RGGI's fast track - Virginia House Majority Leader Charniele Herring said Democrats plan to introduce a budget amendment to accelerate the state's return to the Regional Greenhouse Gas Initiative (RGGI) after Governor Abigail Spanberger (D) announced Virginia would rejoin the multi-state cap-and-trade programme, WAVY reported. Mike Rolband, Department of Environmental Quality director and former Youngkin appointee retained by Spanberger, told a House subcommittee Wednesday the administration supports rejoining RGGI and DEQ staff proposed technical amendments that were adopted, Virginia Public Radio reported. Virginia Chamber of Commerce opposed the move, citing cost concerns for businesses. Virginians paid approximately $4.50 per month in electric bill surcharges when the state was a member of RGGI in 2023, reflecting the cost of RGGI allowances passed through by Dominion Energy before former governor Youngkin's exit from the programme. Virginia received more than $800 mln during RGGI participation for energy efficiency and flood mitigation according to Virginia Conservation Network. Herring's bill to return the state to RGGI passed along party lines, and it is headed to a full committee hearing, according to Virginia Public Radio.

Manufacturing malaise - US clean technology manufacturing investment fell for a fifth consecutive quarter in Q4 2025 to $9 bln, down 5% from Q3 and 29% year on year, marking the lowest level since Q4 2020 and a record for cancellations, according to New York-based research organisation Rhodium Group. Most technologies saw declines, with the electric vehicle supply chain accounting for about 85% of spending despite sharp annual drops, while new project announcements fell 48% to roughly $3 bln as cancellations hit $8 bln. For 2025 as a whole, actual manufacturing investment totalled $42 bln, down 17% from 2024, while announced investments fell 26% to $24 bln.

Washington's Department of Ecology (ECY) has proposed sweeping changes to its forestry offset protocol that could reduce the present value of credits issued by a combined 36% over 25 years, according to a rulemaking document published on Tuesday.

Voluntary program body BioCarbon is consulting on a revised version of its biodiversity standard as it continues to pursue international recognition as a high-integrity certification body, this time seeking to align with the Biodiversity Credit Alliance’s (BCA) High-level Principles, Carbon Pulse has learned.

Iowa’s Senate majority leader has introduced two bills to tax CO2 pipelines and offer route options outside of eminent domain, offering a potential path forward for a major carbon capture and storage (CCS) project in the state.  

US states facing a rapid rise in electricity demand should prioritise peak demand management and clean energy strategies rather than defaulting to new fossil fuel generation, according to a new report.

Newly inaugurated New Jersey Governor Mikie Sherrill (D) has appointed an environmental advocate as head of the state's Department of Environmental Protection (DEP) and issued executive orders (EOs) seeking to use programme revenues for ratepayer relief and accelerate the deployment of renewable energy sources.

A forestry carbon project developer set out plans to use AI‑driven digital tools to help scale smallholder tree planting projects while maintaining quality.

Carbon Border Adjustment Mechanisms (CBAMs) being rolled out by the EU and UK pose growing competitiveness risks for Trinidad and Tobago’s (T&T) exporters, according to a Caribbean scholar.

Vermont nuclear - Vermont Governor Phil Scott (R) has announced his support for a legislative proposal that seeks to promote nuclear energy in the RGGI-participating state, VTDigger reported. H 601 would alter the state's Renewable Energy Standard to include zero-emission sources of energy like nuclear, while redubbing the programme as the Clean Energy Standard. Scott said the existing standard - which requires all Vermont utilities to reach 100% renewable energy like solar and wind by 2035 - is inflexible in its current form, but the alternative proposal could bring utilities to fully clean energy by 2030 at lower cost.

Mexico's 30% goal - Mexico aims to conserve at least 30% of its territory by 2030 as part of an environmental strategy centered on ecosystem restoration and a planetary boundaries framework, Environment Secretary Alicia Barcena Ibarra announced at the World Economic Forum in Davos, El Universal reported. Barcena emphasised that this policy would have climate impacts, not only ecological ones, given that protecting ecosystems can reduce GHG emissions and support climate adaptation. Barcena said that NbS initiatives like mangrove restoration would serve as a key climate policy axis, integrating nature-based carbon capture into carbon markets. Mexico will progress toward net zero emissions by combining emissions reductions with nature-based offsetting mechanisms, she said, while noting that the country would not yet be phasing out fossil fuels.

Investment in biofuels hit a new peak in 2025 as a result of increased debt financing, in a sign that more capital is going towards getting commercial-scale projects off the ground rather than validating the technology, according to new analysis.

The European Parliament voted on Wednesday to suspend the ratification of the EU-Mercosur trade agreement until the European Court of Justice (ECJ) assess its conformity with EU treaties, a process that usually takes 16-18 months.

Youth appeal – Former Biden administration officials have urged a US appeals court to revive a youth-led climate lawsuit challenging President Donald Trump’s executive orders aimed at expanding fossil fuel production, E&E news reports. In an amicus brief filed with the 9th US Circuit Court of Appeals, former energy secretary Jennifer Granholm and ex-climate advisers Gina McCarthy and John Podesta backed young plaintiffs after a Montana judge dismissed the case in October, citing lack of jurisdiction despite acknowledging climate harms, as the officials said judicial review remains a consistent check across administrations.

Reynolds released – Plaintiffs in a US lawsuit over “carbon neutral” vape claims have voluntarily dismissed Reynolds America from the case without prejudice, leaving R.J. Reynolds Vapor Company, R.J. Reynolds Tobacco Company, and British American Tobacco (BAT) as remaining defendants, according to a court filing. The case alleges BAT misled consumers by charging a premium for “carbon neutral” Vuse vape products supported by forestry offsets from projects in Uruguay and China. The trial has been pushed back to Mar. 2028, with a hearing on dismissal of a forthcoming amended complaint set for Feb. 2026 and a final pre-trial conference scheduled for Jan. 2028.

Funding freeze – A coalition of Republican-led US states has urged a federal appeals court to uphold the Trump administration’s suspension of nearly $20 bln in Biden-era climate grants, arguing the EPA acted lawfully in rescinding the funding, E&E News reports. In an amicus brief filed with the US Court of Appeals for the District of Columbia Circuit, attorneys general from 24 states said the grant programme was mismanaged and prioritised climate equity over financial safeguards, disadvantaging energy-producing states. The filing comes ahead of a rare rehearing after the court agreed to revisit an earlier ruling that backed the EPA’s termination of the awards.

Some airlines are responding to a worldwide scarcity of CORSIA-eligible units by pre-emptively investing in promising pipeline projects, according to an insurer speaking last week at Carbon Forward Middle East in Abu Dhabi.

A carbon removal registry has released a draft module designed to create a standardised framework for durably storing biomass in subsurface mine workings.

Nestle blames Trump – Nestle chief executive Philipp Navratil has partly blamed US President Donald Trump for the food giant’s muted public stance on sustainability, citing a sharp drop in investor interest in ESG issues in the US since Trump’s re-election. Speaking to employees in December, Navratil said it was “a bit a pity” Nestle was not more vocal and added it was “also President Trump’s fault” as climate concerns had “totally gone off the agenda” in US investor meetings. He stressed Nestle remains committed to its net zero by 2050 goal, after already cutting emissions 20%. (Financial Times)

Repurposing alkaline industrial waste into carbon-storing minerals could unlock carbon removal on the scale of billions of tonnes, with added environmental and economic benefits, according to a white paper.

A first-of-its-kind US-based peatland restoration project has secured a 100,000-credit carbon removal pre-purchase from a Canadian decarbonisation fund, providing early-stage financing to advance development and construction.

The top 10 corporate emitters of fossil fuel and cement CO2 in 2024 were all fully or majority state-owned companies and together accounted for more than one quarter of global fossil CO2 emissions, while a total of just 32 companies were linked to more than half of global emissions, according to a new analysis published on Wednesday.

ZEV sales zoom - California Gov. Gavin Newsom said on Tuesday during the World Economic Forum that the state surpassed its 1.5 mln zero-emission vehicle sales goal by 2025. California surpassed 2.5 mln ZEV sales, growing over 300% since the end of 2019. Newsom noted that the record came despite federal headwinds. Meanwhile, the California state budget unveiled on Jan. 9 includes a new $200 mln incentive programme for ZEV adoption, in response to the loss of a federal ZEV credit.

Maple clean tech falling - Canadian clean tech companies raised more than C$1.1 bln ($800 mln) across 65 deals in 2025, according to a new analysis by Climate Tech Canada. The outlet reported funding is down 13% from C$1.38 bln in 2024, and 60% from $2.77 bln in 2022. It added the landscape continues to fall into a barbell structure with 41% of activity at the active and diverse seed-stage, and 54% of activity at the concentrated growth equity stage.

ERA's clean fuel - Emissions Reduction Alberta launched the Fuel Innovation Fund as an approved compliance option under Canada's Clean Fuel Regulations. ERA received C$188 million in compliance contributions in 2025, with future contributions to the new Fuel Innovation Fund determining funding availability. All monies must be allocated to projects delivering emissions reductions within five years. The fund offers two streams: a continuous intake Contributor Reinvestment Program for regulated primary suppliers launching Jan. 2026, and an annual Future Fuels Challenge competitive funding opening mid-2026 for broader applicants. Eligible technologies include energy efficiency, electrification, carbon capture and storage, co-processing, biofuels, and hydrogen production.

Western Gateway round two - Phillips 66 and Kinder Morgan launched a second open season for the Western Gateway Pipeline through Mar. 31 for remaining capacity after the initial December open season secured significant shipper commitments. The updated offering adds Los Angeles market access via reversal of Kinder Morgan's existing SFPP line between Watson and Colton, California, plus additional origin points beyond Borger, Texas. The 200,000 barrel-per-day pipeline system will deliver approximately 75,000 bpd to California markets while supplying 125,000 bpd to Arizona, replacing the equivalent volume Phoenix currently receives from California via the SFPP pipeline and allowing those California-produced barrels to remain in-state. The project aims to offset California's expected loss of 17-20% of refining capacity by mid-2026 according to US Energy Information Administration data, targeting 2029 completion.