New York Requires Large Emitters to Report Their Greenhouse Gas Emissions – Updated

Jennifer L
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New York Requires Large Emitters to Report Their Greenhouse Gas Emissions – Updated

New York State has proposed a new rule requiring large companies and facilities to report their greenhouse gas (GHG) emissions. This rule is not intended to reduce emissions immediately but to improve data collection to understand where emissions are coming from. That data will help the state take stronger action in the future.

This rule is an early step in the state’s climate plan, especially as it prepares to launch a “cap-and-invest” program in 2025. The reporting rule would start with emissions data from 2026, and companies would have to submit reports in 2027. The New York State Department of Environmental Conservation (DEC) leads this effort.

Who Would Need to Report?

The rule would apply to many types of businesses that emit large amounts of greenhouse gases. This includes not only facilities that directly release pollution into the air but also companies that supply fuels or other products that create emissions later.

  • Any business that emits 10,000 metric tons or more of carbon dioxide equivalent (CO₂e) per year must report. For comparison, that’s about the same as the emissions from 2,200 gas-powered cars in one year.

Types of companies and facilities that may need to report include:

  • Power plants
  • Waste incinerators and landfills
  • Large industrial factories that burn fossil fuels
  • Natural gas compressor stations
  • Heating fuel and gasoline suppliers
  • Fertilizer and lime distributors
  • Anaerobic digesters and other waste treatment systems

According to the DEC, thousands of entities across New York could fall under the rule. These businesses will need to measure their emissions or use standard methods to estimate them. Some may already report this information to federal programs, which they can reuse for state reporting.

NEw York GHG emissions by sector
Source: https://climate.ny.gov/

Refer to this factsheet to know more about the said mandatory reporting.

Why the Rule Matters

The state needs accurate data to meet its climate goals under the Climate Leadership and Community Protection Act (CLCPA). This law, passed in 2019, sets some of the toughest climate targets in the country. New York aims to:

  • Reduce greenhouse gas emissions by 40% below 1990 levels by 2030
  • Reach 85% emissions reductions by 2050
  • Get 100% clean electricity by 2040
New York GHG emissions
Source: New York DEC

Accurate data is needed by the state to understand emissions sources and their scale. Right now, the DEC says data is incomplete for many parts of the state’s economy. Some sectors—like transportation, heating fuels, and industrial processes—have gaps in reporting. This rule will help fill those gaps.

How the Reporting Will Work

Companies will need to submit their emissions through an online reporting system developed by the DEC. The agency is also creating a reporting tool to help companies figure out if they are required to report and how to do it correctly.

For example, companies may be asked to report:

  • Direct emissions from their own facilities
  • Indirect emissions from fuels they sell or transport
  • Activities that lead to other forms of carbon pollution

Some reports may need to be verified by a third party. This is to make sure the data is correct and can be trusted for future climate programs. The rule also allows companies to submit data they already send to federal or state programs, making the process easier and less costly.

The Cap-and-Invest Connection

This reporting rule is tied to New York’s upcoming cap-and-invest program. That program, expected to begin in 2025, will place a cap on total greenhouse gas emissions across the state. Emitting entities have to buy “allowances” for the emissions they produce. The fewer allowances available, the more companies will pay if they go over their limits.

Money raised from this system will go into a Climate Action Fund to pay for clean energy projects, home energy improvements, and transportation upgrades. It will also help protect low- and moderate-income households from higher energy prices.

The reporting rule is a key part of getting that system ready. If the state doesn’t know how much a company is emitting, it won’t be able to manage the cap properly or ensure the rules are fair.

Responding to Federal Rollbacks

The emissions reporting rule also prepares New York to stay on track, even if federal rules change. The U.S. Environmental Protection Agency (EPA) already has a greenhouse gas reporting program. However, some experts have raised concerns that future federal policy changes could affect the reliability of existing programs.

DEC Acting Commissioner Amanda Lefton said the rule will help New York “fill the data gaps left behind by proposed federal rollbacks” and make sure the state has “accurate and reliable data.” She further noted:

“The proposed Reporting Rule will enable us to collect the information necessary to develop effective strategies that reduce harmful air pollution and direct investments where they are most needed, while also protecting New York’s consumers and economic competitiveness.”

The CarbonCredits.com team reached out to DEC for more context and information and they provided the following insights.

Q: How will the DEC ensure that emissions data from suppliers and distributors—particularly in sectors like transportation fuels and industrial products—is accurate and consistent across all reporting entities? 

A: To ensure accuracy, the DEC will require large emitters to undergo third-party verification and, in some cases, install monitoring equipment. Smaller sources may also need to enhance monitoring if necessary. The agency will accept some data already reported under federal and state programs, reducing duplication.

All reporting entities must certify the accuracy of their data and keep supporting records available for DEC audits. Each category—like fuel suppliers—will follow standardized requirements, including disclosing fuel volumes and transaction data to both the DEC and fuel buyers to ensure consistency across the system.

Q: What support will be available for small- to mid-sized businesses that may struggle with compliance?

A: To ease the reporting process, the DEC is offering free, confidential support for small businesses through state assistance programs. A new online reporting platform will launch before the first reporting deadline in June 2027. The DEC also provides tools like the GHG Estimation Tool to help facilities determine if they need to report.

Additional resources and guidance are being developed to reduce the burden on smaller entities, including municipalities. The DEC is also hosting public webinars and maintaining a dedicated webpage to help stakeholders understand and comply with the rule.

Public Input and Next Steps: A Step Toward Climate Action

The proposed rule is now open for public comment. The DEC is collecting comments until July 1, 2025, and is holding public events to explain the rule and get feedback. These include:

  • Two public webinars
  • Three in-person hearings
  • Two virtual hearings

After the comment period, the DEC will review all suggestions and release a final version of the rule. If approved, companies will start collecting data in 2026 and submit their first reports in 2027.

New York GHG emissions reporting timeline
Source: DEC

While this rule doesn’t lower emissions on its own, it is an important foundation for climate action. It will help New York:

  • Measure progress toward its goals
  • Create stronger climate policies
  • Promote compliance with climate regulations
  • Support clean energy investments
  • Protect vulnerable communities

With better data, New York can make smarter decisions about where to spend money, where to reduce pollution, and how to support people affected by climate change.

Governor Kathy Hochul has also proposed a $1 billion “Sustainable Future Fund” that would use money from the cap-and-invest to support job training, home retrofits, public transit, and renewable energy in disadvantaged areas.

In the years ahead, the emissions data gathered under this rule will guide all of these efforts.

New York’s proposed GHG emissions reporting rule is a big step toward building a cleaner, more sustainable future. By requiring large emitters to report their emissions, the state is preparing for bigger programs to reduce pollution and invest in climate solutions. It aims to balance regulatory accountability with support mechanisms for affected businesses.

SolarBank Taps Data Center Expert Jonathan Martone to Power Its Next Big Move

Jennifer L
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0
SolarBank Taps Data Center Expert Jonathan Martone to Power Its Next Big Move

Disseminated on behalf of SolarBank Corporation.

SolarBank Corporation (NASDAQ: SUUN; Cboe CA: SUNN, FSE: GY2) is stepping into the fast-growing data center world, and it’s bringing in one of the best to lead the way. On April 9, 2025, SolarBank announced it had brought in data center expert Jonathan Martone to help guide its plans to enter the data center market. Martone has over 25 years of experience in the field, working with companies big and small across North America.

This move comes as data centers — the buildings that store and power the internet — are becoming more important than ever. With AI, cloud services, and digital tools growing fast, the world needs more places to process data. That also means a lot more energy is needed to power these centers.

SolarBank’s Smart Step into Data Centers

SolarBank is known for developing solar and battery energy storage projects. The company now aims to bring clean energy into the world of data. 

Back in November 2024, the company shared its plans to expand into this new market. Since then, it has been looking at different opportunities to build or partner on new data center projects.

Adding Martone as a strategic advisor is a big step in that direction. Dr. Richard Lu, President and CEO of SolarBank, said, 

“I am honoured that Jonathan Martone has agreed to join SolarBank as an advisor. An industry leader like Jonathan will bring significant value to SolarBank as he will help support SolarBank’s strategic expansion into the rapidly growing data center market. Jonathan has significant contacts and is one of the leaders in North America in understanding site selection and the components to ensure a successful operation. The growth of data hungry artificial intelligence deployments continues and SolarBank is seeking to help support this demand.”

Even though this is a new area, SolarBank has years of experience in renewable energy.

The company has built over 100 megawatts of solar and battery storage systems and has a development pipeline of more than 1 gigawatt. It focuses on community and distributed solar projects across Canada and the United States.

SolarBank projects
Source: SolarBank

These projects provide clean power to homes, businesses, and utilities.

Who is Jonathan Martone?

Jonathan Martone, a seasoned expert in data centers and telecommunications, has helped plan and design hundreds of data centers across North America. He now works as an independent advisor, supporting companies as they build, plan, and grow their digital infrastructure.

He works closely with private equity firms, developers, and operators to find good sites for new data centers. This means looking at things like:

  • Does the land have enough power?
  • Are there strong Internet connections nearby?
  • Can clean energy be used for operations?
  • Are the right transformers and grid systems available?
Jonathan Martone
Source: LinkedIn

Martone also understands how to make sure data centers can serve big tech companies like AWS (Amazon Web Services), Google Cloud, and Microsoft Azure. He’s worked with major clients, including EdgeConnex, Overwatch Capital, and Form8tion Data Centers. His specialties include cloud services, fiber networks, high-voltage systems, and energy-efficient designs.

Why This Deal Matters

Data centers are the heart of the internet. Every time we stream a video, use AI, or save files to the cloud, we’re using data center power. But running these centers takes a huge amount of electricity. Their rapid expansion has led to a significant surge in electricity consumption. 

In the third quarter of 2024, U.S. data centers used 46,000 megawatts (MW) of power. This rise was mainly due to the growing need for AI applications and cryptocurrency mining. 

AI models, particularly large-scale ones like GPT-4, require substantial computational power for training and operation. Training such models can consume up to 1 gigawatt-hour (GWh) of electricity each.

As companies increasingly adopt AI-driven solutions, this energy demand is expected to rise further. ​S&P Global expects this demand to rise to 59,000 megawatts by 2029.

This escalating energy consumption poses challenges for utility companies striving to meet the growing demand. Dominion Energy Virginia, for instance, has 40.2 gigawatts (GW) of contracted capacity waiting to connect to the grid. That’s almost double its capacity from July 2024. 

Similarly, Southern Co. has increased its five-year capital plan by $14 billion to enhance electricity generation and transmission infrastructure.

The environmental impact is also a concern. Tech giants like Microsoft and Google plan to run carbon-free data centers by 2030. However, the fast growth of these centers might outstrip the rise of renewable energy. This could lead to a greater dependence on fossil fuels. ​

That’s where SolarBank comes in. By evaluating the build out of data centers that use solar power and batteries, the company hopes to reduce carbon emissions while still meeting rising energy needs.

This is also a big business opportunity. The data center market is growing quickly, especially with the rise of artificial intelligence. SolarBank’s entry into the space could help provide for cleaner, greener data storage.

By combining its clean energy expertise with data center planning, SolarBank is hoping to build a powerful new business model — one that supports the digital world with less impact on the planet.

What Happens Next?

Right now, SolarBank is still exploring different data center projects. It hasn’t signed any final deals yet, but the company is in talks with several groups. With Martone’s help, SolarBank will be able to:

  • Evaluate potential sites
  • Understand energy and utility  needs
  • Connect with new partners
  • Create smart and scalable designs

While this new direction is exciting, SolarBank also warns that there are risks involved.

Building a data center isn’t easy. It requires finding the right land, getting permits, hiring contractors, and securing enough financing. On top of that, energy rules and government incentives could change, making some future projects harder or more expensive to complete.

SolarBank also reminds investors that they don’t currently own or operate any data centers. These plans are still in the early stages.

As more companies look to reduce their carbon footprint, clean energy data centers are likely to grow in demand. By partnering with Martone, SolarBank is preparing to meet that demand head-on.

This report contains forward-looking information. Please refer to the SolarBank press release entitled “Data Center Expert Jonathan Martone Retained by SolarBank Corporation to Power Strategic Expansion” for details of the information, risks and assumptions.

Disclosure: Owners, members, directors, and employees of carboncredits.com have/may have stock or option positions in any of the companies mentioned: None.

Carboncredits.com receives compensation for this publication and has a business relationship with any company whose stock(s) is/are mentioned in this article.

Additional disclosure: This communication serves the sole purpose of adding value to the research process and is for information only. Please do your own due diligence. Every investment in securities mentioned in publications of carboncredits.com involves risks that could lead to a total loss of the invested capital.

Please read our Full RISKS and DISCLOSURE here.

Top 4 Carbon Removal Stocks Set to Suck Up and Cash In

Jennifer L
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0
Top 4 Carbon Removal Stocks Set to Suck Up and Cash In

More companies and governments are investing in carbon removal technologies to help them reach net-zero emissions. With stricter climate rules and companies feeling pressure to reduce carbon footprints, carbon removal stocks are becoming appealing investment options.

Why Carbon Removal Stocks Are Gaining Traction in 2025

Carbon removal companies work to take carbon dioxide (CO₂) from the air. They either store it for good or change it into useful products.

Carbon removal is different from carbon offset initiatives. While offsets balance emissions by reducing them elsewhere, carbon removal actively eliminates CO₂. This makes it essential for industries that struggle to cut emissions.

The carbon removal sector could grow quickly in the next few years. More policymakers, companies, and investors are showing support to scale up the industry. In 2025, here are the top four carbon removal stocks worth watching and keeping on your radar. Let’s break down each one of them, what technology they’re innovating, and other major initiatives. 

1. Net Power Inc. (NYSE: NPWR): Innovating Zero-Emissions Energy

Net Power inc stock
Source: Nasdaq

Net Power Inc. is a U.S.-based clean energy technology company founded in 2010, specializing in generating reliable, on-demand electricity from natural gas with near-zero emissions. The company is revolutionizing the energy sector with its proprietary Allam Cycle technology.

It generates electricity from natural gas while capturing and storing CO₂ emissions. Furthermore, it can capture around 97% of CO₂ emissions during the process. This innovative approach also virtually eliminates other pollutants, including nitrogen oxides (NOₓ) and sulfur oxides (SOₓ).

Net power allam cycle technology
Source: Net Power

Net Power’s modular plant design occupies about 15 acres per facility and offers scalability from 250 megawatts (MW) up to 2 gigawatts (GW). The company is aiming to deploy its first utility-scale power plant by 2028.

Unlike traditional natural gas plants, Net Power’s system prevents emissions from reaching the atmosphere, offering a potential breakthrough for clean energy production.

Operational Developments:

  • La Porte Demonstration Facility: The company completed major plant upgrades and initiated the first phase of the equipment validation program with Baker Hughes. 

  • Project Permian: Located near Midland-Odessa, Texas, this is Net Power’s first utility-scale project. Front-End Engineering and Design (FEED) work continued with Zachry Group and was on track to conclude in Q4 2024. The project aims for initial power generation between the second half of 2027 and the first half of 2028.

  • Air Separation Unit (ASU) Partnership: Net Power announced Air Liquide as the ASU supplier for Project Permian, integrating this component into the overall plant design.

Strategic Initiatives:

Net Power has improved site evaluations for new projects in North America. This includes locations in Alberta, Canada, and several sites in the U.S. These efforts involve collaborations with natural gas producers, carbon sequestration providers, and data center developers.

The company signed a Limited Notice to Proceed (LNTP) with Baker Hughes. This deal is worth about $90 million. It covers the purchase of long-lead materials for the turboexpander and important equipment for the first utility-scale power plant. ​

These developments underscore Net Power’s commitment to advancing its clean energy technology. It is also expanding its project portfolio despite financial challenges.

2. Shell Plc (NYSE: SHEL): Leading in Carbon Capture Initiatives

Shell Plc stock
Source: Nasdaq

Shell Plc, a global energy conglomerate, is making significant strides in carbon removal to align with its net-zero emissions targets. The company has pledged to reduce absolute emissions by 50% by 2030 compared to 2016 levels. Carbon removal, particularly carbon capture and storage (CCS), plays a critical role in achieving this goal.

CCS captures carbon dioxide (CO₂) from industrial processes. It stores the gas underground to stop it from entering the atmosphere.

Shell’s Major CCS Initiatives:

  1. Quest Project (Canada): Since 2015, the Quest facility at Shell’s Scotford complex in Alberta has captured and stored over 8.8 million tonnes of CO₂. Shell is moving forward with the Polaris CCS project at Scotford. This project aims to capture about 750,000 tonnes of CO₂ each year. It will cut emissions from the refinery by up to 40% and from the chemicals complex by 22%. ​

  2. Northern Lights Project (Norway): In collaboration with Equinor and TotalEnergies, Shell is investing $714 million to expand the Northern Lights carbon storage facility. This expansion will boost CO₂ injection capacity from 1.5 million to over 5 million tonnes each year. It will tackle nearly 10% of Norway’s annual emissions.

  3. Gorgon Project (Australia): As a partner in the Gorgon CCS project operated by Chevron, Shell contributes to one of the world’s largest CCS operations. By December 2023, the project had stored more than 10 million tonnes of CO₂.

  4. Daya Bay CCS Hub (China): Shell, along with ExxonMobil and CNOOC, is exploring the development of a large-scale CCS hub in Guangdong Province. The proposed facility aims to capture up to 10 million tonnes of CO₂ annually, supporting China’s goal of carbon neutrality by 2060. ​

These initiatives reflect Shell’s commitment to deploying CCS technologies globally. It works with industry partners and governments to mitigate carbon emissions and support the transition to a low-carbon energy future.

Carbon Credit Market Leadership

Shell showed its commitment to cutting emissions by retiring 14.5 million carbon credits in 2024. Most of these credits backed forestry and land-use projects that aim to protect current carbon stores.

top carbon credit buyers in 2024
Chart from Allied Offsets Report

The company has invested in nature-based solutions. These include reforestation and wetland restoration, which both help enhance carbon sequestration.

3. Delta CleanTech Inc. (CSE: DELT): Specializing in Carbon Capture Solutions

Delta CleanTech stock
Note: Delta CleanTech changed its name to Regenera Insights Source: Marketscreener

​Delta CleanTech Inc., established in 2004 and headquartered in Calgary, Alberta, focuses on clean energy technology. The company specializes in carbon capture, utilization, and storage (CCUS). It also works on solvent and glycol reclamation, as well as carbon credit validation and management.

  • Note: The company has changed its name to Regenera Insights.

Key Business Areas

  1. CO₂ Capture Technology: Delta provides CO₂ capture solutions using its LCDesign® technology. This technology is scalable for facilities that manage 1 to 1,000 tonnes of CO₂ daily.

  2. Solvent and Glycol Reclamation: Through its subsidiary, PurificationRX, Delta provides solvent purification technologies aimed at reducing emissions and promoting material reuse.

  3. Carbon Credit Services: Carbon RX, a subsidiary, focuses on carbon credits. It originates, validates, and streams these credits. The company is expanding from agriculture to many industries that capture and reduce carbon.

delta cleantech carbon capture tech
Delta Carbon Capture Technology Source: Delta Cleantech

Strategic Initiatives and Partnership 

Delta CleanTech has launched several strategic initiatives to expand its carbon capture efforts. In November 2021, it teamed up with the Chenglin Group. They aim to boost CO₂ capture in China. Their focus is on the cement, coal, and natural gas industries.

In June 2022, Delta partnered with Muskowekwan First Nation. They created a blockchain carbon credit system, which boosts security and makes credits from Indigenous lands easier to trade.

In April 2024, the company joined a $1.5 million research grant with the University of Guelph. They aim to develop AI-driven carbon capture technologies. In February 2022, Delta partnered with Aspen Technology to improve CO₂ capture modeling and cost analysis.

These efforts speak of the company’s commitment to carbon removal, making it one of the top stocks to watch out for.

4. Mitsubishi Corporation (TYO: 8058): Advancing Global Carbon Capture Initiatives

Mitsubishi Corporation stock
Source: Nasdaq

Mitsubishi Corporation is working on big carbon capture and storage projects around the world. The company has set a target of achieving net-zero emissions across its global operations by 2050, with CCS playing a key role in this strategy.

Strategic Partnerships and Initiatives:

In January 2023, MC signed a Memorandum of Understanding with Nippon Steel Corporation and ExxonMobil Asia Pacific to study and establish CCS value chains in the Asia-Pacific region. This collaboration aims to capture CO₂ emissions from Nippon Steel’s steelworks in Japan. It also evaluates the infrastructure needed for storage in Malaysia, Indonesia, and Australia. ​

In March 2024, MC teamed up with ENEOS Corporation, JX Nippon Oil & Gas Exploration, and PETRONAS CCS Solutions. They will explore the feasibility of a CCS value chain from Tokyo Bay to Malaysia.

The project plans to capture around 3 million tonnes of CO₂ each year from industries in Tokyo Bay. It could expand to 6 million tonnes annually, with the goal of starting operations by 2030.

Carbon Credit Initiatives:

  • NextGen CDR AG: MC teamed up with South Pole to create NextGen CDR AG. This company buys and sells carbon credits from carbon removal technologies, such as CCUS. This initiative will help implement these technologies on a large scale. It does this by creating new revenue streams through credit sales.

NextGen CDR Facility

  • Australian Integrated Carbon Investment: MC and Nippon Yusen Kabushiki Kaisha (NYK) bought a 40% stake in Australian Integrated Carbon (AIC). AIC aims to capture CO₂ by regenerating Australia’s native forests. The goal is to sequester up to 5 million tonnes of CO₂ each year. By 2050, the total target is 100 million tonnes.​

Through these strategic partnerships and investments, Mitsubishi Corporation shows a strong commitment to advancing carbon capture, storage, and removal technologies. All these help contribute to global decarbonization efforts and the realization of a low-carbon economy.

Conclusion

Investing in companies dedicated to carbon removal and capture, such as Net Power, Shell, Delta CleanTech, and Mitsubishi Corporation, offers potential for financial returns while supporting the transition to a low-carbon economy. These companies lead in creating and using key technologies to meet global climate goals.

What more, the carbon removal sector is expected to grow significantly in the coming decades. This growth is driven by increasing regulatory support, corporate net-zero commitments, and advances in technology.

As countries around the world tighten emissions rules, the need for carbon removal and direct air capture solutions will likely grow. This trend could set these carbon removal companies up for long-term success. Investors looking to join the clean energy shift will find these carbon removal stocks as great chances to be part of the next wave of climate innovation.

International Carbon Credits Back on the Table? EU’s Climate Goal Gets a Twist

Jennifer L
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0
International Carbon Credits Back on the Table? EU’s Climate Goal Gets a Twist

The European Union (EU) is considering a new plan to help meet its 2040 climate goal. According to sources, the European Commission may allow countries to use international carbon credits under Article 6 of the Paris Agreement. This would be a big change from the EU’s current rule, which says climate targets must be met using domestic actions only.

Countdown to 2040: Can the EU Hit Its Green Target in Time?

The European Commission has proposed a target to cut EU greenhouse gas emissions by 90% by 2040 compared to 1990 levels. This goal is part of the EU’s plan to become “climate neutral” or net-zero zero by 2050. 

EU 2040 climate goal
Source: Climate Action Tracker

Achieving the 2040 climate targets entails substantial financial commitments. The EU estimates a need for around €660 billion annually in energy investments during the 2031-2050 period. This represents about 3.2% of the EU’s GDP.

However, the official proposal for the 2040 goal has been delayed.

One reason for the delay is the growing political debate. Some governments and lawmakers worry that the green policies may hurt industries, especially with rising global competition and trade issues like U.S. tariffs. Because of this, the Commission is now exploring more flexible options to reach the 2040 goal.

One option is the use of international carbon credits. 

Reuters reports that sources say the Commission is thinking about a new idea. They might let EU countries use international carbon credits to help meet part of the 2040 target. This would mean that countries could support CO2-reduction projects in other parts of the world—such as forest restoration in Brazil—and count those emissions savings toward their EU goals.

This would be a major shift for the EU. Until now, the EU’s climate targets have focused only on domestic efforts. International credits were banned from the EU Emissions Trading System (ETS) after 2020 due to problems in the past.

What Are International Carbon Credits?

A carbon credit is a certificate that shows one tonne of carbon dioxide (CO2) has been reduced or removed from the atmosphere. These credits can be created by projects such as planting trees, using cleaner energy, or capturing emissions. Countries or companies can buy these credits to offset their own emissions.

Under Article 6 of the Paris Agreement, countries can trade these credits internationally. This helps fund climate projects in developing countries and allows other countries to meet their climate goals in a more flexible way. These projects include initiatives like reforestation, renewable energy installations, and methane capture. 

EU’s Past Experience with Carbon Credits

Between 2008 and 2020, the EU allowed companies to use international credits under the ETS. Over 1.6 billion credits were used. Many of these credits came from the Clean Development Mechanism (CDM) and Joint Implementation (JI) systems under the Kyoto Protocol.

However, this system had problems. Many projects failed to deliver the promised emissions cuts. Some even led to fraud. Moreover, the many cheap credits lowered the carbon price in the EU. This made it easier for companies to pollute. This slowed down progress on cutting emissions inside the EU.

Because of these issues, the EU stopped accepting international credits after 2020. The current rules for the EU ETS focus only on domestic actions. 

According to the European Environment Agency (EEA), the following would be the forecasted trend of the supply and demand of EU carbon credits until 2030.

EU carbon credits outlook 2030
Source: EEA

Given the 2040 climate goals, the EC is thinking about bringing back international carbon credits. This would offer more flexibility in meeting emission reduction targets. 

Article 6 Explained: A Second Chance for Global Offsets

The Paris Agreement introduced a new system under Article 6 to improve the way international carbon credits (ITMOs) work. This system includes rules to avoid double counting, ensure credits are real, and improve transparency.

PACM Article 6.4 how it works

Supporters of Article 6 say it can help developing countries get more climate funding. If the EU uses these credits again, it could also help poorer countries develop greener economies.

Critics, however, warn that the Article 6 system is still not strong enough. Some carbon credit projects may still overestimate emissions savings or fail to remove carbon in a permanent way. There are also concerns that switching back to international offsets may reduce the pressure on the EU to cut emissions at home.

The Contradicting Views from Experts

Some experts and groups are urging caution. Linda Kalcher from Strategic Perspectives said international credits have faced many issues. These include fraud and poor environmental benefits.

Others, like Andrei Marcu of the ERCST think-tank, believe that developing countries would welcome the move. These countries often need more climate finance and would benefit from EU support for local carbon projects.

Carbon Market Watch, an environmental group, warned that using carbon credits and removals instead of real domestic reductions could weaken the EU’s climate ambition. They particularly noted that:

“Carbon Market Watch warns that reckless reliance on Article 6 credits and carbon removals is not a replacement for domestic emissions reductions commitments.”

The EU’s climate laws and scientific advisors have strongly supported domestic emissions cuts. The European Scientific Advisory Board on Climate Change has said the EU should cut 90–95% of emissions by 2040 through domestic action only.

Buying credits from other countries may help meet targets on paper. However, experts say it does not reduce pollution inside the EU. They warn that it could slow the shift away from fossil fuels and delay investments in clean energy and green jobs within Europe.

What’s Next: Will the EU Go Global on Carbon Trading?

The European Commission says it is still aiming for a 90% cut by 2040, but it is also listening to calls for more flexibility. EU climate commissioner Wopke Hoekstra said the 90% cut is the “starting point” and plans to propose the final target before summer.

Any target must be approved by EU countries and the European Parliament. This means more talks and possibly changes before anything is final.

If the EU decides to include international carbon credits in its 2040 plan, it would mark a big policy shift. The decision could impact how the world sees the EU’s climate leadership and how the global carbon credit market develops in the future.

China’s First-Ever Sovereign Green Bond Hits Global Market: Will It Power Its Net Zero Ambitions?

Saptakee S
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0
China’s First-Ever Sovereign Green Bond Hits Global Market: Will It Power Its Net Zero Ambitions?

China’s Ministry of Finance (MoF) issued its first sovereign green bond, denominated in Chinese currency to the value of USD824m, on the London Stock Exchange. This is China’s first green sovereign bond and also its first sovereign bond issued overseas. The move shows China’s rising role in global green finance.

This plan started taking shape in early 2024. In January, officials from China and the UK met to discuss green finance. Then, in February, China’s Ministry of Finance released a detailed green bond framework. It explained how the funds raised will contribute to mitigation and adaptation, natural resource protection, pollution control, and biodiversity preservation. This helped China start offering green bonds to international investors.

China’s Green Bonds: A Journey That Began in 2014

China’s green bond journey started back in 2014. That year, Sean Kidney, head of the Climate Bonds Initiative, worked with China’s central bank on a task force. Their goal was to build a green bond market.

Since then, China has made huge progress. By 2023, the country was issuing more than USD 150 billion in green bonds every year. It also created clear rules, strong government support, and trusted agencies to check the quality of green projects.

Now, with its first sovereign green bond sold overseas, China is taking the next big step. This move shows that the country is ready to lead globally in green finance.

Part of Carbon Neutral Goals

Climate Action Tracker analyzed China’s emissions, and they are still rising. By 2030, they’re expected to be just 0.5% to 1.6% higher than earlier forecasts—reaching around 13.8 to 14.6 billion tonnes of CO₂.

In a more conservative outlook, emissions might peak before 2025 and then drop slowly—about 0.5% each year. But if China speeds up its shift to renewables and cuts back on coal, then it would lead to a faster decline to about 1% per year. Technically, it can save up to 750 million tonnes of CO₂ by 2030.

Still, even in both of these scenarios, China’s current climate policies aren’t strong enough to make a big dent this decade. To meet the 1.5°C climate goal of the Paris Agreement, China will need to boost its climate action in its next big policy plan (2026–2030).

china carbon emissions net zero
Source: Climate Action Tracker

Thus, this bond fits right into China’s national green plan and net-zero goals. Since 2013, China has followed the idea of “Ecological Civilization.” This means growing the economy while protecting nature.

China’s long-term sustainability plan includes major goals like the following:

  • The Five-Sphere Integrated Plan
  • The 14th Five-Year Plan (2021–2025)
  • Peaking carbon emissions before 2030
  • Reaching carbon neutrality by 2060

All of these support China’s “Beautiful China” vision that aims to make green development a key part of the country’s future.

Furthermore, China is using modern tools like artificial intelligence, smart tech, renewable energy, and carbon capture to make this successful. These technologies will help monitor the environment, save energy, and reduce pollution. They also support the growth of cleaner industries and smarter cities.

China emissions

Investors Can Now Join the Green Effort

This new green bond connects money with climate action. It gives investors a chance to support China’s green goals directly.

Apart from Government backing, businesses and local communities also play a big role. Green business ideas, government rewards, and public action all help push China toward a cleaner future.

More significantly, these bonds could help finance renewable energy projects, green transport systems, waste-to-energy plants, and climate-resilient urban infrastructure

Thus, this bond is more than a financial tool. It shows China’s commitment to building a greener, healthier world.

China Sets a High Bar for Its Green Bonds

China has created a green bond framework that meets top global and local standards. It follows both the China Green Bond Principles (2022) and the ICMA Green Bond Principles (2021 with the 2022 Appendix). By aligning with these trusted guidelines, China builds strong trust among investors—especially those who care about sustainability and ESG values.

The framework focuses on four main parts: how the money is used, how projects are chosen, how the funds are managed, and how results are reported.

All the money raised from these green bonds will go toward eco-friendly projects listed in China’s national budget. This includes building green infrastructure, funding ongoing green programs, offering tax breaks for clean initiatives, and supporting local governments working on climate action.

Furthermore, the MoF will track all fund transactions in an internal register. Every year, it will share reports showing where the money went and what environmental benefits it achieved. This clear reporting gives confidence to investors and shows that their money is used productively.

Paving the Way for Future Climate Investments

This debut is likely just the start. The Ministry of Finance has built a framework to support future green bond issuances. These could be bigger and offered in different currencies.

As interest in low-carbon development grows and China pushes for cleaner, high-quality growth, more green bonds from the government are expected to follow.

This crucial step paved the way for China to issue green sovereign bonds to global investors. It came at a moment when global sustainable debt is about to hit USD 6 trillion, following Climate Bonds standards.

Copper Prices Crash as U.S.-China Tariff War Triggers Market Mayhem

Saptakee S
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0
Copper Prices Crash as U.S.-China Tariff War Triggers Market Mayhem

Just two weeks ago, copper prices were climbing fast due to the US stockpiling ahead of new tariffs. Traders warned that new US tariffs on copper could squeeze global supply. But things turned around quickly. But now, the copper rally has reversed into a full-blown crash.

This is a direct outcome of President Donald Trump’s trade war, aka “Trump Tariffs,” that is shaking the global market. Investors now fear that the new tariffs will slow down demand for copper worldwide.

The Copper Price Shock: Traders Scramble, Markets Tumble

Bloomberg reported, on Friday, April 4, copper prices dropped sharply, along with stock markets. The fall continued till Monday. In the London Metal Exchange, copper prices sank as much as 7.7% before bouncing back slightly to $8,735 a ton.

copper price
Source: Bloomberg

Earlier, we saw how traders rushed to send copper to the US before tariffs hit, driving premiums as high as $500 a ton. Big players like Mercuria and Trafigura even predicted prices could reach $12,000 a ton. But things changed rapidly when Trump shortened the tariff timeline, giving buyers very few days in hand.

Because of this, copper is piling up outside the US. Global buyers have more to choose from, but many aren’t interested. With demand dropping due to tariffs, the extra supply doesn’t help.

Chile’s Price Cut Signals Looming Economic Strain

Chile, the world’s biggest copper producer, is preparing to lower its copper price estimate for 2025. It’s a telltale sign of growing global economic concerns.

According to the Wall Street Journal, Chile’s copper agency, Cochilco, held its 2025 price forecast at $4.25 per pound in February. This came after it raised the estimate from $3.85 back in May 2024.

It also kept the 2026 forecast at $4.25. Cochilco expects copper prices to stay above $4.00 per pound for the next ten years.

  • But the new data show copper prices to average between $3.90 and $4 per pound this year, which is below its previous forecast.

The final figure will be announced by the end of April. However, Juan Ignacio Guzman, head of Chilean mineral consulting firm GEM, said,

“If the trade war triggers a recession, prices could tumble to as low as $3 a pound — or about $6,600 a ton.”

copper price
CSource: Bloomberg

Chile, which produced 24% of the world’s copper last year, is now feeling the pressure.

In a separate report from the Shanghai Metals Market, we discovered that,

  • Chilean Customs data showed that Chile exported 182,338 metric tons of refined copper, including 33,496 metric tons to China in March.
  • Exports of copper ore and concentrate totaled 1,304,782 metric tons, with China receiving 810,135 metric tons in the same month.

Earlier this year, in January and February, Chile’s copper production dropped compared to the previous month. Exports to China also declined during that period.

Analysts Warn of More Trouble Ahead

The Bloomberg report highlighted that the worst might not be over. Max Layton, global head of commodities research at Citigroup Inc., warned that the global trade shake-up could lead to a historic market correction. Citi now expects copper prices outside the US to average $8,500 this quarter — but they also say the risk of further drops is high.

BNP Paribas SA strategist David Wilson, who had warned prices could collapse, now sees the downtrend continuing in the short term. Goldman Sachs still believes in copper’s long-term value but admits that slower global growth could delay the expected supply shortage.

Meanwhile, JPMorgan now expects the US to fall into a recession this year. UBS estimates that every 1% drop in US GDP could cut output in export-driven Asian economies like Taiwan and South Korea by up to 2%.

China’s 34% Tariff Sparks Copper Stock Rout

Copper stocks have taken a beating amid falling prices, global slowdown fears, and rising trade tensions. The sharp selloff followed news from China’s Xinhua News Agency that Beijing will impose a 34% tariff on all US imports starting April 10.

Here’s a quick look at how major mining companies are reacting:

  • Freeport-McMoRan: Shares dropped 13.1% in a single day. The stock is down 24.1% this week, bringing its market value to $41.9 billion.
  • BHP Group and Rio Tinto: BHP’s shares fell 9.5%, cutting its value to $107.3 billion. Rio Tinto’s dropped 6.4%, is now valued at $93.5 billion. Both saw trading volumes nearly triple the usual.
  • Southern Copper: Based in Mexico, the company fell 9.6% on Friday alone, pushing its weekly loss to 16.7%. Its market value now stands at $62.4 billion.
  • Zijin Mining: This Chinese mining giant lost 7.2%, dropping to a market cap of $56.9 billion. It’s one of the few firms producing over 1 million tonnes of copper a year.
  • Glencore and Anglo American: Glencore dropped 11.5%, while London-listed Anglo American fell 11%. Their market caps now stand at $36.9 billion and $28.6 billion, respectively. Both are down about 20% this week.
  • Canadian Miners (Teck Resources, Ivanhoe Mines, First Quantum): Canadian copper stocks saw sharp losses. Teck dropped 12.1%, Ivanhoe fell 12.6%, and First Quantum slid 12.8% as investors pulled back across the board.
  • Hindustan Copper: In India, shares fell 5.4% over the past five days and are down 15.7% so far in 2025.

KNOW MORE: Copper Prices Slump Below $9,000: What Does It Mean for Global Growth?

What started as a bullish rush has turned into a brutal crash. With tariffs rising and demand shrinking, copper is now a symbol of deeper market fears. Global supply chains are out of sync, and the world’s top miners are feeling the heat. If trade tensions escalate, this copper price crash may face a difficult recovery.

What’s Next for Forest Carbon Credits? This UK Climate Tech Startup is Boosting Trust with Real-Time Data

Saptakee S
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0
What’s Next for Forest Carbon Credits? This UK Climate Tech Startup is Boosting Trust with Real-Time Data

Forests play a massive role in fighting climate change. They capture atmospheric carbon, helping offset greenhouse gas (GHG) emissions. However, with nearly 50% of global GHG emissions released in just the past 40 years, forest-based climate solutions need rapid scaling. Let’s understand the current scenario of the forest carbon credit market here. 

The Need for Credible Forest Carbon Credits

Tropical forests store over half of the world’s above-ground carbon in their trees and vegetation. Forbes evaluated that even a small decline, like a 1.5% yearly loss, can wipe out 15% of forest biomass in just a decade. That’s why credible, science-backed carbon credits are vital.

However, many forest-based carbon credits have faced scrutiny. Industry experts have questioned the value of these credits, saying they’re unreliable or even useless. However, there’s one company that wants to change that perception by providing transparent, science-backed insights.

Space Intelligence, the UK-based climate tech company, is tackling this problem by using cutting-edge satellite technology to protect forests and boost the credibility of carbon credits. The firm combines high-quality nature data with digital monitoring tools to reduce risks and increase trust in environmental finance systems. Their goal is to help scale up funding for forest conservation and reforestation efforts.

Space Intelligence: Turning Forests into Climate Action

In 2009, Dr. Murray Collins and Professor Ed Mitchard manually measured over 25,000 trees in Africa to study forest carbon. It was slow and costly. Mitchard turned to satellite data, earning a Ph.D. and later becoming a professor.

They launched Space Intelligence in 2017, using tools like LiDAR and SAR to monitor forests remotely. Their expert knowledge and custom software helped transform public satellite data into trusted carbon insights.

This data will help verify billions of dollars’ worth of nature-based carbon credits, giving the market more confidence in these projects.

Space Intelligence carbon credits

Clear Data for Credible Carbon Credits

Their clients include carbon credit buyers, developers, and certification bodies. It helps these players by remotely mapping project areas, establishing baseline references, and measuring actual carbon impact over time.

More importantly the company has also been hired by carbon credit registries to provide national-level baseline data. These baselines help verify how much carbon has been stored or lost over time. The company has created such datasets for countries like Kenya, Tanzania, Argentina, and Indonesia which are the key players in the global carbon market.

Key Role in Europe’s New Anti-Deforestation Laws

Space Intelligence has partnered with Intercontinental Exchange (ICE), a major US-based financial firm that helps bring more transparency to global energy and commodity markets. ICE trades goods like coffee and cocoa. These are now under the spotlight due to the EU’s new deforestation law.

The EU’s Regulation on Deforestation-Free Products (EUDR) started on June 29, 2023. It targets products linked to deforestation. This includes cocoa, coffee, palm oil, soy, rubber, wood, cattle, and items made from them like chocolate, furniture, leather, and tyres.

The goal is simple. The EU wants to stop buying and selling goods that harm forests. Companies must now prove that their products didn’t come from land that underwent deforestation and degradation.

In December 2024, the EU gave companies more time to adjust. Big and medium companies will have to follow the law by December 30, 2025. Small ones have time until June 30, 2026.

The EUDR aims to:

  • Keep deforestation out of EU supply chains
  • Cut carbon emissions by 32 million tonnes every year
  • Stop forest loss caused by farming

To help ICE follow the law, Space Intelligence won a significant contract. They will provide land cover data that shows comprehensive forest history.

Thus, by winning this deal, Space Intelligence is now a vital part of Europe’s forest protection efforts.

Space Intelligence Brings Forest Data to Your Fingertips

Recently, the company teamed up with California-based Upstream Tech to make its data easier to access. Their insights are now available on the Lens platform, which allows users to view landscape changes, monitor trends, and create reports very easily.

Notably, the company’s land cover and land change data, available in over 45 countries at 10m to 20m resolution, is now integrated into Lens. Users can:

  • Easily assess project sites
  • Get automated change alerts (e.g., deforestation or fire damage)
  • Access audit-grade datasets
  • Generate detailed reports with one click

This partnership makes high-quality geospatial data easier to access and helps speed up and improve the accuracy of monitoring, reporting, and verification (MRV).

space intelligence carbon data

The Future of the Forest Carbon Credit Market

The global carbon credit market is growing fast. Precendence Research data showed that it was valued at $669.37 billion in 2024 and is expected to jump to $933.23 billion in 2025. By 2034, it may reach nearly $16.4 trillion, growing at a CAGR of 37.68%.

carbon credit market
Source: Precedence Research

This sharp rise is pushed by stronger climate rules and more companies trying to cut greenhouse gas (GHG) emissions. In 2024, Europe led the market in revenue.

Additionally rise in reforestation and agroforestry projects, along with stronger government carbon regulations is also boosting the carbon credit market.

Global Market Insights revealed that this January, scientists found high levels of methane leaking from the Antarctic seabed. This discovery raised alarms about climate risks and boosted interest in carbon offset projects like forestry credits. As nature-based solutions gain more importance, the demand for reliable carbon credits continues to rise.

  • The forest carbon credit market was worth $25.8 billion in 2024. It could grow to $105.2 billion by 2034, expanding at 15.7% CAGR.
forest carbon credits
Source: Global Market Insights

Furthermore, this sector has embraced AI, ML, and blockchain to verify and improve the transparency of carbon data. As mentioned before, companies like Space Intelligence are using drones and satellites to track land use and tree cover.

Forests absorb a huge amount of carbon dioxide, and they are our saviors against climate change. That’s why Space Intelligence uses satellite tech and ecological data to highlight their true value. This clear evidence builds trust in carbon markets and forest carbon credits.  Additionally, it encourages smart investments in forest protection. In the end, the path to climate action becomes more effective.

Trump’s New Tariffs Wipe Out $2.5 Trillion: How Can It Stall America’s Clean Energy Future?

Jennifer L
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Trump’s New Tariffs Wipe Out $2.5 Trillion: How Can It Stall America’s Clean Energy Future?

​On April 2, 2025, President Donald Trump announced a series of tariffs, referring to the day as “Liberation Day.” These tariffs include a universal 10% levy on all imported goods and higher rates for specific countries, such as an additional 34% on Chinese imports, which now totals 54%, and 20% on those from the European Union. 

The administration’s goal is to address trade imbalances and encourage domestic manufacturing. These measures will greatly affect the renewable energy sector and the clean energy transition.

The announcement also caused a massive sell-off on Wall Street, wiping out nearly $2.5 trillion in value from the U.S. stock market. The market drop shows that investors are worried. They fear that new tariffs might hurt the economy, strain trade relationships, and impact America’s shift to cleaner energy.

Clean Energy Progress at Risk?

One of the biggest concerns is how these tariffs could affect the clean energy transition. They are expected to have notable impacts on the renewable energy sector in the U.S. 

The U.S. relies heavily on imported components for clean energy technologies, such as solar panels, wind turbines, and batteries. Many of these materials come from countries that are now facing higher tariffs, such as China. 

Over 80% of solar panels installed in the U.S. come from Chinese companies or use components made in China. China dominates the solar photovoltaic (PV) cell market. It makes over 80% of the global supply. Also, it produces more than 95% of the world’s polysilicon wafers, which are key parts of solar panels. 

China solar PV market share

In the battery sector, China refines around 60% of the world’s lithium, 80% of cobalt, and over 90% of manganese, all essential for electric vehicle (EV) batteries. 

Additionally, China is the leading exporter of rare earth elements, which are used in wind turbines, EV motors, and energy-efficient technologies. Recently, the U.S. imported nearly 74% of its rare earth needs from China as of recent years. This heavy dependence makes the clean energy sector especially vulnerable to tariffs on Chinese imports.

A 54% tariff on Chinese goods would raise the cost of these items, making clean energy projects more expensive.

Industry experts express concern that these tariffs may disrupt supply chains and increase costs for renewable energy projects. 

Vanessa Sciarra, vice president of trade and international competitiveness for the American Clean Power Association, stated that such policy changes could jeopardize access to affordable and reliable energy by severing established supply chains. ​

The New US Tariff Rate Globally

US tariff across the globe
Source: PitchBook

Markets Crash: Investors React Quickly

The broader economic implications of the tariffs are also significant. Following the announcement, stock prices dropped sharply. Investors feared higher costs for businesses and slower growth. The result was one of the worst market crashes since the 2020 pandemic.

The S&P 500 Index dropped by 4.8%, erasing approximately $2.5 trillion in market value. Companies with extensive supply chains in affected countries, such as Apple, experienced substantial stock declines. ​

Other tech giants also suffer heavy losses as seen below, including Nvidia, Amazon, Meta, Microsoft, Alphabet and Tesla.

trump tariffs impact on stock market
Chart from Bloomberg

Private equity firms and banks also slowed down deals. A huge drop in the IPO (Initial Public Offering) market is expected this year, according to analysts at Morgan Stanley.

Many are now putting deals on hold. According to analysts, the number of companies that had planned to go public in 2025 are rethinking their timelines following the tariff announcement.

Experts say the drop was caused by fears that Trump’s tariff plan could lead to higher prices for goods, more inflation, and possibly a new global trade war.

China’s Swift Countermove

China quickly responded. It has announced a 34% tariff on all U.S. goods, set to take effect on April 10, 2025. The Asian nation further announced export restrictions on key rare earth elements, widely used in defense, electronics, and clean energy technologies.

China, which controls around 90% of global rare earth production, will now limit exports of seven critical minerals and related products. This poses a major challenge to U.S. manufacturers like Lockheed Martin, Tesla, and Apple. These companies depend on those materials for their supply chains.

China Continues to Dominate Rare Earth Supply | But the US, Australia and other nations are raising production and processing
Source: Bloomberg

Analysts see this as a strategic countermove. It shows Beijing’s leverage and will intensify pressure on U.S. companies already reeling from tariff-driven cost hikes.

Some experts worry China might target American businesses. They could cut purchases of U.S. goods or harm American companies in China.

Energy Independence or Economic Isolation?

Many lawmakers, including some Republicans, are pushing back against the tariffs. They say the president may need approval from Congress to set tariffs this high.

There could also be legal challenges from industries, companies, or trading partners. The World Trade Organization (WTO) may review the new tariffs to see if they break global trade rules.

Some experts say the move could isolate the U.S. economically. It can also harm trust among allies, especially at a time when countries are trying to unite on climate change and energy security.

President Trump’s return to power has brought a sharp shift in U.S. trade and climate policy. His first term saw the U.S. exit the Paris Agreement and impose tariffs on steel and aluminum. His second term started off with even harsher trade barriers.

Trump’s 2025 tariff plan has already made a big impact—even though it hasn’t become law. It caused a major stock market drop, scared investors, and raised concerns about the future of clean energy. If put in place, these tariffs could change the way the U.S. trades, invests, and powers its economy.

As the world tries to move toward a cleaner, more sustainable future, the question is: Will these tariffs protect America—or isolate it?

Duke Energy’s Biggest Nuclear Plant Secures Extension to Meet America’s Rising Energy Demand

Saptakee S
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0
Duke Energy’s Biggest Nuclear Plant Secures Extension to Meet America’s Rising Energy Demand

Duke Energy is one of the largest energy companies in the U.S to hit a major milestone last month. The U.S. Nuclear Regulatory Commission approved a 20-year license renewal for its Oconee Nuclear Station.

This means the plant’s three reactors can keep running safely and supplying clean, reliable electricity through the 2050s. Most significantly, it supports the company’s goals to meet the growing energy demand with low-carbon power.

The EIA expects power demand to grow to 4,179 billion kilowatt-hours (kWh) in 2025 and reach 4,239 billion kWh in 2026. This would surpass the previous record of 4,082 billion kWh set in 2024.

us energy demand

Oconee First to Hit 80-Year Milestone in Duke’s Nuclear Push

The U.S. Nuclear Regulatory Commission (NRC) oversees the license renewal process. It includes two key steps — one for safety and another for environmental impact. Notably, with both approvals in place, Oconee becomes the first Duke Energy plant to reach this second round of license extensions.

It’s a big part of the company’s plan to provide cleaner energy while keeping costs low and power reliable.

When nuclear plants were first approved, they were licensed to run for 40 years. That wasn’t because of technical limits but because of cost. The NRC later created a process for 20-year license renewals.

Moving on, all of Duke’s plants have already secured their first extensions. Now, with the second round of approvals, plants like Oconee can safely run for up to 80 years.

duke energy nuclear
Source: Duke Energy

Why Nuclear Still Matters

Nuclear energy is a huge part of Duke’s electricity generation, especially in the Carolinas. It’s the only clean power source that runs non-stop, 24/7.

  • Duke’s nuclear fleet supplies 58% of the electricity used by customers in the Carolinas and over 96% of the company’s total clean energy.
  • It serves 8.4 million electric customers in six states: North Carolina, South Carolina, Florida, Indiana, Ohio, and Kentucky.

Additionally, its natural gas services reach 1.7 million customers across five states. Overall, the company owns 54,800 megawatts of energy capacity.

Oconee is Duke’s largest nuclear station. It’s located in Lake Keowee, Seneca, South Carolina and has three reactors that generate more than 2,500 megawatts. This capacity is enough to power nearly 2 million homes. The plant has a strong performance record, running at over 90% capacity for 17 straight years.

The Oconee Nuclear Plant

Oconee duke energy nuclear
Source: Duke Energy

Over the years, the company has made big investments to keep Oconee running safely and efficiently. It replaced major equipment like steam generators, turbines, pumps, and valves. In 2024, Oconee got a boost of 45 more megawatts of power because of all the smart upgrades on all three units.

oconee nuclear duke energy
Source: Duke Energy

Bringing Affordable and Clean Energy to People 

Duke has relied on nuclear energy for over 50 years and plans to expand in the future. Next up is the Robinson Nuclear Plant in Hartsville, South Carolina. The company plans to apply for its license renewal this April to keep every existing nuclear plant running safely well into the future.

Nuclear plants like Oconee don’t just power homes. They create thousands of good jobs and bring in money that supports local communities. Federal tax credits also help reduce the cost of nuclear power for customers, making it even more affordable.

Duke Energy’s Net-Zero Future

Duke aims to cut about 70% of its direct carbon emissions by the 2030s and reach net zero by 2050, using 2005 as the baseline.

  • In 2023, it emitted 72 million metric tons of CO₂ from its power plants which is 48% drop from 2005 levels. However, it reported an increase of 107,000 metric tons of methane emissions in 2022.

The company is proposing over $90 billion in new infrastructure to meet the rising energy needs. In the near term, this includes major investments in solar, battery storage, wind power, and hydrogen-capable natural gas.

duke energy emissions
Source: Duke Energy

Key Strategies For a Carbon Neutral Future

Apart from its long-term net-zero goals, the company has innovative and smart short-term plans to lower its emissions. They are:

  • Retire all remaining coal plants by 2035 that are pending regulatory approval. It aims to more than triple its renewable energy capacity and add about 20 gigawatts of natural gas generation.
  • Additionally, battery storage will play a key role, growing from just under 100 megawatts at present to 10,000 megawatts by 2035.
  • Install pumped-storage hydro and advanced nuclear power and deploy small modular reactors by 2035.

However, natural gas will continue to support the grid robustly through 2050. For the North Carolina coast, Duke Energy wants to include SMRs, hydrogen-powered generation, and long-duration energy storage.

duke energy renewables
Source: Duke Energy

The above strategies aim not only to cut emissions but also to maintain grid reliability and keep costs affordable for customers.

South Carolina Gov. Henry McMaster noted,

“Affordable and reliable energy is the key to South Carolina’s continued economic prosperity, and nuclear power must play a key role as we work to shape our energy future. The approval to extend Oconee Nuclear Station’s operations for another 20 years is a critical step in ensuring South Carolina’s energy generation keeps pace with our rapid development.”

All in all, nuclear energy will play a significant role in Duke’s net-zero plans. The company continues to invest in its current nuclear fleet and in advanced reactors to provide safe, steady, and carbon-free power.

US Biofuels Get Big Boost: USDA Invests $537M to Power America’s Clean Energy Future

Saptakee S
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0
US Biofuels Get Big Boost: USDA Invests $537M to Power America’s Clean Energy Future

The U.S. Department of Agriculture (USDA) is investing $537 million in 543 biofuel projects across 29 states, as USDA Secretary Brooke Rollins announced. This funding comes from the Higher Blends Infrastructure Incentive Program (HBIIP).

The investment includes projects approved in the first 100 days of the Trump Administration. It also supports President Trump’s 20th Executive Order to boost American energy production and help farmers, ranchers, and small businesses in rural areas.

Powering America’s Energy Landscape with Biofuels

Biofuels are liquid fuels made from plant or animal materials, commonly called feedstocks. They can also include gases like methane (from landfills or biogas) and hydrogen (from renewable sources). While most biofuels power vehicles, they can also be used for heating and electricity. Many government programs support biofuel use because they come from renewable sources.

Different industries and laws use various names for biofuels—like ethanol, biodiesel, biojet, or sustainable aviation fuel.

The press release highlighted that Secretary Rollins announced the investment at an event at Elite Octane LLC. This company is in Atlantic, Iowa, which has the highest capacity of biofuel production in America. Iowa has 42 ethanol plants that produce more than 4.7 billion gallons each year and 10 biodiesel plants that generate 416 million gallons annually.

The funding will help gas stations upgrade their storage tanks and fuel pumps. This makes higher ethanol and biodiesel blends more available. Farmers, small businesses, and local economies benefit from this as it creates more demand for corn and soybeans.

Biofuel exports are also on the rise. USDA revealed that in 2024, the U.S. exported 585,324 metric tons of ethanol, bringing in $5.11 billion. The key buyers were Canada, South Korea, and the European Union. They all want cleaner fuels more than ever.

biofuel USA export
Source: USDA

What’s Inside the Higher Blends Infrastructure Incentive Program (HBIIP)

The Higher Blends Infrastructure Incentive Program (HBIIP) was established at USDA Rural Development during President Trump’s first term. Under this program, gas stations can offer biofuels like ethanol and biodiesel more easily. It helps cover the cost of upgrading fuel pumps and storage tanks so more drivers can choose cleaner, homegrown fuel.

About 290 million cars on U.S. roads can use E15, a fuel blend with 15% ethanol. More than 22 million vehicles can run on E85, which has even more ethanol. Diesel vehicles can use B20, a blend with 20% biodiesel. Expanding access to these fuels helps drivers save money and reduces pollution.

Supporting Farmers and Rural Businesses

HBIIP creates more demand for crops like corn and soybeans, which are used to make biofuels. This investment will help American farmers and boost rural economies. It will also give easy access to cleaner and homegrown fuel to drivers.

Overall, as families gain more access to biofuels like ethanol and biodiesel, they end up paying less.

Secretary Rollins confirmed this by noting,

“President Trump is honoring our commitment to America’s farmers, ranchers and small businesses, especially here in Iowa where corn and soy growers are crucial to supporting ethanol and biodiesel production. Under the President’s leadership, we are moving away from the harmful effects of misguided climate policies like the Green New Deal. Instead, the USDA will deploy energy investments that prioritize the needs of our rural communities. Through HBIIP, we will expand access to domestic, homegrown fuels which will increase good paying jobs for hardworking Americans, restore rural prosperity and strengthen our nation’s energy security.”

Ethanol: The Emission Control Champion

Ethanol is the most common biofuel. It’s a renewable alcohol fuel made from crops like corn, sugarcane, or other plant materials. Microbes (like yeast) break down or ferment plant sugars, turning them into ethanol.

It’s often mixed with gasoline, like E10 (10% ethanol, 90% gasoline), to reduce emissions and improve engine performance. Ethanol is also used in chemical and pharmaceutical manufacturing industries.

The Census Bureau of the U.S. revealed that ethanol exports for 2024 totaled 1.72 billion gallons just through November. It surpassed the previous annual record of 1.67 billion gallons set in 2018.

ethanol us export
Source: Renewable Fuels Association

Poet Biorefining is the largest ethanol producer in the United States. As of 2024, the South Dakota-based company had an ethanol production capacity of 2.7 billion gallons per annum across 33 plants in the Midwest.

  • A USDA study showed that greenhouse gas emissions from corn-based ethanol are about 39 percent lower than gasoline.

Thus, using more biofuels is a step toward a cleaner, energy-independent future.

US Biodiesel Exports Drop Sharply in 2024

Biodiesel is a clean-burning alternative to regular diesel, made from vegetable oils, animal fats, or recycled cooking grease. It’s non-toxic and breaks down naturally.

The most common blend is B20, which is 20% biodiesel and 80% regular diesel.

While most biodiesel fuels trucks and heavy machinery, a small amount is now used for heating and electricity. In 2023, about 95% of U.S. biodiesel went to transportation.

biodiesel consumption US

The US Census Bureau reported that biodiesel exports took a steep dive in 2024, falling 30% from the previous year’s record high. The US exported 176.8 million gallons in 2024, down from 254.5 million gallons in 2023. This was the lowest volume since 2020, when 142.8 million gallons were shipped.

Export volume of biodiesel from the United States from 2001 to 2023 (in 1,000 barrels)

US Biodiesel export
Source: Statista

Canada and Peru remained the top buyers, together accounting for over 99% of total US biodiesel exports in both years. However, exports to Canada dropped 33%, while volumes to Peru saw a modest 2.4% rise.

Fastmarkets noted that some exporters pointed to stricter Canadian rules as a key reason for the drop. This means that new traceability and harvest attestation requirements under Canada’s CFR likely slowed shipments starting in September.

Others suggested that growing renewable diesel imports may have reduced Canada’s need for biodiesel. Unlike biodiesel, renewable diesel performs well in cold weather.

Renewable Diesel Reshaping U.S. Fuel Market

Regular gasoline, diesel, and jet fuel are made from hydrocarbons (hydrogen + carbon molecules). But renewable variants are made from feedstocks such as vegetable oils, animal fats, or used cooking oil. The raw materials for biodiesel and renewable diesel are the same. Renewable hydrocarbon fuels are also called Drop-in” Fuels.

There has been a significant rise in the U.S. to import more fats and oils because of the strong demand for renewable hydrocarbon fuels.

The renewable versions are nearly identical to petroleum diesel and, therefore, are compatible with existing engines and pipelines. This makes them an easy switch from fossil fuels. However, the cost of renewable diesel is higher than traditional petroleum.

From the chart, we can see that last year, the renewable diesel capacity of the U.S. was around 5.5 billion gallons per year. USDA also forecasts the capacity to hit ~ 6.5 billion gallons per year by 2025.

renewable diesel U.S. biofuel
Source: USDA

California Drives Real Growth

California’s Low-Carbon Fuel Standard (LCFS) played a major role in renewable diesel’s growth. It gives carbon credits to fuel producers who cut emissions. Since the state maxed out ethanol and biodiesel blending, blenders switched to renewable diesel, as it has no blending limit.

This policy gave investors confidence. They invested in new projects, knowing the demand would last. Notably, because of LCFS, renewable diesel is now a key player in America’s clean fuel market.

california renewable diesel consumption
Source: USDA

Two major federal programs support the growth of renewable diesel:

  • Blender’s Tax Credit cuts production costs by giving tax breaks to companies that blend renewable diesel with petroleum diesel.

  • Renewable Fuel Standard (RFS) requires biofuels—like ethanol, biodiesel, and renewable diesel—to be part of the national fuel supply.

Oil and Biofuel Groups Debate Higher Blending Mandates

Reuters reported that oil and biofuel companies met with the EPA, pushing for higher biomass diesel blending mandates. This could signal upcoming changes to U.S. biofuel policies.

The coalition wants to raise biomass diesel mandates to 5.5–5.75 billion gallons, up from 3.35 billion, and keep the ethanol mandate at 15 billion gallons. However, smaller refiners argue these increases could hurt jobs and raise fuel prices.

Fuel retailers and truck stop operators skipped the talks, demanding the return of the blenders tax credit, which they say helped keep fuel costs down. Without it, they warn that higher mandates could lead to price hikes (diesel prices by 30¢/USG) and political backlash.

The EPA has not commented on the issue yet.

Overall, biofuels offer cleaner alternatives to traditional fuels, helping reduce pollution while keeping cars, trucks, and planes running smoothly. Amid all resistance and higher costs, it could be a key factor in America’s energy transition.

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