RGGI Allowance (RGA) futures reversed course from their move towards the $45 mark mid-last week as speculators sought to position themselves and overall market activity remained muted, traders said.

Nuclear notice - Maryland-headquartered Constellation Energy announced on Friday it has filed licence renewal applications with the Nuclear Regulatory Commission (NRC) to extend the operations of Ginna Clean Energy Center and Nine Mile Point Unit 1 reactors in upstate New York to 2049. The former facility is a single unit plant that generates 576 MW, while the latter is a dual-unit plant that generates some 1,907 MW.

The UK is set to fall short of its target for 95% clean power by 2030 by a margin of 12 percentage points, though could achieve the full target by 2032 provided more renewables come online and grids are upgraded, said a consultancy in a new report.

Heightened federal oversight since 2025 could disrupt the US renewable energy pipeline, putting over $121 billion of investment at risk, according to a new analysis.

A recent report by a German non-profit suggested a two-tiered approach to multilateralism in international climate diplomacy, more distinctly distinguishing between institutional and implementation efforts, offers the most realistic path for turning talk into action.

AI and Oil – California oil company California Resources Corporation (CRC) wants to build a 100-acre AI data centre in the Elk Hills oil field, 2 hours from Los Angeles. The company says the move to construct controversial data centre’s in already heavily industrialised areas will reduce the usual public backlash over land, water, and electricity demand AI data centre’s require. This announcement comes after CRC recently announced it had already begun successfully injecting carbon back into its own depleted oil reservoirs, signalling that a major oil company is moving away from oil extraction and investing in carbon storage and AI infrastructure. The project marks the launch of California’s first operational carbon capture and storage facility. The Carbon Terra Vault I (CTV I) project is also located at the Elk Hills field in Kern County and has an annual storage capacity of 1.46 mln tonnes of CO2 with total storage reaching a potential 38 mln tonnes. These developments in CRC’s business strategy raise questions about whether building AI infrastructure in heavily industrialised areas will deter decarbonisation efforts, or promote further development for energy purposes.

New Novilla - Asset manager Power Sustainable Infrastructure Credit (PSIC) has closed a $45 mln senior secured financing for US dairy renewable gas developer Novilla RNG, it announced Monday. The financing is expected to support growth capital expenditures, including the construction of two greenfield dairy RNG projects in South Dakota, and advance Novilla's broader development pipeline, PSIC said. Novilla's projects capture methane from dairy operations and convert it into RNG, abating methane emissions and supplying low-carbon fuel to transportation and utility markets.

One year after the deadline to submit national Social Climate Plans, 19 EU member states have yet to file the documents required to access funding linked to the bloc’s new Emissions Trading System for road transport and heating fuels (ETS2), leaving €85.3 billion effectively frozen, according to campaigners.

State decarbonisation fund – The Brazilian state of Espirito Santo is set to begin the first disbursements from its R$900 mln ($173.5 mln) fund for decarbonisation and the energy transition, according to local outlet Capital Reset. Eight projects are currently being assessed by Brazilian bank BTG Pactual, which is acting as the fund’s portfolio manager. The fund was announced during COP29 in Baku in 2024 and was officially launched in Jan. 2026. Through a blended finance structure, part of the initial capital came from the state sovereign fund (Funses), which is mainly financed by oil and gas revenues, including royalties.

Greener homes – The Canadian government will expand its Canada Greener Homes Affordability Program to Quebec, British Columbia, Nova Scotia, and Prince Edward Island, extending a scheme already operating in Manitoba, it announced Monday. The C$500 mln programme, including C$300 mln in federal funding, aims to support more than 35,000 low- and median-income households with free installations of heat pumps, better insulation, improved air sealing, and other energy efficiency upgrades. The government said participating households could cut emissions by around 1.5 tonnes of CO2e per year. It also noted that space and water heating account for more than 96% of building emissions, and households switching from oil heating to electric heat pumps can cut their annual emissions by 2.8 tonnes of CO2e.

Carbon custodians – The Satoyama Mace Initiative, a transnational climate action and sustainability platform hosted at Taiwan’s National Cheng Kung University and endorsed by the International Partnership for the Satoyama Initiative, has formally onboarded Bombay’s Indigenous Peoples Association (BIPA), which represents the East Indian/Mobaim Mulvasi Indigenous community in Mumbai, into the Global Indigenous Partnership for Climate Action (GIPCA). The move marks GIPCA’s first South Asian regional partnership and creates a collaboration focused on Indigenous stewardship, biodiversity conservation, and nature-based climate solutions, with BIPA contributing traditional ecological knowledge and field networks while the Initiative provides carbon accounting, remote sensing, monitoring, and access to climate finance systems.

CORSIA futures slipped marginally lower last week, with the benchmark now at a little above $9/tonne, while hundreds of carbon projects registered under the Kyoto Protocol’s Clean Development Mechanism (CDM) look set to miss a Tuesday deadline to enable their transition to the new Paris Agreement Crediting Mechanism (PACM).  

State aid - The EU Commission approved on Monday a €402 mln Spanish scheme to support road transport companies facing increased fuel prices due to the Middle East crisis. The aid will take the form of direct grants. For beneficiaries who are eligible under an existing diesel tax refund scheme for professionals, the aid can cover up to 70% of the additional fuel costs resulting from the crisis incurred between Mar. 1 and June 30. For beneficiaries who are not eligible under that tax refund scheme, the aid can either be capped at €50,000 per company or cover up to 70% of the additional fuel costs incurred between Mar. 1 and Dec. 31. Read more.

Britain's hospitals and small industrial emitters cut their greenhouse gas emissions well below government targets in 2025, according to newly published data covering participants in the UK Emissions Trading Scheme's Hospital and Small Emitter (HSE) scheme.

EU member states did not vote last week on rules defining which foreign CO2 prices importers can deduct from their Carbon Border Adjustment Mechanism (CBAM) fees, even though a decision had been scheduled.

European carbon managed to hold above the €80 mark for the first half of the day until news reports detailing a key political party's position on the EU ETS review triggered a heavy sell-off as traders reacted to perceived bearish supply-side proposals.

A Montreal-headquartered developer has been issued North America's first certified direct air capture (DAC) carbon removal (CDR) credits, setting up the first delivery under long-term purchase agreements extending through 2034.

International marine science experts are drawing up a global framework to assess ocean-based climate interventions, such as marine carbon removal (mCDR), with the work due to be completed by mid-2027.

Growing seaweed across vast areas of the ocean could help draw down more CO2, but the carbon removal gains would be limited compared with the amount of biomass produced and could come with major risks for marine ecosystems, a peer-reviewed study has found.

Turbulence ahead - The cost of credits under aviation offsetting scheme CORSIA could rise almost eightfold to $100/t by 2035 as demand outpaces supply, according to MSCI Carbon Markets, which could result in a bill of up to $127 bln for the industry over the lifetime of the scheme. Emirates could face the heftiest bill at $8 bln - equivalent to a fifth of its 2025 operating revenue - over the scheme's lifetime, which covers emissions generated from 2024-35, according to MSCI. Meanwhile, Qatar Airways and United Airlines could pay $6 bln and $5 bln respectively over the life of the scheme in a high demand/tight supply scenario, equal to 26% and 8% of their 2025 revenues. However, under a softer scenario with higher supply and lower demand, Emirates could face a lower estimated cost of $2 bln over the period to 2035, with costs for Qatar and United falling to $1 bln each. (FT)

A microscopy-based method could help assess whether biochar material has been sufficiently carbonised for long-term storage, a new study has found.

Ireland, which holds the Council of EU member states’ rotating six-month presidency from July, is aiming to secure an agreement between the bloc's 27 nations on the revision of the Emissions Trading System in the first half of December.

ERW supply - Mati Carbon has received its first credits, a total of 717 CORCs, under the Puro Standard's enhanced rock weathering (ERW) methodology for a project in Chhattisgarh, India. The issuance credits the company's use of basalt-based enhanced rock weathering on smallholder rice paddy farms, where crushed basalt is applied to soils to accelerate natural carbon sequestration.

A group of organisations presented on Monday a framework for Mediterranean seagrass restoration aimed at helping quantify ecosystem value and support the development of nature credits.

As the European Commission prepares legislation to bring carbon removals into the EU Emissions Trading System (ETS), experts warn that choices over CO2 accounting risk giving policymakers a serious headache in Brussels.

Projects under Track 1 of the UK's carbon capture, usage, and storage (CCUS) strategy must move ahead with construction to prove the model is repeatable and attract private capital for the next wave, experts said at a webinar on Monday.

Damaging subsidies - Germany has introduced environmentally harmful subsidies worth €11 bln so far this year, including a higher commuter allowance, industry electricity price support, and petrol and diesel fuel rebates, according to calculations by think tank Green Budget Germany (FÖS). Greenpeace commissioned the factsheet and said the government was "wasting billions of euros" on the subsidies while the energy crisis driven by the Iran war made clean alternatives more attractive.

Vertis Environmental Finance has appointed a new head of research and analysis, as it seeks to expand its role in emissions trading.

Governments should allocate part of their health budgets to greening urban areas, as scaling up nature-based solutions is one of the most effective ways to tackle rising temperatures in European cities, an expert told Carbon Pulse.

Engineering contract - Swedish engineering consultancy AFRY has been awarded a detailed engineering assignment by Kanadevia Inova for the UK’s first full-scale carbon capture facility in the waste-to-energy sector, the company announced last week. The project, being developed by Encyclis at its Protos energy-from-waste facility in Cheshire, forms part of the HyNet North West decarbonisation cluster. AFRY will deliver engineering services for steel structures and piping systems to integrate the carbon capture plant with the existing energy recovery facility, including mechanical and piping detail engineering, structural calculations, support systems, and technical documentation.

The vast majority of carbon projects developed under the Kyoto Protocol's Clean Development Mechanism (CDM) are set to miss a Tuesday deadline to enable them to transition to UN crediting under the Paris Agreement, leaving many legacy projects outside the new scheme.

Singapore Airlines said climate‑related compliance costs were financially material, with exposure projected at between SGD 50-200 million ($38-155 mln), and high risk impacts above that.

A Brazilian state-controlled lender will support a newly launched Amazon REDD+ carbon credit initiative targeting 5 million hectares under management, annual production of 7.5 mln credits, and around $50 mln in net yearly revenue by 2030.

The European Parliament's largest political group is considering a push to grant power generators free EU Emissions Trading System (EU ETS) allowances after 2030 in exceptional circumstances, as well as limits to the participation of speculators in the market, according to a draft negotiating position seen by news outlet Montel.

Wastewater biochar - Edinburgh-based Carbogenics will launch a project in July to test whether wastewater screening waste can be converted into its patent-pending FilaChar carbon material and used to remove pharmaceutical contaminants from wastewater, it announced last week. The IBioIC-backed project will be carried out with Scottish Water and the University of the Highlands and Islands’ Environmental Research Institute, and will assess whether wastewater-derived carbon materials can offer a more circular approach to tackling emerging contaminants such as pharmaceuticals, PFAS, hormones, pesticides, and microplastics.

Chile and Switzerland have authorised a second standalone battery energy storage system (BESS) mitigation activity under Article 6 of the Paris Agreement, expanding the use of carbon finance to support grid-scale energy storage in the South American country.

Tanzania has rejected opposition claims that international carbon trading agreements amount to the sale or transfer of control over the country's natural resources, insisting that its carbon market framework is designed to protect national sovereignty while generating new revenue.

Greek solar - Germany’s RWE and Greek utility PPC have commissioned nine solar farms totalling 930 MWp at a former lignite mine in Western Macedonia, Northern Greece, the companies announced Monday. The projects were developed through their Meton Energy joint venture and are expected to generate enough electricity to meet the annual demand of more than 400,000 Greek homes. Two further solar farms totalling 567 MWp are under construction in Central Macedonia and due online in 2027.

Conservation finance risks creating a "monoculture" by relying too heavily on carbon markets, a prominent Singaporean conservation scientist has warned.

The UNFCCC’s latest draft procedure for the Article 6.4 mechanism registry sets out requirements for real-time public reporting of registry activity, detailed first-transfer rules, and proposed account fees for the Paris Agreement Crediting Mechanism (PACM).

Greenlight - A Mongolia-based emissions reduction project has been successfully registered under the Joint Crediting Mechanism (JCM), according to a notice by the joint committee between Japan and Mongolia. The project aims to cut emissions by some 6,300 tonnes per year through a planned 5 MW solar PV system and 3.6 MWh battery energy storage system in Zavkhan province. So far, around 129,320 credits have been issued under the Japan-Mongolia JCM partnership.

Potential in turf - Japanese biochar developer Towing has teamed up with domestic partners to jointly develop environmentally friendly turf and create carbon credits under the J-Credit programme, it announced Monday. While the J-Credit methodology (AG004) has strict restrictions on the farmland on which it can be cultivated, there are no restrictions on the crops. Turf, as a greening material, may meet these requirements, Towing argued. The demonstration will begin this year, and the companies will consider pursuing the creation of carbon credits next year.

An investigation into cookstove projects in India's Karnataka state has found that some rural households rarely used the stoves they received, were unaware they were participating in carbon credit schemes, and did not receive any share of the revenues.

From waste to fuel - A group of South Korean researchers have developed a technique that can convert wet spent coffee grounds into solid fuel in 90 seconds, with minimal emissions generated. The energy-efficient solution, utilising atmospheric flame plasma, has overcome the economic and technical bottlenecks associated with conventional drying-based processes, according to a new paper, led by authors from the Korea Institute of Geoscience & Mineral Resources. Over 10 mln tonnes of spent coffee grounds (SCG) are generated annually as global coffee consumption increases.

Shuffling soil - Australian agtech company Loam Bio announced Rob Hranac as its incoming CEO as of July 1, The Australian reported. The company announced that co-founder Guy Hudson would transition from CEO duties to become executive chairman. US-based Hranac was previously the chief operating officer of US company Lithos Carbon and will now helm Laom Bio from there. The NSW company is looking to move into the Brazil market to help farmers retain soil moisture, however Hudson and Hranac told the newspaper they aim to become a publicly listed company.

Coming soon - Officials from 11 member countries of the Central Asia Regional Economic Cooperation (CAREC) programme met in Tashkent last week to develop a regional approach to carbon markets under Article 6 of the Paris Agreement, according to a press release. Participants assessed gaps in carbon market readiness, exchanged lessons on generating carbon credits, and discussed private sector requirements for attracting carbon finance. The meeting also advanced work on a regional carbon market readiness plan and identified joint actions to improve access to international carbon markets.

Farm‑level greenhouse gas accounting methods remain fragmented and require urgent harmonisation efforts, with estimates for the same farm varying by more than 1,000%, a study said.

Green methanol MoU - ASX-listed Gold Hydrogen and Mitsubishi Gas Chemical (MGC) have signed a MoU to explore the potential development of a green methanol production facility on the Yorke Peninsula in South Australia, the company announced on Monday. MGC, an existing shareholder of Gold Hydrogen and a unnamed methanol producer, seeks to utilise the naturally occurring hydrogen discovered by Gold Hydrogen’s Ramsay Project as feedstock. Under the MoU, the parties will first undergo a pre-feasibility study to determine whether the natural hydrogen can meet supply specifications and delivery conditions. Green methanol is an alternative fuel for the shipping industry that delivers up to 95% lifecycle emissions reductions compared to traditional fuel. The global methanol market is estimated at $36 bln, according to the announcement.

Vietnam's newly launched domestic carbon exchange opened trading on Monday with carbon allowances priced at VND 136,000 ($5.20) per tonne of CO2e, marking the pilot’s first official transaction as the Southeast Asian prepares to roll out an emissions trading scheme.

Downgrade - Japanese automaker Honda has revised down its 2031 emissions reduction targets, according to its ESG report published Monday. The targets were revised across its various arms, with its motorcycle business now aiming to reduce product CO2 emissions intensity by 15%, compared to the previous target of 34% by Mar. 31 2031. It's automobile business will now only target 13.4% from 28.2%, and its power products business now aims for a 13.4% from 28.2% reduction by the same date. The company said the revisions reflect its reassessment of its powertrain portfolio and product launch plans in response to changes in market conditions and developments in trade policies.

Soil, paddy projects drive income- The Dhamtari district administration signed a partnership with climate‑tech firm Prithu to establish the Indian state of Chhattisgarh’s first Model Carbon Agriculture district, local media reported. The initiative is expected to channel INR 2.5 bln ($26.5 mln) in additional income directly to local farmers by generating international carbon credits. Two projects will be rolled out: a soil organic carbon programme revitalising 80,000 ha to boost fertility and water retention, and an alternate wetting and drying paddy scheme across 30,000 ha to reduce water waste and methane emissions while maintaining yields.

Indonesia has signed a memorandum of understanding (MoU) with a US-based nonprofit to explore opportunities for reducing emissions from its forests, with a focus on jurisdictional REDD+ approaches.

Sunny days - The Philippines has become the world's fastest-growing market for rooftop solar installations, driven by soaring electricity prices following the Iran conflict, Reuters reported. Chinese customs data showed the country imported $407 mln worth of solar panels in the three months to May, up 145%  from last year. Installers reported a sharp rise in customer enquiries as households seek to reduce power bills, with payback periods for solar systems shrinking to just over three years. Analysts cited by Reuters expect the Philippines' distributed solar capacity to nearly triple to 3.5 GW within two years.

New target - Indonesia's state-owned mining company MIND ID aims to cut greenhouse gas emissions by 15.5%, or around 2 MtCO2e, by 2030 despite expecting its energy demand to almost double as the government expands mineral downstream processing, Antara reported. MIND ID plans to curb emissions by increasing biodiesel use, switching from diesel to LNG, expanding renewable energy, and participating in carbon markets. It added that lower-carbon production would help improve the global competitiveness of Indonesian mineral exports.

NGO requests probe - Nonprofit, the Australian Conservation Foundation (ACF), has requested a Senate inquiry into the fossil fuel industry’s influence on children, following a report revealing the industry’s presence in the far reaches of Australian childhood settings, it announced Monday. The report, published by climate communications NGO Comms Declare, found 260 publicly documented programmes across schools, museums, science centres, early learning programs and scholarships, run or funded by the fossil industry. The report found more than A$50 mln ($34.4 mln) in disclosed funding for just six of the programmes. Woodside and Santos, Australia’s two largest oil and gas producers, are among the companies the ACF is calling on the federal government to investigate.

Battery boost - The Australian Renewable Energy Agency (ARENA) has committed A$45 mln ($31 mln) to support Siconoa Battery Technologies' advanced silicon-carbon battery anode material, it announced. The funding is being delivered through the Battery Breakthrough Initiative, to support construction and operation of a commercial-scale demonstration facility producing the company's next generation battery materials. Sicona's SiCx technology seeks to boost battery density by 20% and enable up to 40% faster charging speeds compared to conventional graphite, while remaining compatible with existing production lines. The project supports the development of next-generation battery technologies and boosts Australia's role in the global battery supply chain, ARENA CEO Darren Miller said, with samples of SiCx produced at the facility to be sent to global battery and EV manufacturers to secure offtake agreements.

BECCS begins – BioCirc has opened what it said is the world's largest biogas-based CCS plant at its Vesthimmerland facility in Denmark, marking the first project in the company's planned rollout of BECCS, according to Carbon Capture Journal. The company said it plans to install CCS at five of its eight biogas plants, with the facilities intended to capture and permanently store CO2 from biogas production while generating carbon credits. BioCirc added its approach could support sectors such as agriculture, shipping and heavy land transport.

Next steps – Swiss carbon finance company South Pole is in discussions with state-owned utility firm PLN Indonesia Power over a possible extension to a carbon trading agreement, the power company said on LinkedIn late last week. The talks could see an extension of PLN’s Emission Reduction Purchase Agreement with South Pole for its Gunung Salak Geothermal Power Plant. The duo are also looking at other ways to expand carbon crediting across PLN’s power portfolio, according to the LinkedIn post.

Solid storage – Shanghai Qiyao Technology Group said this week that the UN maritime agency IMO has given in-principle support to two proposals aimed at recognising onboard carbon mineralisation as a form of permanent CO2 storage. The company said the process converts CO2 captured from ships into stable minerals that can be used in construction materials, offering an alternative to geological storage. One proposal outlined the technical and environmental case for recognising mineralisation as permanent storage, while the second documented a demonstration project covering onboard CO2 capture, transport, and final mineralisation.

Clean air clampdown - Sen. Mike Lee (R-UT) introduced legislation on Thursday that would prohibit the EPA from issuing Clean Air Act regulations deemed to exceed congressional intent, including rules restricting internal combustion engine vehicles, requiring power plants to switch fuels, reducing grid reliability, or mandating technologies considered economically or practically infeasible. The bill would also clarify that California Clean Air Act waivers, including those supporting EV mandates, fall within the definition of EPA regulations subject to the proposed limits.

Data centre dive - The US House Science, Space and Technology Committee advanced legislation Thursday that would allow the National Institute of Standards and Technology, in consultation with the DOE, to develop best practices and technical standards for measuring data centre energy and water use, including use tied to AI training, inference, and other compute-intensive processes. The committee approved H.R. 9372 in a 34-1 vote, with Rep. Daniel Webster (R) the only no vote. The bill would also support research into data gaps, forecasting risks, standardised metrics, data-sharing mechanisms, and coordination with federal, state, academic, industry, and international standards groups.

Loosening liability - State and local officials led by California Attorney General Rob Bonta urged congressional Democrats on Monday to reject Republican legislation that would shield oil and gas companies from climate lawsuits seeking compensation for the costs of climate change, E&E News reported. The Stop Climate Shakedowns Act, introduced by Sen. Ted Cruz and Rep. Harriet Hageman, would block more than a dozen state and local cases accusing fossil fuel companies of misleading the public about the risks of burning fossil fuels. In a letter, 21 attorneys general and local officials argued the bill would undermine their authority to use state laws to protect residents, comparing the climate cases to past litigation against opioid, tobacco, and social media companies.

Holding on - State regulators are still incorporating the US EPA’s 2024 carbon standards into permits for new gas plants, even as the Trump administration moves to repeal the rules, E&E News reported. Georgia, Ohio, and Pennsylvania included emissions limits or compliance steps tied to the rule’s first phase, while North Dakota acknowledged the standard applies but delayed setting a numerical limit, citing regulatory uncertainty. The permits show utilities remain exposed to uncertainty over whether the Biden-era rules will be repealed, upheld, or revived through future litigation.

A prominent Iwi leader has filed a case in New Zealand’s High Court challenging the government’s amendments to block tort-based climate litigation.