Stellantis Korea Turns EV Miles into Cashable Carbon Credits for Owners

Jennifer L
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0
Stellantis Korea Turns EV Miles into Cashable Carbon Credits for Owners

Stellantis Korea recently announced that owners of its electric vehicles (EVs) can convert the mileage they have accumulated into carbon credit rewards. The company, through a carbon credit specialist, Hooxi Partners, will trade these credits and return the money as a reward to vehicle owners. This turns miles driven into a green credit benefit. 

The move, the first in Korea, marks a novel incentive. Stellantis Korea doesn’t only offer discounts or rebates. They view driving an EV as building a true carbon reduction “asset.” By turning EV use into carbon credits, the company lets EV owners share in the carbon credit market.

How Stellantis Korea’s Carbon Credits Work

Carbon credits represent cuts in greenhouse gas emissions. Each credit equals one ton of avoided or removed CO₂. Credits often come from renewable energy, reforestation, or reduced industrial emissions.

For EVs, credits exist because they produce little or no tailpipe CO₂. If the electricity used for charging is low-carbon, the emission savings can be measured and turned into credits.

In South Korea, the grid emits between 0.42 and 0.45 kg CO₂ per kWh, according to industry estimates. Industry estimates that every 1,000 km driven by EVs avoids roughly 0.15–0.25 tCO₂e, depending on the energy mix.

Credits are retroactive for existing mileage via app tracking and can be sold on the Korea Exchange or voluntary markets at ₩30,000–50,000 per tCO₂e ($22–37 USD). Average drivers covering 15,000 km per year could earn 2.25–3.75 credits, equivalent to ₩67,500–187,500 ($50–140 USD), with Stellantis retaining a fee.

Estimated Annual Carbon Credit Rewards for Stellantis EV Owners (USD)

The chart above shows the potential carbon credit rewards an EV owner could earn in a year. The program applies to all Stellantis EVs from 2023 onward, including the Peugeot e-208, Fiat 500e, and Jeep Avenger.

This gives EVs two benefits: encouraging cleaner transport and creating a tradable asset for automakers or owners. For companies like Stellantis, carbon credits are becoming part of the business model, as they can earn and sell credits worldwide.

Why The Move Is Significant? The Local Impact

In South Korea, EV adoption has surged. H1 2025 sales jumped 45.7% year-on-year to 74,000 units, giving EVs a 9.2% share of new car sales. August sales hit 18.4% amid subsidies, and full-year projections suggest an 11–20% market share with 407,000 units produced.

Still, many automakers, including Stellantis, struggled. In 2024, Stellantis Korea held less than 1% of the EV market. This year, the company aims to increase sales by about 30% in 2025. They will focus on boosting the Jeep Avenger and Peugeot due to weak EV performance.

This development matters for the East Asian country, aligning with its climate goals.

South Korea’s 2035 Climate Plan

South Korea has approved a climate plan aiming to cut greenhouse gas emissions by 53–61% from 2018 levels. National emissions are expected to fall from 742 million tonnes to 348.9–289.5 million tonnes by 2035.

south korea 2030 emissions projection

  • The transport sector faces one of the steepest cuts: 60–63%, from 98.8 million tonnes in 2018 to roughly 36.8 million tonnes in 2035. EV adoption is key to meeting this target.

South Korea pledged to join the Powering Past Coal Alliance. This marks its first promise to stop new coal power plants that lack carbon controls. It also plans to phase out existing coal plants gradually.

The carbon credit reward plan brings new value. For buyers, it offers more than just subsidies or discounts. For Stellantis, it might boost EV sales, build brand trust, and meet global demands for carbon accountability.

The program may also attract environmentally conscious buyers by offering a tangible “reward for clean driving.” For Stellantis, it is one way to show its commitment to its net zero goal. 

Driving Toward Zero: Stellantis’ Roadmap to a Carbon‑Neutral Future

Stellantis continues to advance its net zero ambitions, with new data showing meaningful progress as of 2024.

By 2024, the company had cut its Scope 1 and 2 greenhouse‑gas emissions by about 39 % relative to its 2021 baseline. At the same time, the share of decarbonized electricity powering its own operations rose to 59 %, up from 45 % in 2021.

On the products front, Stellantis expanded its hybrid‑vehicle offerings in Europe, launching 30 hybrid models in 2024 with more planned through 2026. The company will use efficient hybrid technology. This can cut CO₂ emissions by about 20% compared to traditional combustion engines.

The company is boosting its circular economy efforts. Its hub in Italy marked a year in 2024. In that time, it remanufactured tens of thousands of engines, gearboxes, and batteries. It also reconditioned thousands of vehicles and processed millions of components. These actions support the company’s larger goals for decarbonization and resource reuse.

Stellantis net zero 2038 strategy
Source: Stellantis

These steps support Stellantis’ Dare Forward 2030 plan. The goal is to achieve carbon net zero by 2038. This will address all scopes while keeping residual emissions low.

Global EV Market Trends and Carbon Credit Strategies

Globally, EV adoption is accelerating. Data for 2024–2025 show strong growth, driven by better batteries, improved charging, lower costs, and tighter decarbonization regulations. For many automakers, shifting from internal combustion engines (ICE) to EVs is now mandatory to meet emissions targets.

Carbon Credits Becoming a Core Business Strategy

Carbon credits are now more than environmental tools; they are a growing revenue source for EV makers. Leapmotor in China supplied over 100,000 credits in 2025 at €20–30 per credit, selling to companies like Stellantis.

Tesla earned over $$2.76 billion from ZEV credits in 2024 alone, selling to GM and Ford. In the EU, automakers bank credits for compliance, with EVs generating 10–20 times more credits than ICE vehicles.

Stellantis Korea’s program follows this model: EV sales combined with carbon credit generation. For companies investing early in electrification and low-carbon energy, credits can provide financial returns beyond traditional car sales. The Korea pilot alone could generate ₩50–100B by 2027.

Policies and Incentives Push EV Adoption — But Credits Add a New Layer

Many countries provide subsidies, tax breaks, or rebates for EV buyers. In South Korea, national and local incentives helped boost EV sales. But subsidies are usually one-time benefits.

Stellantis Korea goes further by tying rewards to actual driving. Mileage now generates financial credit, aligning long-term behavior with emissions reduction and making EVs a smarter investment.

Future Outlook: A New Phase for EV Incentives

The global EV incentive market — including subsidies, rebates, and credit-based schemes — is forecast to grow at an annual growth of 14.7% from 2024 to 2033. As more carmakers use programs like Stellantis’s, carbon credits might become a key part of EV value. This could support adoption even after subsidies stop.

EV adoption incentives market 2033
Source: HTF Market Intelligence

Governments may increasingly integrate carbon credit systems into EV policies, creating formal global markets. Automakers investing early in electrification, carbon accounting, and clean supply chains will gain a competitive edge.

For consumers, EVs could become cleaner and smarter long-term investments, with mileage translating into measurable financial rewards.

Stellantis Korea’s carbon credit initiative is more than marketing; it signals a new phase for EV incentives. By rewarding actual usage, it aligns consumer behavior with emission reductions while adding financial value. If successful, this model could reshape how automakers, buyers, and regulators view EVs, making clean driving both practical and profitable.

TotalEnergies Bets $167M on Brazil’s Carbon Capture Potential

Jennifer L
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TotalEnergies Bets $167M on Brazil’s Carbon Capture Potential

TotalEnergies has committed about US$167 million to study offshore carbon capture and storage (CCS) in Brazil. The funding will support mapping and analyzing deep-sea geological formations along the Brazilian coast.

Scientists will look at deep saline reservoirs below the seabed. They seek to find out which ones can safely store carbon dioxide (CO₂) for a long time. If suitable, these reservoirs could host large-scale offshore CO₂ storage projects in the future.

This investment comes as Brazil works on developing regulations for CCS. Scientific studies will help regulators, investors, and companies identify safe storage sites and reduce project risks. TotalEnergies shows trust in Brazil’s ability to be a carbon storage hub. This may draw more investment to the country.

TotalEnergies’ Global CCS Initiatives

TotalEnergies is also active in CCS projects worldwide, using international experience to support its work in Brazil. Key examples include:

  • Northern Lights (Norway): Phase 1 operations started summer of 2025 with a capacity of 1.5 million tons of CO₂ per year, aiming to expand to 5 million tons by 2028.

  • Aramis (Netherlands): Planned to store CO₂ captured from industrial sources under the North Sea, building experience in transport and injection technologies.

  • North Sea Projects (Europe): TotalEnergies plans to repurpose depleted oil and gas fields for CO₂ storage. This could help hard-to-decarbonize industries reduce emissions.

By 2030, TotalEnergies aims to offer more than 10 million tons of CO₂ storage per year globally. The knowledge from these projects—on capture, transport, injection, monitoring, and safety—can help speed up Brazil’s CCS development.

TotalEnergies CCS Projects by Capacity

Why Offshore Storage Makes Sense for Brazil

Brazil has deep offshore basins with geology well-suited for CO₂ injection. These deep saline reservoirs lie beneath thick rock layers that act as natural seals, trapping CO₂ for centuries. Offshore storage offers advantages over building new land-based facilities, including:

  • Existing oil and gas infrastructure, such as wells and pipelines, can be adapted for CO₂ injection.

  • Deployment can be quicker and cheaper. New land-based storage sites need a lot of construction.

  • Offshore storage reduces competition for land and avoids densely populated areas.

For a country with big offshore oil operations, using current offshore geology makes sense both technically and economically. It also provides a pathway to reduce emissions from energy and industrial production.

Moreover, CCS can earn carbon credits by reliably removing or stopping CO₂ emissions from getting into the atmosphere. Each tonne of CO₂ stored in geological formations or offshore reservoirs can be measured and certified.

This allows companies or governments to earn tradable carbon credits. These credits can be sold or used to offset emissions. This creates a financial incentive to boost carbon storage projects. It also helps with wider climate change efforts.

Brazil’s CCS Market Potential and Economic Impact

Currently, Brazil’s CCS market is small but growing. In 2024, the market value was estimated at roughly US$99.6 million. By 2030, it could rise to around US$155.1 million, with an average growth rate of 7.5% per year, per market research.

Brazil carbon capture and storage market, 2018-2030
Grand View Research

Brazil could capture and store hundreds of millions of tons of CO₂ each year. This is possible if industries use CCS and create suitable storage sites.

Blending offshore and onshore storage with industrial emissions capture, plus bioenergy with carbon capture, could form a complete CCS industry. This could create billions in yearly economic value. It includes infrastructure development, monitoring services, and new jobs.

CCS Already Operating in Brazil

Brazil is not starting from scratch. Petrobras, the state-owned oil and gas company, operates one of the world’s largest offshore carbon storage programs. From 2008 to 2024, Petrobras injected about 67.9 million tons of CO₂ into deep-sea pre-salt reservoirs. In 2024 alone, the company reinjected 14.2 million tons, setting a new annual record.

Petrobras separates CO₂ from extracted gas using floating production, storage, and offloading vessels in ultra-deepwater. CO₂ is then reinjected into offshore reservoirs. This process boosts oil recovery and cuts emissions from production.

Some pre-salt oil fields now produce oil with lower emissions per barrel than the global offshore average, according to an S&P Global study. This existing track record shows that offshore CCS in Brazil is operational at a large scale.

GHG emissions intensity and total porduction Brazil ccs

Industries like cement and steel are looking into CCS technologies. These could cut greenhouse gas emissions by up to 57% in heavy industry.

What TotalEnergies’ Investment Brings

TotalEnergies’ funding plays several key roles:

First is scientific research. Mapping geology and testing reservoirs reduces uncertainty and risks for large-scale CCS projects.

Second is market confidence. Investment by a major energy company signals that Brazil could become a CCS hub, attracting more companies and investors.

Third is industry development. If offshore and onshore CCS grow together, Brazil can create a strong carbon-management industry. This would mix industrial capture, bioenergy, and storage.

Last is climate impact. CCS helps sectors that find it hard to cut emissions, such as heavy industry and fossil fuel extraction, reduce their CO₂ output.

TotalEnergies’ investment can boost Brazil’s climate strategy. It supports scientific research and industrial adoption that could lead to safe, scalable CCS capacity.

Challenges for Scaling CCS in Brazil

Despite its potential, scaling CCS in Brazil faces several hurdles, such as:

  • Cost: Building offshore infrastructure, drilling injection wells, and installing CO₂-handling systems require large investments.

  • Regulation: Clear laws and oversight are essential. CCS operations need rules for site approval, environmental safety, monitoring CO₂ over decades, and liability if leaks occur.

  • Demand: CCS depends on enough CO₂ emitters—such as factories, refineries, and power plants—willing to pay for capture and storage. Without sufficient demand, storage sites and pipelines may remain underused.

  • Public Trust: Communities need assurance that CO₂ storage is safe over the long term. Transparency, monitoring, and clear liability are critical.

  • Scope Limits: CCS reduces emissions at the point of capture but does not prevent CO₂ released when fossil fuels are later burned. CCS complements, but does not replace, the need for cleaner energy and reduced fossil-fuel use.

Addressing these challenges will determine whether Brazil can achieve large-scale CCS adoption and unlock its full potential.

What to Watch: Future CCS Growth and Policy Developments

In the next few years, several key changes will shape how carbon capture and storage grow in Brazil. First, TotalEnergies’ geological studies will identify safe offshore locations for burying CO₂. This will help find the best storage sites.

Clear government rules will be important. They will guide how to approve sites, monitor stored CO₂, and certify carbon credits. This will help build trust with investors and protect the environment. More industries, like power plants, oil refineries, cement factories, and bioenergy plants, will begin using CCS. This will increase the demand for new setups.

Brazil will expand its infrastructure to keep up with rising demand. This includes building more pipelines, injection wells, storage centers, and monitoring tools. These steps, backed by companies like Petrobras investing billions, position Brazil as a leader in Latin American CCS.

If these factors align, Brazil could establish a major carbon storage industry. This would reduce national greenhouse gas emissions and create a new economic sector, while using existing expertise from Petrobras and global CCS developments.

Energy’s Biggest Consumer and Greatest Savior: The Two Faces of AI in Energy

Saptakee S
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0
Energy’s Biggest Consumer and Greatest Savior: The Two Faces of AI in Energy

Artificial intelligence is transforming the world, and its impact on energy is growing faster than anticipated. Over the past few years, tech companies have invested huge amounts of money into new data centres to train and run advanced AI models. These facilities are now significant energy consumers, and their rapid expansion is prompting governments and utilities to reassess grid planning, supply choices, and long-term energy strategies.

IEA’s 2025 World Energy Outlook has pointed out that AI’s influence on energy is not just about higher demand. AI is also becoming a powerful tool for boosting efficiency, cutting waste, and speeding up clean energy innovation. The next decade will show how well countries balance these two sides of the AI-energy equation.

Let’s dive deeper into this.

AI’s Rising Footprint: Data Centres Double Their Electricity Use by 2030

The world is building data centres at record speed. In 2025 alone, global investment in data centres is expected to hit USD 580 billion—surpassing the USD 540 billion going into oil supply that same year. This simple comparison shows how digital the global economy has become.

AI-optimised servers use far more power than traditional equipment. According to recent analysis, electricity use from these servers could increase fivefold by 2030, driven by soaring demand for AI applications.

  • As a result, total data centre electricity consumption is set to double by the end of the decade.

Even with such rapid growth, data centres will still make up less than 10% of global electricity demand growth between 2024 and 2030. Other areas—such as industry, electric vehicles, and cooling—will drive more absolute growth. Still, the speed of data centre expansion creates pressure on regional grids, especially in the United States, where AI and cloud computing are scaling the fastest.

iea AI
Source: IEA

The Power Side Story: Where Will All This Electricity Come From?

As data centres multiply, the energy system must adapt. Most facilities rely on grid electricity, so their carbon footprint depends on the mix of power available where they operate.

Renewables lead the growth.

Between now and 2035, renewable energy will supply around 45% of the new electricity demand from data centres in many outlook scenarios. Wind and solar continue to dominate additions because they are cheap, scalable, and widely supported by policy.

Natural gas also plays a big role

In regions like the United States and the Middle East, natural gas remains a key backup to meet rising AI-driven loads. Gas-fired generation for data centres could grow by 220–285 TWh by 2035. But a surge in orders for new gas turbines is stretching supply chains, making equipment more expensive and slower to deliver.

Nuclear power is back in the conversation.

Tech companies are showing new interest in nuclear energy to power high-demand AI clusters. Several firms and utilities have announced deals to extend the life of existing reactors. The world also saw the first power-purchase agreement between a data centre and an SMR (small modular reactor)—a sign that nuclear could become a steady baseload option for AI operations.

A Geographic Tilt: The U.S., China, and Europe Dominate AI-Driven Power Demand

Data centres are not spread evenly across the world. The United States, China, and Europe make up 82% of global capacity, and they will host over 85% of new builds in the coming years.

But their impact on electricity demand differs sharply:

  • United States: Data centres account for nearly half of the country’s electricity demand growth through 2030. This is the highest share globally.
  • China and the European Union: Data centres contribute 6–10% of demand growth. Their energy systems are larger and more diverse, so AI plays a smaller role in shaping overall consumption trends.

A closer look at the project pipeline reveals even more pressure points:

  • More than half of the upcoming data centres sit within or near cities with over 1 million people, where grids are already stressed.
  • 55% of new data centres exceed 200 MW—each one consuming as much energy as 200,000 households once operational.
  • Nearly two-thirds of new construction is happening in existing high-density clusters, increasing the risk of local grid congestion.
AI demand US
Source: IEA

Beyond Demand: AI Could Cut Global Energy Use by Boosting Efficiency

AI’s story in energy is not only about higher consumption. It also offers major efficiency gains across sectors.

When deployed widely, AI systems can optimise manufacturing, improve logistics, manage transportation flows, detect energy waste, and improve industrial process controls. Analysts suggest that broad adoption of AI-enabled solutions could deliver 3–10% efficiency gains across transport and industry by 2035.

This would translate into 13.5 exajoules of energy savings—slightly more than the entire energy consumption of Indonesia today. Such savings would support national efficiency targets and help reduce emissions at a time when every region is under pressure to accelerate climate action.

However, several challenges stand in the way:

  • Many industries lack high-quality datasets needed for advanced AI optimisation.
  • Digital infrastructure is uneven, especially in developing countries.
  • Concerns around privacy, regulation, and cybersecurity slow deployment.
  • Some AI-driven improvements may create rebound effects, such as more automated car use, reducing public transport ridership.
ai Energy savings
Source: IEA

AI is reshaping the energy system by driving rapid growth in electricity demand while also offering powerful tools to improve efficiency and accelerate clean-tech innovation. Data centres are expanding faster than many grids can handle, pushing regions to invest in renewables, natural gas, and nuclear power.

Yet AI’s real value lies in its ability to cut waste and make energy systems smarter—if supported by strong data, robust digital infrastructure, and sound regulation. AI is not a magic solution, but with thoughtful planning and investment, it can become a major force in building a cleaner, more resilient global energy future.

Canada’s Carbon Pricing Reset in 2026: Will Industry Step Up or Stall Climate Progress?

Jennifer L
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0
Canada’s Carbon Pricing Reset in 2026: Will Industry Step Up or Stall Climate Progress?

Canada is at a key moment in its fight against climate change. Carbon pricing has been the central tool used to cut emissions, but recent policy changes and differences across provinces have created uncertainty.

This article examines how Canada’s carbon pricing system works now. It covers expert concerns and what the key federal review in 2026 might mean for both industry and the country’s journey toward a lower-carbon future.

How Canada Prices Pollution

Canada uses carbon pricing to encourage companies and people to cut greenhouse gas (GHG) emissions. Under that system, there are two main parts.

For ordinary people and small businesses, there used to be a “fuel charge” or carbon tax on fossil fuels. For large industrial emitters, there is a program called the Output-Based Pricing System (OBPS).

Under the OBPS, factories or facilities that produce a lot of emissions get a limit based on how much they produce. If they emit more than their limit, they must pay; if they emit less, they earn credits that they can sell or use later.

This approach aims to reduce carbon pollution while trying to protect industries that compete globally. The goal is to cancel out the risk that companies might move to other countries with weaker climate rules.

From Gas Pumps to Smokestacks: A Major Policy Shift

In 2025, the federal government made important changes. It removed the “consumer-facing” carbon tax — the fuel charge — effective April 1, 2025. This means people pay no extra carbon tax when buying gasoline or heating fuel.

Canada carbon price per tonne yearly
Source: RBN Energy LLC website

Instead, the focus shifted more clearly onto industrial carbon pricing. The government said it would review the carbon pricing “benchmark” in 2026. This review could change how industrial carbon pricing operates.

A recent analysis by ClearBlue Markets shows that Canada’s carbon pricing for industry is now fragmented. Fragmentation has caused uncertainty. This is a problem for companies that need stable cost signals before they invest in cleaner technology.

The ClearBlue report stated:

“The federal benchmark review will therefore trigger extensive engagement between the federal government and the provinces, aimed at aligning key benchmark elements such as coverage, pricing stringency, and competitiveness protections. Negotiations are likely to be complex and politically charged, particularly with provinces like Alberta and Saskatchewan, which have already taken strong positions. These types of unilateral decisions reflect ongoing tensions and highlight the difficulty of achieving a truly aligned national approach.”

Carbon pricing today: A patchwork across Canada

Because Canada is large and its provinces have different rules, carbon pricing for industry is not the same everywhere. ClearBlue Markets shows that credit prices—what companies pay or earn—vary a lot by province or system.

Here are specific examples:

In Alberta, the Environmental Monitoring, Evaluation and Reporting Agency has seen a big drop in credits under its Technology Innovation and Emissions Reduction Program (TIER). Despite a compliance price of CAD 95 per tonne, market credits trade at around CAD 18 per tonne. This shows a credit surplus and weak demand.

In British Columbia (B.C.), the new B.C. Output-Based Pricing System (B.C. OBPS) began to be applied recently. Credits are trading at about CAD 65 per tonne, a discount compared with the regulatory level of CAD 80.

In Ontario, the Emissions Performance Standards (EPS) system governs industrial emissions. Because the program does not allow offset credits, supply is tighter — units (EPUs) recently traded at around CAD 72 per tonne.

In areas where the federal OBPS still applies, like some territories and small provinces, cheap carbon offset credits from Alberta’s TIER have lowered prices. Now, they can be as low as about CAD 37.50 per tonne.

Canada carbon prices per jurisdiction
Data source: ClearBlue Markets

The true cost of carbon emissions differs greatly by industry and province. The federal government aims to raise the carbon price to CAD 170 per tonne by 2030 for direct pricing systems.

The 2026 Showdown: Can Canada Fix Its Carbon Market?

The upcoming review of the federal benchmark is seen as a turning point. It could lead to stronger, more aligned carbon pricing across all provinces. As ClearBlue Markets notes, the review may address issues such as:

  • Align different provincial systems under a common design. This way, credits and compliance will act more alike.
  • Improving transparency in reporting credit inventories, trades, and emission reductions.
  • Possibly introducing a “floor price” — a minimum cost for carbon credits — to avoid extreme price drops like those seen in some programs.
  • Setting a long-term carbon price path past 2030 helps industries plan investments more clearly. This is especially important for clean technologies.

All of these could make carbon pricing more predictable and effective. If the review doesn’t meet expectations, patchwork and uncertainty may persist. This could weaken the carbon price signal and confuse investment in clean technology.

This patchwork of provincial and federal carbon pricing programs has created a corresponding patchwork of compliance offset markets. The image below shows how these offset markets are distributed across Canada.

Canada Offset Credit Issuances
Source: ClearBlue Markets

Global Pressure Is Rising: Europe Could Hit Canada with Carbon Tariffs

One major external risk comes from the global trade environment. Starting in 2026, the European Union’s Carbon Border Adjustment Mechanism (CBAM) will impact imports based on their carbon emissions.

For Canadian exporters, this raises a key question:

  • Will EU authorities accept the compliance credits or offsets generated under Canada’s various carbon pricing systems as evidence of “carbon price paid”?

If not, Canadian exports might face extra tariffs. This could double the carbon cost or hurt competitiveness.

This makes it even more important for Canada to standardize and strengthen its carbon pricing framework before 2026. This is to ensure that its pricing and credits are recognized internationally. Otherwise, Canadian industries like steel, aluminum, and cement might find it hard to compete. This is especially true in markets with strict climate-related import rules.

Strengths and Challenges of Canada’s Carbon Pricing

Carbon pricing works to link environmental costs with economic decision-making. For large emitters, it encourages improved efficiency. Carbon pricing revenue, especially from the OBPS, can fund clean energy projects. It also supports carbon capture and investments in low-carbon infrastructure.

A recent evaluation by the government highlights that industrial carbon pricing helps reduce emissions with minimal impact on households.

But there are major challenges too. The system varies by province, so many industries might have low carbon costs. This means there is little motivation for real change.

A 2022 report from the Office of the Auditor General of Canada (OAG) found that weak rules in provincial large-emitter programs lower the impact of carbon pricing. Also, the unclear use of carbon revenues and the long-term price outlook have made some firms hesitant to invest in cleaner technologies.

The Stakes: Canada’s Climate Credibility and Industrial Future

The 2026 benchmark review could reshape Canada’s carbon pricing for decades. Key signs to watch are:

  • Whether the government sets a new, clear carbon price path beyond 2030 — possibly up to 2050, that would give firms confidence to invest in long-term clean solutions.
  • Whether provincial carbon pricing systems become more harmonized. This means similar rules, credit prices, and transparency everywhere.
  • Introducing a price floor or other methods can help prevent deeply discounted carbon credits. This ensures a strong carbon price signal.
  • Will Canadian industrial credits and compliance be set up to gain recognition under global systems like CBAM? This could help keep Canadian exports competitive.

Canada’s carbon pricing, especially for industry, is at a crossroads. The removal of the consumer carbon tax in 2025 reflects a shift toward focusing on industrial emissions. Meanwhile, the upcoming 2026 benchmark review offers a chance to make this system stronger, fairer, and more predictable.

However, much depends on political and regulatory will. Without clear pricing, rules, and long-term certainty, the carbon price might be too weak. This puts Canada’s climate goals and global competitiveness at risk. But if the government and provinces act quickly, carbon pricing can help Canada shift to a low-carbon economy while also keeping industries competitive.

Wildfire Carbon Emissions Climb 60% While Overstory Secures $43M to Shield Utilities with Smart AI

Saptakee S
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0
Wildfire Carbon Emissions Climb 60% While Overstory Secures $43M to Shield Utilities with Smart AI

Wildfires and forest fires are a major source of carbon emissions. When vegetation and organic matter burn, they release large amounts of carbon dioxide (CO2), methane (CH4), and black carbon into the atmosphere. These gases trap heat and accelerate climate change. The intensity of a fire, the type of vegetation, and how long it burns determine how much carbon is released.

Wildfire Emissions Complicate Climate Mitigation Efforts

A study showed that since 2001, global carbon emissions from forest fires have risen by about 60%, especially in the boreal forests of North America and Eurasia. Hotter and drier conditions have made fires more severe, increasing carbon combustion by nearly 50% per unit area burned. Beyond emissions, wildfires reduce the ability of forests to absorb CO2, weakening one of the planet’s natural carbon sinks.

global wildfire emissions

Black carbon, a byproduct of wildfire smoke, worsens global warming. It absorbs sunlight, accelerates ice and snow melting, and intensifies heatwaves. Recent large fires in Australia and Siberia show how black carbon can impact both local and global climates. Rising wildfire frequency creates a dangerous cycle: hotter climates trigger more fires, which release more greenhouse gases and pollutants.

The effects of wildfires go beyond climate. They degrade soil, destroy forest resources, and harm human health through smoke and air pollution. They also impose heavy economic costs, including firefighting, recovery, and lost productivity. With these challenges, accurate carbon accounting and climate mitigation become harder, as wildfires release carbon that forests had previously stored.

north america wildfire emissions

AI Enters the Firefight: How Technology Helps Protect Forests and Communities

Artificial intelligence (AI) has emerged as a powerful tool in wildfire management. Modern AI systems can predict fire risk, behavior, and spread more accurately than traditional methods. This gives fire crews and emergency managers an edge in making fast, effective decisions to protect people, property, and forests.

An article by the Western Chief Fire Association (WCFA) has explained how Wildfire modeling helps predict fire behavior. These models consider weather, terrain, vegetation, and other data to estimate fire size, intensity, spread rate, and spotting distance. Organizations like fire services, insurance companies, utility companies, and emergency planners all use wildfire modeling to prepare for and respond to fires.

AI enhances these models by analyzing vast amounts of data quickly and spotting errors that traditional models might miss. It can also use historical patterns when new data is missing. For example, the Behave Fire Modeling System relies on mathematical calculations and data on weather, fuel, and topography to forecast fire behavior accurately.

A 2024 study by USC researchers combined generative AI with satellite data to predict wildfire spread. The AI analyzed real-time satellite images to forecast a fire’s path, intensity, and growth rate. The study highlighted how weather, terrain, and vegetation influence fire patterns. Such advancements show AI’s potential to save lives and reduce environmental damage.

Overstory: Using AI to Prevent Fires Before They Start

Overstory, a company specializing in vegetation intelligence, recently raised $43 million to expand its AI wildfire prevention tools. Utilities often face wildfires caused by trees near power lines, and vegetation management is one of their largest operational costs. Overstory uses high-resolution satellite imagery and AI to pinpoint risks tree by tree, helping utilities prevent outages and fires while keeping power safe and reliable.

Fiona Spruill, CEO, Overstory, said:

“Utilities are on the front lines of keeping communities safe, and they’re eager to use the best data available. When we talk about how satellites and remote sensing can identify dying trees and wildfire risk, they lean in. We’re grateful to our forward-thinking investors for supporting this next chapter – expanding our intelligence product to address storms and wildfires to help utilities build a more resilient and reliable grid.”

The company serves six of the ten largest utilities in the Americas. Its team includes experts in machine learning, data science, arboriculture, and wildfire management. Under new COO Tamara Mendelsohn, the company plans to scale its operations and expand globally.

Pinpointing Risk with Precision

Overstory’s AI tools go beyond generic fire risk maps. The company’s Wildfire Intelligence product now includes a proprietary Fuel Detection Model that identifies areas with the highest risk fuels—the vegetation most likely to ignite a fire if sparked.

overstory
Source: Overstory

Most catastrophic wildfires start when vegetation meets power lines. Overstory helps utilities focus on the 10-meter zone around assets, where a spark is most likely to spread into a wildfire. By combining tree risk with fuel risk across thousands of miles of power lines, utilities can plan mitigation work efficiently and reduce the chances of fire ignition.

The Fuel Detection Model works at an extremely high resolution—10,000 times higher than publicly available maps. It identifies fuels directly in the right-of-way and updates routinely to reflect vegetation growth. This ensures that mitigation strategies are based on current conditions, not outdated data. The system is grounded in established fire science and validated by experts.

AI Helps Utilities Reduce Wildfire Liabilities

Utilities face massive liabilities when their equipment causes wildfires. In the U.S. and Europe, companies increasingly partner with AI startups to manage wildfire risks. By analyzing satellite imagery and real-time data, AI can detect dying trees, weak branches, and other potential ignition points near power lines.

This data-driven approach allows utilities to prioritize maintenance and vegetation management. Compared to burying power lines, which can cost over $3 million per mile, AI-based risk mitigation is far more cost-effective. Utilities can act faster, prevent fires, and reduce both financial and environmental risks.

The Bigger Picture: AI and Climate Resilience

AI’s role in wildfire management is part of a broader effort to tackle climate change. By predicting fire behavior, identifying high-risk areas, and helping utilities mitigate potential sparks, AI reduces the frequency and severity of wildfires. This, in turn, helps limit carbon emissions, protects communities, and preserves forest carbon storage.

As climate change makes fires more frequent and intense, AI provides tools to respond effectively and proactively. It allows decision-makers to act before fires ignite, preventing a cycle of destruction and emissions. Emerging AI technologies, combined with satellite data and advanced modeling, are transforming wildfire management from reactive firefighting to proactive prevention.

Companies like Overstory are protecting both lives and the environment. In a world where wildfires are becoming a growing threat, AI offers a smarter, more precise, and cost-effective way to manage risks, protect communities, and build climate resilience.

Walmart (WMT) Expands EV Charging and Boosts Renewable Energy in Its Net-Zero Playbook

Saptakee S
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0
Walmart (WMT) Expands EV Charging and Boosts Renewable Energy in Its Net-Zero Playbook

Walmart (NYSE: WMT) is stepping up its clean energy and emissions game across the United States. Shoppers want to save money and live more sustainable lives, and Walmart sees a big role for itself in that shift. With a store or club within 10 miles of nearly 90% of Americans, the retailer believes it is perfectly placed to support the country’s move to cleaner transportation.

From expanding EV charging access to using more renewable power and electrifying its delivery fleet, Walmart is building a lower-carbon future that also brings long-term savings and stronger resilience.

Charging Up America: Walmart’s Big EV Push

Walmart wants to make owning an electric car easier for millions of people. The company plans to build its own fast-charging network across thousands of Walmart and Sam’s Club locations by 2030. This will add to the nearly 1,300 chargers already running at more than 280 stores today.

The goal is simple: remove the fear of not finding a safe and reliable place to charge. Walmart’s well-lit parking lots offer an easy place to plug in while customers shop, grab groceries, or pick up essentials. And in true Walmart style, the company aims to offer low-cost charging to help families save on transportation—the second-largest expense for most households.

ev walmart clean energy
Source: Walmart

Greener Deliveries and Next-Gen Fleet

Transportation is one of Walmart’s toughest emissions issues. In 2024, the company’s fleet made up 24.9% of Scope 1 emissions and 14.4% of total operational emissions. As Walmart brings more logistics in-house and grows its business, fleet emissions may rise in the short term.

Yet Walmart is preparing for a cleaner future. It’s partnering with GM, Ford, and Canoo to electrify delivery vehicles. Many Walmart+ deliveries already use electric vans.

  • They are also testing heavy-duty battery trucks, hydrogen fuel cell vehicles, and renewable diesel.
  • Walmart is rolling out liquid hydrogen-powered forklifts and recently opened Latin America’s first industrial-scale renewable hydrogen plant in Chile.
  • Electric yard trucks are already delivering major gains—cutting emissions by more than 75% per hour compared to diesel models.

These tests matter. They help shape the future of Walmart’s fleet, especially as long-haul truck solutions may not mature until the 2030s.

As more drivers go electric, the re network will add much-needed charging options nationwide. Even rural areas, which often lack EV infrastructure, will benefit. Walmart sees this as a smart business move and a natural extension of its mission to help customers live better and more sustainably.

Smart Stores with Clean Energy

Walmart’s clean energy plan centers on four ideas: access, cost, resilience, and emissions cuts. Because its stores rely more than ever on electricity and digital systems, stable power is essential. So Walmart is investing in new technology to identify power risks, upgrade monitoring tools, and strengthen connections to the grid.

Real-time energy monitoring across thousands of facilities helps Walmart track usage and operate more efficiently. These insights will matter even more as automation grows across the company’s operations.

Walmart is also adding more on-site power. Solar panels, wind systems, and battery storage help stores stay open during outages and lower long-term energy bills. Between 2024 and 2030, it aims to support up to 10 gigawatts of new clean energy capacity.

The company is already making progress. In 2024, renewable energy met 48.5% of Walmart’s global electricity needs. This brings the retailer close to its goal of 50% renewable power by 2025 and puts it on track for 100% by 2035. By the end of 2024, its U.S. operations had 166 MW of onsite solar across 325 facilities and 10 MW of energy storage at 44 locations.

clean energy walmart
Source: Walmart

Achieving Net-Zero Emissions

Walmart is working toward zero emissions across its global operations (Scope 1 and 2) by 2040. These emissions come from transport fuels, refrigeration, heating, and electricity use.

The company has reduced its emissions intensity by 47.4% since 2015, but annual emissions can still vary. In 2024, Walmart’s Scope 1 and 2 emissions rose by 1.1%. Growth in U.S. transportation and lower renewable energy output in Mexico and Central America—due to extreme heat and drought—played a big role.

Still, global operational emissions remain 18.1% lower than the 2015 baseline. But progress won’t always be smooth. Policies, infrastructure limits, equipment shortages, and slow advances in low-carbon trucking technology create challenges. Walmart has noted that meeting its 2025 and 2030 targets may take more time.

Even so, Walmart keeps improving. New buildings and remodels use efficient lighting, HVAC systems, and refrigeration. The company is replacing older equipment with high-efficiency models and testing refrigeration and HVAC systems with lower global warming impact. These upgrades support both sustainability and cost savings.

walmart emissions WMT stock
Source: Walmart

Walmart (WMT) Q3 FY2025 Highlights

Walmart Inc. posted Q3 FY2025 revenue of $179.5 billion, up 5.8% from last year and beating estimates by 1.1%. Same-store sales rose 4.5%, fueled by strong e-commerce and retail growth, with adjusted EPS at $0.62—above expectations. The company raised its full-year sales outlook amid steady demand and efficiency gains.​

Additionally, WMT stock hit near-record highs but with a “Moderate Buy” rating from analysts, targeting 6-9% upside. Growth drivers include e-commerce, consumer resilience, and clean energy bets like EV fleets and chargers.

The goals are bold: zero operational emissions by 2040 and 100% renewable power by 2035. Yet Walmart’s scale, resources, and willingness to innovate give it a powerful role in America’s clean energy transition. And ultimately, these steps help customers live better, save more, and make sustainable choices that fit their everyday lives.

Canada and Alberta Strike Major Pipeline Deal Under New Law, Minister Guilbeault Resigns

Jennifer L
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Canada and Alberta Strike Major Pipeline Deal Under New Law, Minister Guilbeault Resigns

On November 27, 2025, Canada’s federal government and Alberta signed a formal agreement to develop a new oil pipeline. The project would export Alberta’s bitumen to Asian markets. It includes carbon capture projects, power-grid expansion, and faster regulatory approvals under the Building Canada Act.

If approved, this pipeline might be the first project to get a “national interest” designation under the new law. This would speed up the review process. It will run with the planned expansion of the Trans Mountain pipeline (TMX). This could boost West Coast export capacity to 2.5 million barrels per day (bpd) of diluted bitumen.

The agreement seeks to create jobs, attract private investment, and speed up major infrastructure projects that would reduce emissions. Yet, it raises concerns about environmental protections, Indigenous rights, and Canada’s climate commitments.

The Building Canada Act and Bill C-5

Bill C-5 became law in June 2025. It created the Building Canada Act, a framework designed to make it easier and faster to build major infrastructure. Projects labeled as “of national interest” — like pipelines, ports, railways, and power lines — can go through a quicker approval process.

The Act intends to reduce regulatory delays and encourage private investment. It also aims to respect environmental standards and Indigenous rights. Critics worry that protections might be weak. Supporters, however, believe the law is essential. It can help Canada build infrastructure, boost exports, and create jobs.

The Key Proposals in the Canada–Alberta Agreement

The Memorandum of Understanding (MOU) outlines several initiatives:

  • Pipeline construction: A private pipeline could transport 300,000 to 1 million bpd of diluted bitumen from Alberta’s oilsands. It would use a new right-of-way to reach a deepwater port near Vancouver. Private developers, likely Pathways Alliance affiliates, would lead the project. It would run parallel to TMX, which has a capacity of 890,000 bpd after 2024.
  • Carbon capture: The Pathways Alliance targets 22 million tonnes of CO₂ per year, equivalent to roughly 5% of Canada’s 2024 emissions. The $15 billion cost would be shared between federal and private investors.
  • Electricity grid expansion: Investments may include nuclear and renewable energy projects.
  • Regulatory review: Approvals are capped at two years after the application.
  • Indigenous participation: 16 First Nations have signed MOU support letters. The agreement offers up to 20% equity ownership and a $1 billion benefits fund.

Economic and Job Projections

The pipeline project could bring significant economic benefits. Estimates include:

  • Up to 10,000 construction jobs and 2,000 permanent operations positions.
  • $20–50 billion in private investment over ten years.
  • $10–15 billion annual boost to Alberta’s GDP from exports to Asia, including China and Japan.
  • Reduced reliance on U.S. markets amid 2025 tariffs.

The project could boost energy growth in Alberta. It may also raise public revenue, attract private investment, and support related sectors.

Environmental and Climate Considerations: The Case of CCUS

The MOU focuses on practical steps: enhancing industrial carbon pricing and driving significant private investment in clean technologies. Canada already uses carbon pricing and emissions regulations. Industrial emitters face carbon taxes or output-based pricing. 

The new Alberta agreement puts a hold on earlier oil and gas intensity caps. These caps aimed for a 35–38% emissions reduction by 2030. These are replaced with output-based pricing at $170 per tonne of CO₂ by 2030.

Also, central to this effort is Pathways Plus, set to become the world’s largest carbon capture, utilization, and storage (CCUS) project. Carbon capture is intended to offset the higher emissions from increased production. Success depends on the CCUS project performing as promised.

Canada’s CCUS ambition has clear numbers: the country aims to have roughly 15 Mt CO₂‑per‑year of capture capacity installed by 2030. Under certain regulatory and investment assumptions, the energy sector could raise CO₂ capture to as much as 88 Mt per year by 2025 and 271 Mt per year by 2030.

Current capacity stands at ~2-3 Mt/year (e.g., from Alberta projects like Quest and Shell Polaris), with ambitions to triple or quintuple to 15-27 Mt by 2030 via ~34 new projects.

carbon capture (CCUS) in Canada
Source: The International CCS Knowledge Centre

Meanwhile, Canada’s geological storage potential remains massive. About 389 gigatonnes of CO₂ are estimated to be safely storable in deep geological formations.

Stakeholder Reactions: Indigenous Rights and Community Involvement

Indigenous consultation and community involvement are also critical to minimizing social impacts. Historically, TMX faced delays and cost overruns, reaching $34 billion by 2024 despite approval in 2016. Northern Gateway was rejected in 2016 due to tanker risks.

Recent changes to the 2025 Oil Tanker Moratorium Act now permit up to 300 tanker trips each year in B.C. waters. This adds important regulatory context for the proposed route.

Thus, the agreement has received mixed responses: support, criticisms, and political concerns. 

The Alberta Chamber of Commerce supports the deal. They highlight benefits like economic growth, job creation, and investment certainty. Doug Griffiths, President and CEO of the Edmonton Chamber, said: 

“When we open new markets, build major projects and create the right conditions for investment, we make Alberta the greatest place in the country to live, work and build a future.” 

However, environmental groups like the Sierra Club and Indigenous organizations such as the Assembly of First Nations highlight gaps in UNDRIP compliance. They raise concerns about free, prior, and informed consent.

The B.C. NDP opposes the project. They believe it lacks proper consent. They are also worried about tanker traffic harming coastal communities. Eby in B.C., noted in a Politico report that: 

“We need to make sure that this project doesn’t become an energy vampire with all of the variables that have yet to be fulfilled — no proponent, no route, no money, no First Nation support.”

Industry groups and labor organizations see the project as a way to improve infrastructure and draw in investment. But critics say the agreement weakens federal climate policy. It lifts emissions caps and relaxes clean electricity rules.

Former Environment Minister Steven Guilbeault resigned in protest. He called the deal a step back from long-standing climate commitments.

Canada climate goals and emissions projection
Source: Government of Canada

Several factors will shape the deal’s outcome:

  • Whether a private developer, likely a Pathways Alliance affiliate, finances and builds the pipeline.
  • Progress in Indigenous consultation, co-ownership agreements, and community benefit delivery.
  • Decisions by environmental regulators and B.C. authorities on tanker traffic.
  • The success of the CCUS project in capturing 22 million tonnes of CO₂ per year.
  • Alignment with Canada’s net-zero by 2050 target and other climate goals.

This agreement may serve as a test case for balancing resource development with environmental protection and Indigenous rights.

Implications for Canada’s Future

The Canada–Alberta deal reflects a complex balancing act. Supporters say it offers clear rules for private investment. It also speeds up approvals and helps modernize the energy sector while chasing climate goals. Critics fear it might weaken environmental rules and hurt UNDRIP commitments. It could also boost Canada’s reliance on fossil fuel exports.

Whether the project becomes a model for “clean growth” or a setback for climate action will depend on implementation. Key factors include the performance of carbon capture, emissions tracking, Indigenous participation, and private investment aligned with social and environmental standards. Economic benefits, environmental risks, and political challenges will continue to shape Canada’s energy and climate policy in the years ahead.

India–Canada Near $2.8 Billion Uranium Deal, Cameco to Supply Nuclear Fuel

Saptakee S
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India–Canada Near $2.8 Billion Uranium Deal, Cameco to Supply Nuclear Fuel

India and Canada are close to finalizing a $2.8 billion uranium supply deal. This agreement could reshape their energy partnership for the next decade. The 10-year deal would let Canadian producer Cameco supply fuel for India’s growing nuclear fleet. This partnership, paused in 2020, now returns at a larger scale, reflecting stronger political ties and rising nuclear energy demand.

This deal goes beyond trade. It connects India’s need for clean power with Canada’s rise as a global supplier. It also comes at a time when Cameco is gaining strategic strength and influence, making this timing ideal for both countries.

A New Phase in India–Canada Nuclear Cooperation

Recent reports from The Globe and Mail show that both nations are nearing the end of negotiations. This new supply deal would replace the earlier $350 million, five-year agreement from 2015, but it’s nearly ten times the value and twice the duration.

India seeks long-term uranium security as it expands nuclear generation and aims to achieve 100 GW of nuclear energy capacity by 2047. This target is critical for cutting carbon emissions and meeting the country’s future energy needs. Notably, as of January 30, 2025, India’s installed nuclear capacity stands at 8,180 MW.

India nuclear capacity
Source: Department of Atomic Energy, India

A stable decade-long supply from Canada would help India run its reactors smoothly and support its plans to increase nuclear capacity through 2040 and beyond.

For Canada, the deal strengthens its position as a trusted supplier. This is crucial as many countries aim to move away from Russian nuclear fuel. It also deepens ties with one of the world’s fastest-growing economies.

G20 Summit Signals a Reset in Relations

Momentum for the uranium deal grew when Prime Minister Narendra Modi met Canadian Prime Minister Mark Carney on November 23, 2025, during the G20 Summit in Johannesburg. Their meeting marked a significant step in rebuilding relations.

Both leaders praised the Australia-Canada-India Technology and Innovation (ACITI) Partnership. This partnership aims to boost cooperation in nuclear energy, critical technologies, supply-chain resilience, and artificial intelligence. They noted progress since their earlier meeting in June and the launch of a roadmap for renewed engagement in October.

As per reports, the leaders reaffirmed their civil-nuclear ties and discussed ongoing talks about a long-term uranium supply arrangement—an obvious nod to the Cameco deal. They also agreed to restart talks on a Comprehensive Economic Partnership Agreement (CEPA), with a goal to double bilateral trade to $50 billion by 2030.

Cameco Stock Surges with The Potential Uranium Agreement

The timing of this potential agreement aligns with Cameco’s steady rise in strength. In its November 5 third-quarter results, Cameco reported $172 million in earnings before taxes and $220 million in adjusted EBITDA in its uranium segment. Although sales volumes dipped slightly, the company maintained strong performance and a stable outlook for 2025.

More significantly, market confidence in Cameco remains strong. In November, its shares traded around $87.35 on the NYSE, rising nearly 4.8% in one day. The stock fluctuated between $82.45 and $87.67, reflecting growing investor optimism.

Analysts attribute this rise to tightening global uranium supply, new reactor commitments, and excitement around the potential India–Canada uranium agreement. Investors view Cameco as a key player in the nuclear energy revival.

Meeting 2025 Uranium Targets

Cameco updated its production expectations as well. Output from the McArthur River/Key Lake site is now estimated at 14–15 million pounds of U₃O₈ on a 100% basis, down from earlier plans. However, excellent performance at Cigar Lake, expected to produce 19 million pounds, should help balance part of the shortfall. Overall, the company expects its share of uranium output to reach up to 20 million pounds in 2025.

Cameco also narrowed its sales guidance to 32–34 million pounds and reduced market purchases to 1 million pounds, showing confidence in its operational flexibility.

uranium cameco
Source: Cameco

Expanding Its Influence Through U.S. Partnership

The company’s outlook also strengthened with a new partnership involving the U.S. Government and Brookfield. This initiative aims to speed up the deployment of Westinghouse nuclear reactors in the U.S. The expected investment for this program is at least $80 billion.

This collaboration supports Cameco’s fuel-cycle strategy and boosts demand for its reactor technologies, uranium products, and long-term services. As the U.S. moves toward major nuclear energy expansion, Cameco stands to benefit from this growth.

Why the India–Canada Uranium Deal Matters

The new $2.8 billion uranium deal impacts energy security and geopolitics. For India, it ensures the fuel to operate and grow its nuclear fleet. This supports economic growth and lowers emissions.

  • Canada holds the third-largest uranium reserves globally and ranks as the second-largest uranium exporter in the world.

Roughly 15 percent of the uranium mined in Canada fuels domestic CANDU reactors. The remaining supply is exported, generating about $1 billion annually. Major destinations include the United States, Europe, and Asia.

Thus, for Canada, it strengthens its position as a trusted, non-Russian uranium supplier and creates new chances in Asia.

For Cameco, this deal would provide steady revenue and strengthen its position as a dependable uranium producer. It aligns with rising nuclear demand driven by climate goals, reliability needs, and geopolitical shifts.

canada uranium
Source: Govt of Canada

A Defining Moment for Nuclear-Energy Partnerships

The agreement isn’t final yet, but diplomatic signals, market reactions, and industry discussions suggest a shift in India–Canada relations. Once confirmed, it would mark a major milestone for nuclear cooperation and a new decade of collaboration.

If completed, the India–Canada uranium deal will be a strategic victory for both nations. It will provide India with reliable fuel for its nuclear ambitions. It will strengthen Canada’s role in global energy markets. And it will reinforce Cameco’s leadership as nuclear power plays a key role in clean-energy plans.

This potential pact is more than a commercial deal. It reflects a broader strategic alignment during a global nuclear revival and may become one of the most significant long-term energy partnerships of the decade.

Frontier Backs Climate Startup Reverion for 96,000 Tons of Biogas-Based Carbon Removal

Saptakee S
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0
Frontier Backs Climate Startup Reverion for 96,000 Tons of Biogas-Based Carbon Removal

Climate startup Reverion, a German company specializing in biogas-based carbon removal, has secured several major offtake agreements through Frontier, the advanced carbon removal buyer coalition. The deals mark a significant milestone for the company as it works to commercialize its solid oxide fuel cell (SOFC) technology, which captures and permanently stores CO₂ while producing clean electricity.

Under the new commitments, Frontier buyers—including Google, McKinsey, H&M Group, Autodesk, Workday, and others—will pay $41 million for 96,000 tons of permanent CO₂ removal between 2027 and 2030.

Frontier’s carbon removal portfolio 

frontier carbon removal
Source: Frontier

These agreements strengthen the growing belief that biogas-based carbon removal can be both scalable and economically attractive when combined with high-efficiency energy production.

How Reverion’s Fuel Cell System Turns Biogas into Permanent Carbon Removal

Reverion, a 2022 spin-off from the Technical University of Munich, has created a system that generates clean electricity and captures carbon from biogas at the same time. Farmers produce biogas by placing manure, crop leftovers, and food waste into anaerobic digesters. These digesters create a gas mix that contains methane and CO₂.

  • The company’s solid oxide fuel cell (SOFC) converts the methane in this gas directly into electricity with very high efficiency.
  • During this reaction, the carbon in the gas separates into a pure CO₂ stream.
  • The system then liquefies this CO₂ and sends it for permanent geological storage.

Traditional biogas systems burn the gas in engines, lose energy, and release most of the carbon back into the air. Some even leak methane, which traps far more heat than CO₂. Reverion avoids these problems by capturing carbon from both methane and CO₂ in the biogas. As a result, the system increases the amount of carbon removed and cuts emissions at the source.

By pairing efficient power generation with full carbon capture, Reverion turns everyday biogas into a dependable pathway for long-term carbon removal.

Reverion CARBON REMOVAL Biogas
Source: Frontier

Energy, Hydrogen, and New Revenue Streams for Farmers

The press release highlighted that, today, more than 120,000 biogas plants operate worldwide, but many still use old engines with low efficiency. And Reverion’s SOFC gives farmers a major upgrade. It reaches about 74% fuel-to-electricity efficiency—one of the highest levels in the industry. This lets farmers produce more electricity from the same biogas, lower their energy bills, and earn extra money by selling clean power.

The system also adds flexibility. When electricity prices drop, often during times of strong wind and solar output, the fuel cell can run in reverse to make green hydrogen. Farmers can sell this hydrogen or use it on their own farms, creating another income source.

By delivering clean energy, flexible operation, and permanent carbon removal, Reverion offers a strong alternative to combustion engines and renewable natural gas upgrading systems.

Frontier Unlocks: Why BiCRS Matters in Carbon Removal Portfolios

Biomass Carbon Removal and Storage (BiCRS) is emerging as a strong contender for long-duration carbon removal. It includes several pathways such as BECCS, bio-oil sequestration, biomass injection, and now biogas-based fuel cell systems.

Frontier explains how BiCRS stands out for the following reasons:

  • Lower costs: Plants capture CO₂ naturally and at no cost. Many BiCRS systems also use existing waste streams, which reduces input costs.
  • Clear verification: Technologies like BECCS and biomass injection are easier to measure and verify compared with more experimental removal pathways.
  • Near-term scalability: Bio-oil and biomass injection can grow quickly, helping meet the rising demand for carbon removal supply.
Frontier
Source: Frontier

However, BiCRS is not without challenges. The biggest concern is sustainable biomass sourcing. Poor practices—such as removing too much crop residue, clear-cutting forests, or heavy fertilizer use—can harm biodiversity, damage soils, or increase emissions. Because of these risks, carbon removal purchasers must follow strict sustainability guidelines when sourcing biomass.

There is also a durability question for some BiCRS methods. Some biomass burial or sinking approaches could decompose over time, reversing the stored carbon. Frontier funds several R&D projects to evaluate long-term durability.

Finally, the BiCRS market is expected to be highly fragmented. Feedstock types differ by region, and the best removal pathway varies based on geography, transportation options, and local policy. Most BiCRS facilities also operate at a modest scale, meaning the market will rely on many distributed projects rather than a handful of giants.

Even so, BiCRS delivers several co-benefits. These include on-site clean energy production, lower fossil fuel use, reduced methane emissions, nutrient recycling for croplands, and destruction of harmful pollutants like PFAS.

BiCRS Dominates CDR Market

As per the CDR.fyi report, biomass-based carbon removal is leading the carbon removal market. In 2025, BiCRS projects delivered 97% of durable carbon dioxide removals, showing their major impact. BECCS, a key BiCRS pathway, is set to grow at a 19.3% CAGR from 2024 to 2030.

  • In the US alone, BiCRS could remove over 800 million tonnes of CO2 per year at costs below $100 per ton, with potential to exceed 1 billion tonnes with expanded biomass use.

The carbon removal market reached $3.9 billion in Q2 2025, with biomass projects accounting for 99% of transactions. Growth is fueled by rising demand for sustainable energy, expanding investment, and supportive policies.

bircs
Source: CDR.FYI

Why Reverion’s Model Stands Out

Reverion’s approach offers compelling advantages that support its rapid market adoption:

  • Large potential impact: With over 120,000 biogas sites worldwide, the theoretical removal potential from biogas could exceed 2 gigatons per year by 2040, according to IEA projections. Reverion could capture a meaningful share of this, especially alongside other BiCRS technologies.
  • Full-stream carbon capture: Most systems capture only the CO₂ portion of biogas. Reverion captures carbon from both CO₂ and methane, effectively doubling the removal impact.
  • World-class electrical efficiency: Its 74% efficiency ranks among the highest globally, increasing economic returns for operators.
  • Low methane leakage: Because methane is converted on-site, the system avoids pipeline leaks often associated with renewable natural gas.
  • Strong market demand: Reverion already holds 60 pre-orders and 120 letters of intent, signaling strong momentum.
Reverion biogas
Source: Reverion

As the world accelerates efforts to scale permanent carbon removal, technologies like Reverion’s offer a promising path—combining high-efficiency clean energy production with durable, verifiable carbon storage at biogas sites around the world.

EU Mobilizes €15.5 Billion to Boost Africa’s Clean Energy Boom

Jennifer L
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EU Mobilizes €15.5 Billion to Boost Africa’s Clean Energy Boom

The European Union has announced it will mobilize €15.5 billion to support Africa’s clean energy transition. The region gathers funds from various sources. This includes EU institutions, member states, African partners, development banks, and private investors.

The funding package, announced by President von der Leyen, aims to increase renewable power, improve electricity access, and strengthen energy systems across the continent.

This initiative forms part of the Global Gateway Africa–Europe Investment Package. The goal is to promote sustainable growth, reduce carbon emissions, and enhance living standards. It supports large-scale energy projects, off-grid solutions, and technical assistance for infrastructure and regulatory reforms.

President von der Leyen stated:

“Today, the world has stepped up for Africa. With €15.5 billion, we are turbocharging Africa’s clean energy transition. Millions more people could gain access to electricity, real, life-changing power for families, for businesses, for entire communities. This investment is a surge of opportunity: thriving markets, new jobs, and reliable, clean energy that meets the needs of partners across the globe. President Ramaphosa and I both look forward to a clean-energy future for the continent. A future led by Africa, with strong support from its friend and partner, Europe.”

What Composes the €15.5 Billion Campaign?

The campaign, coordinated with Global Citizen and supported by the International Energy Agency, aims to boost public and private investment in Africa’s clean energy transition. It seeks to expand electricity access, support sustainable economic growth, and promote low-carbon industrialization.

The €15.5 billion package is made up of several components:

  • More than €15.1 billion comes from European public sources, including over €10 billion pledged by President von der Leyen on behalf of Team Europe.

  • Additional pledges are expected from other governments and development banks.

  • Private investment is expected to be the main source of funding. It will use public money to lower risk and draw in commercial investors.

The package will fund both large and small projects. For example, the Côte d’Ivoire’s transmission line upgrades aim to expand electricity distribution across urban and peri-urban areas. Moreover, Madagascar’s mini-grid systems will help off-grid households and small businesses. These flagship projects show that the campaign is focused on tangible outcomes.

Africa’s Energy Gap: The Urgent Need

Africa faces a major electricity gap. Analyses by international agencies and research groups show the following key statistics:

  • 600 million people in Africa currently lack access to electricity.
  • Around 900 million people still rely on traditional biomass, such as firewood or charcoal, for cooking.
  • Installed renewable power capacity is about 120 gigawatts (GW). This makes up less than 20% of total electricity generation.

The continent’s demand for electricity is growing rapidly. Urbanization, population growth, and industrial expansion are driving energy needs higher. By 2050, Africa’s population is expected to exceed 2.5 billion, increasing electricity demand significantly.

Catalyzing 27 GW of Renewable Power by 2030

Meeting Africa’s energy and climate goals by 2030 will require hundreds of billions of dollars annually in investment. Estimates say the continent needs about $120–150 billion each year. This money is essential for achieving universal electricity access and boosting renewable energy generation.

The €15.5 billion mobilization covers roughly 10–12% of the annual investment gap, showing its catalytic rather than complete role. The package seeks to unlock more public and private funding. It also aims to encourage policy reforms and provide technical support.

Long-term scenarios envision adding around 300 GW of renewable capacity by 2030. The €15.5 billion initiative will not deliver all of this, but will contribute nearly 27 GW of additional renewable power and support for millions of households.

Power generation capacity additions in Africa in the Sustainable Africa Scenario, 2011-2030
Source: IEA

What are the Expected Outcomes?

The mobilization is projected to deliver measurable results, including:

  • Renewable capacity: Nearly 27 GW of new solar, wind, and hydro generation.
  • Electricity access: Around 17.5 million households will gain new or improved electricity services.
  • Job creation: Thousands of construction and operational jobs will be created through project implementation.

Country-level examples highlight these tangible impacts:

  • Cameroon: €59.1 million is allocated to rural electrification for 687 communities — reaching more than 2.5 million people.
  • Madagascar: €33.2 million will support the rollout of mini‑grids to bring electricity to rural and off‑grid areas.
  • Mozambique: €13 million is directed toward enabling a low-emission energy transition and encouraging private‑sector participation in renewables.
  • Somalia: €45.5 million goes toward increasing access to affordable renewable energy, promoting climate‑resilient agri‑food systems, and advancing circular‑economy practices.

These investments are designed to improve both the electricity supply and the reliability of grids. They will help local communities, schools, hospitals, and businesses access modern energy.

Tapping Africa’s Untapped Solar & Wind Potential

Africa has vast untapped renewable energy potential, especially solar. Estimates suggest that the continent could generate over 10,000 GW of solar power if fully developed. Wind, hydro, and geothermal resources further increase the potential.

Africa annual solar capacity
Source: Ember

Despite this, Africa’s per capita emissions remain low: only around 1 ton of CO₂ per person, compared with a global average of about 4.8 tons. This highlights the need for investment in clean energy to support growth without raising emissions significantly.

Urbanization and population growth add urgency. By 2030, Africa’s urban population could reach 1.5 billion, creating higher electricity demand in cities. Clean energy projects can meet this demand while reducing reliance on expensive diesel and fossil fuels.

Governance, Technical Support, and Smart Planning

The EU programme works closely with African institutions to ensure the effective use of funds. The African Union and the African Development Bank play roles in project selection, co-financing, and oversight.

Technical assistance is a key part of the package. Their support includes:

  • Grid planning and expansion studies
  • Regulatory reforms to encourage private-sector investment
  • Training programs for engineers and technicians
  • Tools for monitoring and evaluating energy projects.

This approach ensures that projects are not only built but also managed sustainably over time. About 10–15% of the total mobilization can go to technical assistance and capacity building. This shows how important governance and expertise are.

Risk, Regulation, and Resilience

Mobilizing the €15.5 billion is an important step, but it does not guarantee success on its own. Several risks could affect the implementation of clean energy projects. Regulatory uncertainty in some countries can slow investment.

Also, infrastructure gaps may hinder the integration of new renewable energy into current grids. Political instability and local conflicts pose additional threats, potentially delaying or disrupting construction.

Technical challenges are also present. Solar and wind power rely on the weather. They need storage systems and smart grids for a steady electricity supply.

The EU tackles these risks using blended finance, guarantees, and strong teamwork with African partners. Public support lowers upfront financial risk. This encourages private investors to join in and helps projects succeed.

A Sustainable and Inclusive Energy Future for Africa

The €15.5 billion mobilization is a significant step for Africa’s clean energy future. While it covers only a fraction of the total investment needed, it acts as a catalyst. It encourages additional public and private investment, strengthens local institutions, and supports technical capacity.

If projects are delivered on time, millions of people will gain electricity for the first time. Jobs will be created, economies strengthened, and emissions reduced. Africa could build a modern energy system that is both sustainable and resilient.

These combined efforts show that partnerships between Europe and Africa can unlock large-scale transformation. The focus is on tangible, measurable results, not promises alone, to benefit people, economies, and the planet.

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