1038/s41598-025-27462-3

The main pressures come from small-scale farming. Rural communities clear forests for crops. Artisanal mining has also grown because of global demand for minerals like cobalt, copper, and gold.

Madagascar faces deforestation from slash-and-burn farming, charcoal production, and commercial logging. In West Africa, countries like Ghana, the Ivory Coast, and Nigeria are losing forests due to agriculture and timber extraction. Together, these regions contribute most of the 200 million tonnes of CO₂ now released by Africa’s forests annually.

Global Context: How Africa Compares

Worldwide, forests remain under pressure. Between 2015 and 2025, the world lost about 10.9 million hectares of forest annually, down from 17.6 million hectares per year in 1990–2000.

forest expansion vs deforestation 2015 2025

In 2024, the world lost 6.7 million hectares of primary forest. This loss was caused by fires, logging, agriculture, and land clearing. Notably, fires have recently overtaken agriculture as the main cause of tropical forest loss.

Within this global picture, Africa has the highest rate of net forest loss among all regions during 2010–2020. This aligns with the new study showing that Africa’s forests have shifted from being carbon sinks to carbon sources.

South America, with the Amazon, still loses a lot of forest, but slower now. Meanwhile, some Asian countries have gained forest areas in recent years.

This contrast reveals a troubling trend. While some areas reduce forest loss, tropical forests in Africa and parts of South America are under serious pressure. This situation endangers ecosystems and jeopardizes global climate efforts.

forest loss by driver by region

Why Forest Biomass Is Falling

Several factors explain Africa’s forest losses:

  • Expanding agricultural land
  • Timber harvesting, legal and illegal
  • Mining and mineral extraction
  • Charcoal and fuelwood production
  • Population growth and land pressure

Even partial forest losses across large areas add up to significant carbon emissions. Climate change also weakens forests: higher temperatures, droughts, and more frequent fires slow regrowth and reduce forest health.

Implications for Climate Targets

Africa’s weakening forest sink has serious global implications. Forests in Africa, Asia, and South America currently absorb much of the world’s emissions. If Africa’s forests stop absorbing carbon and start releasing it, the global carbon budget tightens.

Professor Heiko Balzter, senior author of the study, notes: 

“If we are losing the tropical forests as one of the means of mitigating climate change, then we basically have to reduce our emissions of greenhouse gases from fossil fuel burning even faster to get to near-zero emissions.”

National climate strategies also face more pressure, as many countries rely on forests to meet their climate pledges.

COP30 and Funding Efforts: Are They Enough?

The study was released after COP30 in Brazil, where countries discussed new funding for forest protection. The Tropical Forests Forever Facility (TFFF) launched with $5.5–$6.6 billion. It will pay tropical countries about $4 per hectare to keep their forests. At least 20% of funds will go to Indigenous Peoples and local communities who play a major role in forest protection.

Forest carbon financing is picking up speed. Global investment in sustainable forest management, restoration, and conservation almost doubled from 2020 to 2024. It grew from under US$12 billion a year to about US$23.5 billion annually.

This surge comes from a mix of public funds, which make up about 60% of total flows, and growing private capital. Private capital’s share increased from about 25% in 2020 to around 40% in 2024.

More companies are aiming for net-zero emissions. As demand rises for verified forest carbon credits, forests are seen as both ecological assets and investment opportunities.

However, experts note that the funding is far below what is needed. Brazil had proposed $125 billion to protect and restore tropical forests globally. Africa’s fast-changing ecosystems make this gap even more urgent.

The Congo Basin: A Carbon Giant Under Pressure

The Congo Basin absorbs about 600 million tonnes of CO₂ each year. This helps balance emissions from other continents. But its capacity is declining due to increasing forest disturbance.

If the trend continues, the world could lose one of its last major natural carbon buffers. Protecting this region is vital for Africa and the world’s climate. It impacts biodiversity and rainfall patterns well beyond the continent.

Reversing the Trend: Can Africa Save Its Forests?

Reversing the trend is still possible but requires strong action. Protecting remaining forests is the most urgent step. Governments should reduce pressure from agriculture and mining. They also need to improve land-use planning and monitor illegal logging.

Funding mechanisms like TFFF can help, but must increase to match the scale of the problem. Local communities and Indigenous groups, who manage large forest areas, need financial and technical support. Restoring degraded forests can help recover some carbon storage, but it takes time. 

Africa’s forests shifting from absorbing to emitting carbon is a major warning for the planet. It shows how fast natural systems can change under pressure. This highlights the need for stronger global cooperation, better funding for forest protection, and support for local communities.

If action is delayed, the world will face an even harder path to meet climate goals. With stronger investment and protection measures, however, forests can continue storing carbon, supporting biodiversity, and sustaining millions of people across Africa.

1...131415...246Page 14 of 246