Wafer thin margins, fat emissions - Dutch chipmaking equipment maker ASML met its GHG neutrality targets for Scope 1 and 2 emissions in 2025, reporting net emissions of zero, while Scope 3 emissions stood at 11.5 Mt of CO2e, according to its annual report. The company cancelled 104,000 tonnes of carbon credits in the reporting year, all from removal projects registered with ACR, and plans to cancel 101,000 tonnes in 2026. ASML warned that semiconductor industry emissions could quadruple by 2030 without collective action. Energy consumption per wafer pass has fallen 57% since 2018, with a further 30-40% reduction targeted over the next five to 10 years.

Pushing pause - Swedish municipal energy company Soderenergi has decided to pause its planned bioenergy with carbon capture and storage (BECCS) project at the Igelsta biomass-fired combined heat and power plant in Sodertalje, citing excessive financial risk and insufficient funding. The project, under evaluation since 2020, had reached an intensive development stage requiring major investment, but the company concluded that key financial and market conditions were not yet in place to justify proceeding. The company said unresolved issues include weak development of the Nordic voluntary carbon credit market and limited support from Sweden’s government subsidy scheme, both of which undermine the project’s commercial viability. These factors contributed to a risk profile that Soderenergi deemed too high, prompting the board to halt further work and avoid entering new commitments. While development activities will stop, Soderenergi will continue monitoring technological and market developments in carbon capture. The company noted that Sweden’s large biomass-based district heating sector still offers long-term potential for carbon capture deployment. Soderenergi and its municipal owners emphasised that climate goals remain important, but the decision reflects the need to avoid exposing public finances to undue risk in an uncertain investment environment. The company last year said it had agreed to reserve the first carbon removal credits from its planned BECCS facility for drugmaker AstraZeneca. The Igelstaverket CHP plant in Sodertalje had aimed to begin operations in 2030, with capacity to capture and permanently store up to 500,000 tonnes of biogenic CO2 annually.

Funding - Ireland has awarded €10 mln in EU Just Transition Fund support to two bioeconomy demonstration projects in the Midlands, as part of efforts to help the region transition away from peat-based industries and develop low-carbon value chains. The funding, split equally between two initiatives led by University of Limerick and University College Dublin, comes under the second call of the EU- and government-co-funded Bioeconomy Demonstration Initiative. The programme aims to deliver investable, practical bioeconomy solutions while stimulating local supply chains, skills development, and regional investment. The Biochar project, led by University of Limerick, will develop and test sustainable biochar produced from locally sourced biomass for use in agriculture, water treatment, and transport infrastructure. It will conduct large-scale demonstrations within the Midlands and produce a blueprint for a mid-sized biochar production facility to support future replication and investment. The project seeks to demonstrate biochar’s potential across multiple sectors while laying the groundwork for commercial-scale deployment in the region. The Transform project, led by University College Dublin in collaboration with industry partners including Circular Food Company and Somatech, will focus on upcycling food waste and agri-food by-products into high-value ingredients for food and feed applications. Demonstration activities will take place at a commercial-scale facility in Tullamore, supported by new equipment and staffing. The initiative aims to establish a replicable model for sustainable biomanufacturing and waste valorisation across the agri-food sector. The funding is part of broader Just Transition efforts to support economic diversification, innovation, and employment in Ireland’s Midlands as peat production declines. Authorities and EU representatives said the projects are intended to strengthen regional expertise in the bioeconomy, advance circular economy practices, and create sustainable jobs while contributing to climate and economic objectives.

Plasma push – Berlin-based hydrogen technology Graforce has closed a double-digit million-euro financing round to scale up its plasma pyrolysis systems, it was announced this week. With backing from Calderion, managed by Audacia, alongside Terravent and WenCo Family Office, Graforce is targetting additional plant roll-out and technology optimisation. The firm said it is also cooperating with RAG Austria AG to advance continuous operation of its methane plasma units, which convert methane and biogas into hydrogen and syngas while producing solid carbon, positioning the technology as a lower-CO2 alternative to steam reforming for steel, chemicals, and transport sectors.

IETA’s long-serving EU policy lead will step down at the end of March after 10 years with the emissions trading lobby group, marking a senior departure at a crucial time of heightened scrutiny of Europe’s carbon markets.

India and the EU on Friday published the full legal text of their landmark free trade agreement (FTA), confirming that the bloc’s Carbon Border Adjustment Mechanism (CBAM) will remain fully applicable while codifying a previously announced “technical dialogue” aimed at easing implementation concerns.

Global GHG emissions for 2025 increased 0.5% despite a small decline in the power sector, the largest source of emissions, according to a new report.

Oh Oltenia - The European Commission has launched an in-depth investigation into Romania’s proposed amendments to the restructuring plan for state-owned power producer CE Oltenia, to determine whether the changes comply with EU state aid rules. The Commission had previously approved €2.66 bln in restructuring aid in Jan. 2022, covering the period 2021-26. In Dec. 2025, Romania notified the Commission of a revised plan that increases the aid to €2.86 bln and extends the restructuring period to 2029. Romania said the extension was necessary due to delays in building replacement solar and gas power plants, which have slowed the phaseout of lignite-fired generation. It also cited regional energy security concerns, noting that CE Oltenia supplies electricity domestically and exports power to neighbouring Moldova and Ukraine. The Commission said its investigation will assess whether the longer restructuring timeline is justified and whether the revised plan can still restore CE Oltenia’s long-term viability. It will also examine whether the company and investors are contributing sufficiently to the restructuring costs, whether additional measures are in place to limit competition distortions caused by the increased aid, and whether the delays were beyond Romania’s or CE Oltenia’s control. Opening the investigation allows Romania and third parties to submit comments, but does not prejudge the outcome. CE Oltenia is majority-owned by the Romanian state and employs more than 8,000 people, making it a major employer in a high-unemployment region. A media investigation last year alleged that CE Oltenia may have underpaid up to €250 mln in EU ETS compliance costs over eight years by reporting lower-than-average CO2 emissions, though the company denies wrongdoing.

Norway will exempt most industrial installations covered by the EU Emissions Trading System from its domestic CO2 tax starting Mar. 1, marking a major shift in the country’s carbon pricing framework and delivering substantial cost relief to energy-intensive sectors including aluminium, cement, and chemicals.

Greek CO2 storage permit – Greek authorities have issued a permit to EnEarth Greece for the Prinos project, paving the way for the first CO2 storage in the Mediterranean. The next step is the approval of the final safety, monitoring and risk management plans before the first CO2 injection, according to the Zero Emissions Platform (ZEP), an EU advisory body on industrial carbon management. Prinos received a positive opinion from the European Commission earlier this month for the project.

French MEP to lead CBAM export talks – EU lawmaker Pascal Canfin will lead talks in the European Parliament on the treatment of exports under the EU’s Carbon Border Adjustment Mechanism (CBAM), the French MEP announced. The Temporary Decarbonisation Fund, put forward in December, is aimed at supporting international exports of EU goods covered by the border fee. The scheme is due to run for two years (2028-29), and will be financed with 25% of CBAM revenues until a permanent solution is found. Canfin will work alongside MEP Mohammed Chahim who will spearhead the broader CBAM reform talks in Parliament.

Italian scientists' plea – An open letter signed by 150 Italian scientists and economists has been addressed to the government regarding the Bill Decree. The group, composed of experts in climate science and energy transition, urges Prime Minister Giorgia Meloni, Environment Minister Gilberto Pichetto Fratin, and the government to avoid weakening European decarbonisation measures and instead reinforce climate adaptation policies.

European carbon allowance prices fell away sharply on Friday afternoon, recording their largest monthly loss in a year, amid a wider risk-off move across energy, after traders had appeared to be taking a break after another hectic week of news headlines, and adopted a more hands-off approach ahead of a weekend in which geopolitical tensions were likely to remain elevated.

Chemicals giant BASF reported that revenue fell 3% amid an “uncertain and very volatile” market, as the German firm published its 2025 annual report Friday, while Swiss cement producer Holcim heralded “excellent” growth over the same period.

The European Commission has approved a €78 million Slovenian state aid scheme to partially compensate certain companies for high electricity prices driven by carbon costs, it said on Friday.

Industry players have expressed overwhelming backing for an EU-level framework to govern emerging CO2 transport and storage infrastructure, but disagree on how to finance the network or share risks in case of CO2 leakage, according to the results of an EU-wide public consultation.

Riazen debt – Shell is trying to agree a rescue package for Brazilian energy company Raizen, which has R$55 bln ($11 bln) in debt after bad harvests scuppered its biofuel production, the Financial Times reported. The Sao Paulo-based firm, which sells under the Shell brand in Brazil, Argentina, and Paraguay, has also been hit with higher interest rates and lower fuel demand, exacerbating its debt issues. Shell, which holds 44% of Raizen, is reportedly in discussions with fellow 44% stakeholder Cosan, a Brazilian Conglomerate, about restructuring and recapitalisation plans. Under one proposal, Shell could stump up R$3.5 bln in fresh capital. Brazilian President Luiz Inacio Lula da Silva recently called a meeting with Raizen stakeholders, raising concerns about the wider economic implications of the energy company’s debt.

Drax pellets – Drax Group will stop burning Canadian wood at its Yorkshire-based power plant within the next year, the Guardian reported this week. The decision is due to Ottawa’s decision to place a tariff on its biomass exports, the UK power company said. Environmentalists have repeatedly raised concern over the burning of Canadian wood pellets at the Drax power plant in Yorkshire after an examination of the company’s supply chain suggested these were sourced from some of Canada’s more environmentally important old-growth forests. Drax has pushed back at these claims, telling the Guardian that it does not source biomass from designated areas of old growth. Also this week, Drax shares prices hit a near 20-year high, Reuters reported.

European policymakers should maintain an open and competitive sustainable aviation fuel (SAF) market to avoid supply constraints and rising costs, a renewable fuels producer said Friday in a position paper.

Paris and Berlin locked horns on Thursday over a proposed ‘Buy European’ obligation in the EU’s upcoming Industrial Accelerator Act (IAA), underlining lingering divisions around a law intended, among other things, to spur “lead markets” for low-carbon products in the bloc.

Holcim has signed an agreement with an industrial gas firm to develop a carbon capture project at a cement plant in Belgium targeting 1.1 million tonnes of CO2 annually, the two companies announced Friday.

Fragmented governance, weak financial incentives, and limited infrastructure are slowing carbon capture and storage (CCS) deployment in Central and Eastern Europe (CEE), according to a report published on Thursday.

Experts have attempted to debunk what they see as misconceptions about carbon capture, utilisation, and storage (CCUS) in a new report, including that it's too energy-intensive to see any benefit and that subsurface storage isn't durable or safe.

WWF has launched a five-year strategy aimed at advancing nature conservation and restoration efforts in Tanzania, looking to raise over $89 million to finance it.

Hydrogen imports into the EU will face carbon costs based on how they are produced under the bloc’s Carbon Border Adjustment Mechanism (CBAM), linking trade competitiveness to embedded emissions rather than how fuels are labelled, according to analysis published this week.

A technical assessment released this week by the UNFCCC found that Senegal's updated national forest emission levels were now mostly transparent and complete, but only partially aligned with international guidelines.

The rate of new clean cooking projects starting registration has fallen by a third after the introduction of tighter rules on calculating carbon credit volumes, but there has also been a jump in new entrants to the market, according to data from analysts.

Plans for a new hydrogen-powered portable cooker that promises zero CO2 emissions will kick start this year and transform the clean cookstove market, the company told Carbon Pulse Thursday.

Integrating the outcomes of biodiversity credits into adjacent markets of carbon, bonds, and impact investing could generate $21-57 billion annually, a whitepaper shared with Carbon Pulse has argued.