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TOP STORY
West Virginia, Indiana lead SCOTUS emergency appeal to stay US EPA’s power plant rules
The attorneys general (AG) of West Virginia and Indiana headlined on Tuesday a consolidated emergency application to the US Supreme Court for an immediate stay of the Environmental Protection Agency’s (EPA’s) power plant emissions rules after lower courts denied motions to pause the regulations.
AMERICAS
Permitting, legal framework of US states key criteria for developers in siting carbon storage projects
US states that have primacy to approve carbon storage projects, assume post-injection liability, and codify a legal framework are favoured when considering citing of projects in the nascent technology, attendees of a conference heard this week.
DEBs-tagged G-CCOs trade at brief premium to CCAs, ARB offset issuance slows
Golden California Carbon Offsets (G-CCOs) with direct environmental benefits to the state (DEBs) sold at a premium to California Carbon Allowances (CCAs) over several days this month when the California-Quebec futures market fell to year-to-date lows, while regulator ARB slowed the pace of offset issuance.
Canadian apparel brand faces class action lawsuit over alleged greenwashing claims
A Florida resident this month sued a major Canadian athleisure brand alleging that the firm’s marketing campaign misled consumers regarding its environmental impacts.
CAR releases draft Argentina biogas livestock protocol for public comment
The Climate Action Reserve (CAR) standard has released a draft version of the Argentina Livestock Protocol, aiming for greater coherence in the accounting and reporting of greenhouse gas (GHG) emission reductions in Argentina’s livestock sector.
Brazilian BECCS plans inch forward amid regulatory uncertainty
An ethanol producer’s plans for a bioenergy with carbon capture and storage (BECCS) plant in Brazil are proceeding, but critical investments are held up by a bill that failed to clear the national legislature before it adjourned last week.
ASIA PACIFIC
India expands list of eligible activities under Article 6.2, adds list for 6.4
India has updated the list of activities that will be eligible to generate carbon credits for export under Article 6.2 of the Paris Agreement, while also finalising a list of activities for Art. 6.4.
Chinese province launches local carbon offset programme
Jiangxi has become the latest Chinese province to launch a local offsetting programme, with plans to create millions of carbon credits by the end of the decade.
Malaysia urges corporate sector to engage in country’s first nature-based carbon credit auction
Malaysia’s Ministry of Natural Resources and Environmental Sustainability has called on corporates to participate in the auction this week of carbon credits generated from a domestic project in order to support climate financing in the Southeast Asian nation, a statement released by the ministry on Wednesday said.
Australian soil carbon developer announces pivot as it girds for board fight at AGM
An Australian soil carbon developer has finalised the date of its annual general meeting where it will ask shareholders to vote on removal of a director a day after it outlined a strategy to partner on soil carbon rather than go solo, and gave a firm date for the startup of its Philippines operations.
Indonesia plans to stage carbon tax in two phases, webinar hears
Indonesia plans a two-stage carbon tax even as its domestic carbon credit market remains illiquid and sparsely traded, a webinar heard this week according to local media.
EMEA
Steelmakers throw weight behind EU power market reform to drive decarbonisation
The new ‘Clean Industrial Deal’ outlined by European Commission President Ursula von der Leyen last week should include a reform of EU electricity market rules, so that heavy industries can benefit from low-cost renewable and nuclear energy, EU trade association Eurofer told Carbon Pulse in an exclusive interview.
Plenty of room available for renewables in Europe, campaigners say
A massive expansion of solar and wind energy to meet EU climate goals does not require Europe to compromise on food production or nature protection goals, campaigners said on Wednesday.
President Ramaphosa signs into law South Africa’s landmark Climate Change Bill
South African President Cyril Ramaphosa has signed into law the country’s landmark Climate Change Bill, imposing emissions caps on major polluters, the government announced on Tuesday.
Euro Markets: EUAs rise most in two months amid technical buying and firm energy as funds boost short positions
European carbon prices posted their biggest daily increase in two months as traders pursued the technical rally that started on Monday and also compensated for the lack of a daily auction, while the weekly Commitment of Traders data showed a sizeable increase in speculative short positions, underpinning the gains as participants looked to test bearish conviction.
VOLUNTARY
Credit retirements fall 10% in Q2 as corporates shift away from ‘carbon neutrality’ claims -analysts
Credit retirements in the voluntary carbon market fell 10% in Q2 2024 compared to Q2 2023, while corporates are increasingly wary of adopting ‘carbon neutrality’ claims, according to VCM analysts carrying out a quarterly review of the market.
INTERVIEW: Afforestation credits for small land plots just got easier with new certification protocol
Carbon credit certification for afforestation, reforestation, and revegetation (ARR) projects could become more common in Europe through Open Forest Protocol, which reduces upfront cost and makes smaller land areas more economically viable for carbon projects, said a project developer.
Verra adopts Peru’s REDD baselines as developers’ backlash to benchmarks continues
Verra’s revamped methodology for reducing emissions from deforestation and forest degradation in developing countries (REDD) includes a module for unplanned avoided deforestation that sets jurisdictional baselines instead of relying on project-specific ones, but it will lift the Peruvian government’s nationally set REDD reference level, Carbon Pulse heard on a stakeholder webinar Wednesday.
Brazilian organisations propose new mechanism to protect tropical forests
Three Brazilian organisations have unveiled a concept note on a Tropical Forests Mechanism (TFM) designed to help fund efforts to protect and grow tropical forests globally.
Science-based targets overly simplistic and can lead to unequal distribution of responsibility -paper
There are major issues with how science-based targets are set by companies and governments alike, including basic misinterpretation and over-simplification, scientists have warned.
EKI Energy reports net profit in last quarter following its venture into power trading
India’s leading carbon credit developer and supplier EKI Energy Services has posted a net profit of 8.4% or INR 348.3 lakh ($0.42 million) in the quarter ending June, on the back of increased income from its venture into power trading, the company announced Tuesday.
Global fertiliser company signs up for green offtake from Paraguay
A global crop nutrition company and a green fertiliser firm have signed an agreement for the offtake of a calcium ammonium nitrate (CAN) fertiliser project in Villeta, Paraguay.
Survey of Canadian corporations reveals two streams of potential CDR buyers -report
A scan of Canadian corporations demonstrated that while a large majority was unengaged with carbon dioxide removal (CDR), the remaining minority either had limited knowledge with high enthusiasm to learn more or already had active plans to purchase CDR credits, according to a report published by a Canadian think-tank Thursday.
INTERNATIONAL
Global coal demand to remain unchanged through 2025, despite rise in renewables -IEA
Global consumption of coal will remain unchanged through 2025 due to the rising demand for electricity in major economies, despite a rapid expansion of renewables, the International Energy Agency (IEA) said Wednesday.
AVIATION
Clear Sky announces two SAF deals on Wednesday
Clear Sky, an investment company specialising in aviation sustainability, announced two sustainable aviation fuel (SAF) partnerships on Wednesday.
BIODIVERSITY (FREE TO READ)
UK authorities could open developers up to “commercial ransom” under biodiversity rules
Local authorities could expose developers to exploitation from landowners, with worse outcomes for nature and housing, if they force the purchase of nature offsets nearby rather than sourcing them from more distant areas under England’s biodiversity net gain (BNG) legislation, an expert has said.
EU, US blame India for sinking WTO deal on harmful fisheries subsidies
The latest World Trade Organisation (WTO) talks failed to break a deadlock on reform aimed at strengthening rules on harmful fisheries subsidies, with the EU and the US blaming India for thwarting the deal.
Australia could fix landscapes with just 0.3% of GDP in funding -scientists
Australia could mend much of its degraded landscapes by directing A$7.3 billion ($4.8 bln) in funding per year, equivalent to 0.3% of GDP, a group of scientists said in ‘first-of-its-kind’ in-depth investment analysis on Wednesday.
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CONFERENCES
Carbon Forward Expo – October 8-10, London and Online: Our flagship conference returns to the stunning De Vere Grand Connaught Rooms in Covent Garden. As the agenda comes together for our ninth annual event, we want to make sure you don’t miss out on our 20% discount offer, which ends Friday, July 19. We’re also offering free passes for offset buyers. Get in touch to find out if you’re eligible and how to apply. Register now!
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Premium job listings
- Director Carbon Procurement, KliK Foundation – Zurich
- Head of Carbon Project Development (m/f/d) – Volkswagen ClimatePartner GmbH – Munich
- Environmental Markets Correspondent, Carbon Pulse – US/Canada (Remote)
See all listings or post a job
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BITE-SIZED UPDATES FROM AROUND THE WORLD
INTERNATIONAL
NDC updates – The “Roadmap to Mission 1.5” COP Presidencies Troika has published its second open letter to all parties, calling on early movers to submit 1.5-aligned NDCs to demonstrate their leadership at the UN General Assembly in September. The Roadmap to Mission 1.5 COP Presidencies Troika (COP28, COP29, and COP30) aims to enhance international cooperation and the international enabling environment to stimulate ambition in the next round of NDCs as COP29 approaches.
EMEA
Airport activism – Airports across Europe faced disruption this morning from civil resistance groups calling on their governments to join the bloc of countries seeking to negotiate a Fossil Fuel Non-Proliferation Treaty. Activists halted air traffic at airports in Cologne and Oslo, blocked security gates in Helsinki, and blocked main roads outside airports in Zurich and Geneva, while groups were also intercepted at Heathrow in the UK and Barcelona-El Prat Airport in Spain. Activist group Last Generation said that it wants the German government to pursue a global agreement to exit oil, gas, and coal by 2030, and that the actions today will be repeated over the next few weeks, in a call with journalists. Extinction Rebellion and Just Stop Oil were among those groups involved.
Germany’s hydrogen bet – The German government has unveiled a strategy to import 50-70% (45-90 TWh) of the hydrogen it expects to need in 2030 (95-130 TWh). It plans to import both “green” hydrogen produced from renewables-powered electrolysis and “blue” hydrogen made from natural gas with CCS. The strategy identifies hydrogen derivatives, such as e-fuels, to consider and sets out a plan to expand the country’s fleet of import ships and pipelines, and to sign agreements with partner countries to encourage greater regional and international cooperation on hydrogen. German industry welcomed the strategy, whilst NGOs condemned its openness to blue hydrogen. In other news, the German cabinet adopted an amendment to the EU Industrial Emissions Directive (IED), that will ease the permitting of smaller electrolysers (<50 tonnes of hydrogen per day) in Germany.
Dynamic tariffs – Germany’s energy regulatory BNetzA proposes to adapt grid frees to incentivise flexible power consumption in industry. “The old grid fee rebates no longer meet the requirements of an electricity system characterised by a high proportion of renewable electricity generation,” BNetzA head Klaus Muller said in a press release on Wednesday. “In future, we want to incentivise system-friendly consumption behaviour in industry in particular.” Industrial consumers should pay reduced grid fees if they increase demand when electricity supply is high, and if they drive down demand when supply is low. Demand reponse is seen as a crucial pillar of a decarbonised energy system characterised by a growing share of decentralised and fluctuating generation, and growing demand from electrification.
Royal climate advocacy – Solar panels have been installed on part of Windsor Castle in southeast England in alignment with King Charles’s environmental advocacy, while there are also plans to convert the royal family’s Bentley cars to run on biofuel, palace officials said. Longer term, the household’s fleet of cars will be converted to be electric, they added. The details were provided in the annual report published on Wednesday, which provided details on the king’s taxpayer-funded spending and income. (Reuters)
High court challenge – The UK’s national adaptation programme is being challenged in the high court, with lawyers from Friends of the Earth claiming on Tuesday that the plan does not set specific targets for reducing the risks people face from climate change, Reuters reports. The legal challenge has been brought by three UK citizens affected by climate change, including a Norfolk resident who was ordered to leave his home after it was deemed extremely likely to fall into the sea, and a disabled man whose health condition has been worsened by the effects of extreme heat. The legal challenge is being opposed by the Department for Environment, Food & Rural Affairs (Defra), with the hearing due to end on Wednesday, and a ruling expected at a later date.
Iberian innovation – Clean technology will create some 2.65 mln new jobs and mobilize €150 bln in investment across the Iberian Peninsula by 2030, according to a new report by BBVA and Cleantech for Iberia, a coalition aiming to drive the potential of Spain and Portugal as an EU clean energy hub. Spain is on track to reach 81% renewable energy generation by 2030 and Portugal close to exceeding 80% by 2026, the report says. Strategic action by government and industry is needed to drive funding to the sector and to foster an enabling environment, it points out. Important technologies for the region flagged by the report are energy storage, innovative grid technologies, hydrogen transport and storage, and carbon capture, utilisation, and storage (CCUS).
Norwegian CCS awards – Norwegian oil and gas major Equinor was awarded three new carbon capture and storage (CCS) licences on the Norwegian Continental Shelf and in Denmark in the second quarter of 2024, it announced in its quarterly results on Wednesday. Meanwhile, the company’s oil and gas production and operational performance increased, with the ramp up of new fields on the Norwegian Continental Shelf and in the UK, which offset lower production in the US, it said. Equinor’s renewable energy production is also expected to have increased by 70% year-on-year for Q2, driven by onshore plants in Brazil and Poland as well as increased offshore wind output.
Stora cuts emissions – Finnish forestry company Stora Enso saw its Scope 1 and 2 CO2 emissions decline by 46% to 1.38 mln tonnes, in Q2 2024 compared to 2019 levels, it said in its quarterly results. The fall is largely thanks to site and production line closures, as well as “active measures” to cut emissions, including improving energy efficiency, replacing fossil fuels with renewables, and increasing the share of non-fossil electricity. The company’s indirect Scope 3 emissions instead declined by 34% compare to 2019, to 4.95 mln tonnes, largely due to site and production line closures. It is also looking to enhance efficiency and work with raw material suppliers, logistic suppliers, and customers to cut value chain emissions, it said.
Ticking along – Swedish steelmaker SSAB said the transformation to fossil-free steelmaking is continuing with the planning of the mill in Lulea, which will reduce Sweden’s carbon dioxide emissions by 7%, in its second 2024 quarterly report. This is in addition to the conversion of the Oxelosund mill, where 3% of reductions will take place. SSAB also launched a new combined Green and Sustainability-Linked Finance Framework that will support SSAB’s transformation to fossil-free steelmaking and investments in more efficient and flexible production systems.
PPA signing – Italian utility A2A Group has signed a 10-year power purchase agreement (PPA) in Italy for 134 megawatts of solar energy from Enfinity solar projects. The electricity provided – equivalent to the annual consumption of about 86,000 Italian homes and avoiding over 104,000 tons of CO2 emissions per year – will be produced from six of Enfinity’s solar power plants in the Lazio and Emilia Romagna regions. The agreement follows previous PPAs between the two companies signed in Oct. 2023, totalling 97 MW.
ASIA PACIFIC
Upskilling workers – Vietnam is to launch new vocational training focusing on upskilling its workforce on the areas of carbon credits, hydrogen, and semiconductor chips, following a requirement by the Ministry of Labour, Invalids and Social Affairs (MoLISA). Maintaining a stable workforce, contributing to economic development, and stricter management of Vietnamese workers sent abroad will be key focal points.
Open letter – Non-profit Climate Group has called on South Korea’s 22nd National Assembly to prioritise transitioning to net zero and elevate the nation’s commitment to renewable energy, according to an open letter released this month. Legislators should address systemic barriers to renewables, given that RE100 members operating in South Korea source only 9% of their electricity from renewables, significantly behind its Asia-Pacific counterparts, China at 50%, and Japan at 25%. National Assembly members should also consider the opportunities to promote the decarbonisation of South Korean steelmaking and purchasing, the group said.
We promise – More than 325 asset managers, representing over $57.5 trillion in assets under management, have made individual net zero commitments, according to a report released by the Net Zero Asset Managers (NZAM) initiative. Almost all NZAM signatories have set interim targets for or before 2030, and over a quarter (26%) have a first target of 2025 in place. Europe is currently leading in representation with more than 200 signatories, followed by North America and Asia. NZAM will focus on scaling up the recruitment of investor signatories in Asia Pacific in the coming years, the report showed.
AMERICAS
Super Summit – The White House announced new domestic and international actions to reduce methane, hydrofluorocarbons, and nitrous oxide (N2O) at a Super Pollutants Summit on Tuesday. Efforts include: advance detection and reporting of pollutants; company N2O reduction projects from adipic acid producer Ascend Performance Materials and offset project developer ClimeCo’s three projects planned online by early 2025; and EPA’s updated rules to cut methane in May, along with upcoming solid waste landfill rules expected in 2025. International partnerships and funding initiatives include: $10 mln to the World Bank’s methane reduction from livestock, rice, waste, and sanitation across 15 countries; $300 mln from a consortium of philanthropies represented by the High Tide Foundation supporting the Global Methane Hub; new participation in the International Methane Emissions Observatory; and nine private companies’ support for US Agency for International Development’s Food Loss and Waste Accelerator.
EDF for green disclosure – Non-profit Environmental Defense Fund (EDF) on Wednesday filed a motion to intervene in support of the US Environmental Protection Agency’s (EPA) amendments to the GHG reporting rule against ongoing litigation. The EPA in May finalised the updates, which it said were placed to improve the quality and accuracy of emissions disclosures. However, the agency is now facing several legal challenges from oil and gas industry groups alleging that the final rule exceeded the agency’s authority and is not in accordance with law. EDF has sought a request to intervene in support of the EPA to protect its interests, arguing that the revised methodologies will deliver more accurate data that helps the organisation understand the sources and scope of the US GHG emissions.
Recycling duo – The US Department of Energy’s (DOE) Loan Programs Office (LPO) announced a conditional commitment on Tuesday that would guarantee a loan of up to $182.6 mln to recycling centre IRG Erie to finance construction of a plastics recycling facility in Erie, PA, along with an injection system tower at a steel manufacturing facility in northwest Indiana. Besides recycling approximately 100,000 t of plastics, the facility is expected to also produce 20,000 t of CleanRed, a plastic-waste-based iron reducing agent, to be used in steelmaking at the Indiana plant, projected to replace a portion of coking coal used in blast furnaces or anthracite coal used in electric arc furnaces. In total, IRG Erie is expected to avoid up to 555,000 tCO2e annually as a result of avoided virgin plastics production and emissions reductions in the steel production process, LPO said in the press release.
Surging prices – Consumers throughout the central US have paid some $1.1 bln more for electricity for the past three years due to utilities’ decision to operate coal plants instead of opting for cleaner and more affordable alternatives, according to a study by the Natural Resources Defense Council and Grid Strategies. The analysis found that the operation of uneconomic coal plants under the Midcontinent Independent System Operator (MISO) bumped cheaper wind energy offline and contributed to air pollution in a region that stretches from the Canadian border to Louisiana. It showed that uneconomic coal plants led to the curtailment of 3.8 mln MWh of wind energy from 2021-23. (E&E News)
Small support – The US Small Business Administration (SBA) will guarantee loans of up to $2 mln climate-related projects, up from the current $350,000 limit, E&E News reported Wednesday. Announced Monday, the Green Lender Initiative aims to fund the clean energy transition for small businesses, and will employ SBA loan guarantees to attract additional private capital in support of clean energy investments under the Inflation Reduction Act.
VOLUNTARY
Carbon Done Right – Vancouver-based forest carbon offset developer Carbon Done Right announced receipt of its fifth and final disbursement of financing from BP for its Sierra Leone restoration project on Wednesday, alongside updates to its ongoing landowner dispute and prohibition of securities trading. According to Q1 2024 financial statements filed by the developer, BP would disburse the final $500,000 of its $2.5 mln pre-purchase agreement upon achievement of planting of mixed species on at least 1,500 ha of land; completion of certain reports with an expected generation of 3,000 credits; verification site visit schedule for Q1 2025; and a revised cash forecast draft. On Wednesday, Carbon Done Right CEO James Tansey said its team is actively planting over the summer and has cleared over 500 ha of land, with native tree species expected to be planted on up to 2,000 ha of additional land during the upcoming 2024 planting season. Tansey also added that it continues “constructive engagement” with NGOs in the area, which called attention to landowner rights associated with the Sierra Leone project in May. Lastly, the firm’s Management Cease Trade Order issued by the British Columbia Securities Commission in May, which prohibited management from trading in securities of the company until its delayed year-end financial statements were submitted, was revoked on July 22, following submission of the filings on July 13.
AND FINALLY…
Heat blast – Monday, July 22 set a new record for the hottest day globally, according to the EU’s climate monitor, as large parts of Europe, Asia and North America suffer blistering temperatures. Preliminary data from the Copernicus Climate Change Service (C3S) showed the daily global average temperature was 17.15 C (62.9 degrees Fahrenheit) on Monday, the warmest day in records going back to 1940. The monitor had anticipated daily records to be exceeded as summer peaks in the northern hemisphere, and Earth endures a particularly long hot streak driven by climate change. Every month since June 2023 has eclipsed its own temperature record compared to the same month in previous years, leading to an unprecedented 13-month streak. (Barrons)
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