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When we emit carbon dioxide (CO2) into the atmosphere, most of it stays there for centuries or millennia. This means that CO2 emitted even a century ago has contributed to the rising temperatures we see today.
In other words, how much the climate warms depends on how much cumulative CO2 is emitted over time.
The chart shows the ten countries with the largest share of the world’s historical emissions, based on cumulative emissions from fossil fuels and industry since 1750.
The United States has contributed the most, accounting for almost one quarter. This is followed by China and Russia.
When ecologist Anthony Bicknell went looking for fish around the foundations of wind turbines a dozen or so miles off the coast of Scotland in the North Sea, he wasn’t sure what he’d find.
But he was ready for something surprising. Around that time, some European lobsters were catching researchers off guard by taking up residence in wind turbine foundations in the waters off of the British Isles. Sure enough, Bicknell and his team counted two more sea creatures that scientists had never documented congregating around wind turbines: a flatfish known as a dab and, most strikingly, haddock.
Haddock is one of Scotland’s highest-value commercial fish, ranking above cod and just below herring in total number of fish caught annually. Unlike cod, haddock don’t usually hang out around shipwrecks and other human-made structures on the seafloor.
The discovery that these sleek silvery fish are utilizing wind foundations, described in a study published earlier this year, demonstrates how much researchers are still learning about the potential benefits of installing wind structures in the ocean floor.
Offshore wind is growing rapidly in some parts of the world, particularly in northern Europe and China, as nations look to complement other carbon-free resources like solar.
In the U.S., the industry has faced opposition from the fishing industry, environmentalists, and other anti-wind groups who have raised concerns about how turbines will affect marine life. False claims about offshore wind’s impact on ocean animals — especially whales — have been spread by opponents including President Donald Trump, who issued an executive order on his first day in office that has slowed the industry to a crawl.
The new study from Bicknell, a senior research fellow at the University of Exeter, is the latest in a growing body of research that suggests offshore wind turbines, like other hard structures introduced to the seabed, can not only coexist with marine life but potentially benefit certain species.
Scientists have repeatedly found, for example, that an oil rig or oil platform can become an oasis of hard structure in ocean expanses devoid of much else but sand. They attract barnacles, shellfish, invertebrates, and, eventually, the fish that like to eat those creatures. An entire food web can grow.
Studies like Bicknell’s find the same phenomenon is playing out around some wind turbines installed on the seafloor of the North Sea. Except, unlike oil rigs, these massive pieces of infrastructure are helping to reduce the carbon emissions caused by burning fossil fuels, which is rapidly warming the ocean and devastating marine life worldwide.
Bicknell and his coauthors discovered that the older the wind foundation, the more fish — and sometimes bigger fish — like to call it home. This is true, they found, for many demersal fish like flatfish, haddock, and cod, which sit lower on the food chain. His team focused on the U.K. offshore wind farms known as Beatrice and Moray East; some of the studied turbines were built in 2017, while others went in around 2020.
These studies also underscore that offshore wind farms are clearly changing the ocean. Scientists are still debating which species are most feeling the change.
“Are they good or bad for fish? The caveat is, well, what fish?” said Bicknell.
Take the case of the European lobsters that like to turn wind foundations into homes. In 2021, researchers tagging lobsters around turbines installed off the coast of North Wales found that almost half of tagged animals hung out around a turbine’s base to find food or hide from predators. The doughnut of rocks and boulders deposited around a turbine’s base may also protect the lobsters. At least one tagged lobster ended up in a local fisherman’s trap, providing the first anecdotal evidence that turbines can support lobsters that also feed people.
For haddock, the turbines are more like a buffet. Bicknell described the fish as enjoying what he and other scientists call “indirect benefits.” Because haddock don’t usually hang around hard structures, preferring instead the sandy sea bottom, the groups that showed up on the researchers’ underwater cameras likely come there to feed and then leave. His study provides more evidence that wind foundations may increase the availability of food for many fish.
Some of these discoveries are helping researchers in the U.S., where offshore wind has been slow to catch on. Five projects are actively under construction in the country, but only one commercial-scale offshore wind project, South Fork Wind, is in operation today. Meanwhile, the U.K. has over 40 offshore wind installations with a total capacity of 15 GW plugged into its grid.
“I think when it comes to surveying offshore wind infrastructure for fish, yes, we are a little bit behind,” said Brendan Runde, a marine ecologist with The Nature Conservancy who is based in Virginia.
Runde is part of an ongoing research project to understand how fish use two wind turbines installed off the coast of Virginia as part of a 2020 pilot by Dominion Energy. This installation — and the fish that use it — serve as a glimpse of what’s to come in the region’s waters. Less than a mile away, the state’s first commercial-scale project is under construction and, according to its developer Dominion, on track to be completed in 2026.
During construction, wind farms could have negative effects on fish, said Runde.
Artificial noise, changes to seafloor sediment, and newly laid cables that emit electromagnetic fields can all impact fish in the short-term. However, his team’s research has found that the Atlantic sturgeon, an endangered species, and a variety of sharks are not avoiding the area even during ongoing construction.
At least 78 wind foundations have already been installed off the coast of Virginia, according to Dominion, while new ones continue to be built in spite of federal headwinds from Trump. In Virginia, offshore wind has a history of bipartisan support, and Gov. Glenn Youngkin, a Republican, is a vocal supporter of Dominion’s 2.6-gigawatt, 176-turbine project.
Runde’s research is ongoing and must now endure a challenging political moment for the offshore wind sector. In addition to calling wind farms “garbage” and vowing to halt the construction of new turbines, President Trump has gutted the National Oceanic and Atmospheric Administration of staff and resources in recent months. Runde actively collaborates with NOAA scientists on this research, and his project itself is funded by the NOAA Northeast Fisheries Science Center.
When it comes to measuring the long-term benefits of these structures, Runde and his team use some of the same methods as their British counterparts: baited remote underwater video, which measures fish abundance, size, and diversity at the pilot turbines. The foundations they explore can reach depths of 120 feet below the water’s surface.
Black sea bass are already making homes out of these foundations. Runde said that one fish that was tagged at a Virginia wind foundation in February 2024 was still there seven months later when he returned.
“We know that, for many species of fish, this wind foundation is a really big deal,” said Runde.
The world needs to move away from fossil fuels to low-carbon power if we’re to reduce our carbon emissions and tackle climate change.
There are two key sources of low-carbon power: renewables (which include solar, wind, hydropower and others) and nuclear.
While rapid growth in solar and wind has increased the amount of power coming from renewables, a lack of enthusiasm for nuclear means it’s playing a shrinking role in the global electricity mix.
In the chart, you can see the share of global electricity coming from fossil fuels, renewables, and nuclear since 1985. Since 2000, nuclear and renewables have followed very different trajectories. Back then, both categories made up a similar share of global electricity, but today, renewables make up more than three times as much: 30% compared to 9%.
The total amount of electricity produced by nuclear plants is almost exactly the same as it was two decades ago. But because the world produces much more electricity overall, its share of the electricity mix has declined.
Explore the electricity mix of different countries in our Energy Data Explorer →
A simple principle has shaped Texas’ electricity system for the last two decades: Developers should build the types of power plants they think will compete best on the state’s open market.
As the cost of solar, wind, and grid batteries has plummeted in recent years, developers in the Lone Star State have increasingly opted to build clean energy projects — a whole lot of them. The state generated the most clean power in the nation last year, and solar and storage dominate new power capacity forecast to come online in 2025.
That principle — and Texas’ rapidly expanding clean energy industry — could be thrown out the window if a bill that recently passed the state Senate becomes law, Julian Spector reports for Canary Media. The legislation would require 50% of new power plant capacity in the state to be“sourced from dispatchable generation other than battery energy storage,” penalizing solar and wind power, which pair best with batteries.
An earlier iteration of SB 388 explicitly called for half of new power plants to “use natural gas,” and though the bill text no longer says that, the outcome would be the same: Gas would be the key beneficiary.
But developers aren’t exactly lining up to build gas plants. It can take years to source the specialized parts needed to get gas power plants built and running, while solar panels and batteries are mass-produced and can be installed far more quickly and cheaply. In fact, back in 2023 Texas created a $5 billion fund to issue low-interest loans to companies building gas power plants — but last month a developer that had applied for loans for two such projects withdrew them due to “equipment procurement constraints.”
An SB 388–driven slowdown of renewable deployment would meanwhile pose reliability challenges for the state, which famously suffered major blackouts in 2021 in large part because of challenges in the gas system. Since then, solar and batteries have repeatedly helped the state avoid weather-related outages. And with data centers, cryptocurrency mining operations, and new manufacturing all slated to boost Texas’ energy demand, the state is going to need more cheap, fast, clean power — not less.
Put reliability over politics, power grid leaders say
Leaders of the country’s seven power operating systems told Congress on Tuesday that it should prioritize reliability over politics as it considers the future of the U.S. energy system. Electricity demand is set to rise dramatically as more data centers and other power-hungry facilities come online and people adopt EVs and electric appliances. Pitting clean energy against fossil fuels will only lead to power shortages and higher prices, the executives said.
New England in particular faces a “serious challenge” if political battles over clean energy continue, the head of its grid operator said. The region is counting on offshore wind to meet growing demand, but President Donald Trump’s attacks on the industry throw that future into uncertainty.
Hyundai brings ‘low-carbon’ steel, EV manufacturing to the U.S.
Hyundai Motor Group announced a $21 billion investment on Monday that will amp up its U.S. manufacturing presence. Nearly $6 billion will go toward a “low-carbon” steel plant in Louisiana that will supply the company’s Alabama and Georgia auto factories, Alexander C. Kaufman reports for Canary Media. The low-carbon claim comes from Hyundai’s plans to use an electric arc furnace. But it’s only a small step toward greener steel, one environmental advocate told Canary, since Hyundai will likely still use fossil gas in its process.
Also this week, Hyundai opened a giant plant outside of Savannah, Georgia, where it’ll manufacture its increasingly popular Ioniq EVs.
Renewables on the rise: Wind, solar, and other renewables were installed at an astonishing pace last year — but energy emissions still increased as demand for electricity soared. (Canary Media)
Tesla’s global challenges: Tesla faces more setbacks as Chinese EV firm BYD reports 2024 revenue that exceeds the U.S. company’s, and as its market share continues to fall in Europe. (CNN, Reuters)
Energy dominance?: Energy executives express deep concerns about the oil and gas sector’s outlook in a new Dallas Fed survey, pointing to President Trump’s trade and tariff policies as headwinds that will drive up drilling costs. (Reuters)
Building to decarbonization: A new report details the many ways buildings must decarbonize — from the materials they’re built with to how they’re powered and heated — and the massive amount of coordination it’ll take to make that happen. (Canary Media)
Recycling revolution: The need for metals and minerals for the clean energy transition poses a huge environmental toll, but the U.S. can combat that by accelerating recycling, which has stalled in comparison to some other countries. (Grist)
Coal’s comeback: The Trump administration rolls back coal plant regulations as utilities move to extend the life of facilities to meet an anticipated spike in power demand from tech companies, though critics warn hopes of a coal comeback are “wishful thinking.” (Washington Post)
Get-out-of-pollution-free card: The U.S. Environmental Protection Agency says it will no longer “shut down any stage of energy production” that doesn’t pose an imminent health threat, a move a former Biden EPA official says amounts to the agency telling companies, especially those selling fossil fuels, that it will let them break the law. (New York Times)
Fossil-fueled feedback loop: Hotter weather is driving increased fossil-fuel use as it spurs people to run air conditioners more often, creating a vicious cycle of climate change, the International Energy Agency finds. (New York Times)
Two opposing forces are tugging at the global energy transition: the inexorable rise of clean energy and the insatiable demand for electricity.
Last year, over 700 gigawatts of clean energy capacity were installed worldwide, per a March International Energy Agency report. That’s more than double the amount built in 2022.
Despite the blistering growth of carbon-free power, global emissions from the power sector rose by 1.7%.
Renewable resources produced 32% of the world’s electricity last year. That’s just shy of coal’s share of 35%. Taken together with nuclear power, carbon-free sources met over 40% of global electricity demand in 2024 — a record high.
The reason clean energy is producing more power than ever is simple: The world is building staggering amounts of new clean capacity. Most of this is happening in China, and the vast majority of what’s being built is solar power. In 2024 alone, 553 GW of solar panels were installed worldwide; the sun-powered resource is growing so fast that it keeps forcing industry analysts to revise their forecasts upward.
So, why aren’t power-sector emissions falling? Because global electricity use is surging.
Power demand rose by 4.3% last year, per the IEA, nearly double the average annual growth rate over the past decade. And while clean energy’s slice of the electricity production pie is bigger than ever, the overall pie itself is growing. The net effect: Power plants ultimately burned through 1% more coal, gas, and oil last year than they did in 2023, even though the global share of electricity produced by fossil fuels actually declined.
Air conditioning was a key driver of this uptick in demand, thanks to a devastating feedback loop: As emissions from burning fossil fuels push global temperatures to record heights, people use more AC — in turn creating more demand for electricity that is still produced using mostly fossil fuels. Data centers and other industrial customers are also boosting demand.
The only way to meet the urgent need for more power and bring down emissions at the same time is to build clean energy — solar, wind, batteries, or hydropower and nuclear — faster than even last year’s record-setting pace.
This story was updated on March 28 with details about global power sector emissions in 2024.
Evanston, Illinois, just passed an ordinance requiring the city’s largest buildings to eliminate all fossil fuels and use 100% renewable electricity by 2050.
On March 10, the Chicago suburb joined 14 other state and local governments across the U.S. that have enacted policies to decarbonize existing buildings, which often account for the bulk of a city’s carbon emissions. Evanston’s Healthy Buildings Ordinance marks the first such law — known as a building performance standard — to pass in the U.S. this year and the second to be adopted in the Midwest after St. Louis.
More could be on the way soon. Evanston is part of a wave of small cities that have recently passed building performance standards, including Newton, Massachusetts, in December. Another city outside Boston and two in California are also working on adopting standards this year, according to the Institute for Market Transformation, a nonprofit that helps state and local governments implement building efficiency policies.
Under the Trump administration, local leadership is “the only front on which the climate action battle will be fought,” said Jonathan Nieuwsma, an Evanston city council member and key sponsor of the law.
For cities that want to continue climate progress, regulating large, existing buildings is one of the best avenues available, said Cara Pratt, Evanston’s sustainability and resilience manager. Besides targeting local emissions sources, performance standards spur more proactive maintenance to ensure cities are “providing the healthiest indoor air environment possible for the folks who live and work in these buildings.”
The city of Evanston, home to around 75,000 residents, committed to reaching net-zero emissions by 2050 under a 2018 climate action plan. Buildings are key to reaching that target: The city’s 500 largest structures alone account for roughly half of total emissions, and the sector overall accounts for about 80%. While the city has adopted building codes to rein in emissions from new construction, existing buildings aren’t subject to equivalent rules to make sure routine upgrades of systems like heating and cooling happen in line with Evanston’s climate goals.
The new law fills in that gap by requiring the city’s biggest commercial, multifamily, and government buildings to reduce their energy-use intensity, achieve zero on-site fossil fuel combustion, and procure 100% renewable electricity by 2050. But the ordinance itself does little aside from setting up long-term goals. Instead, it creates two groups charged with developing the detailed rules needed to actually implement the law.
One is a technical committee that will develop interim targets covering five-year intervals between 2030 and 2050, along with other regulations like compliance pathways and penalties. The other will serve as a community accountability board to ensure the policy’s design and implementation incorporates equity concerns, including by minimizing costs to low-income residents and tenants and providing support to less-resourced buildings such as schools or affordable housing.
Like other building performance standards across the country, Evanston’s policy will set limits on emissions or energy efficiency without mandating how property owners should reach those targets. Buildings can typically choose from a menu of compliance options, from weatherization and efficiency upgrades to installing heat pumps and other electric alternatives.
Nieuwsma describes Evanston’s law as “an enabling ordinance” that “sets up a process for those very important details to be developed with robust stakeholder input.” Once both committees agree on regulations, they will need to be approved by the City Council. Nieuwsma and other officials expect the city to adopt rules sometime next year.
Evanston’s policy is unusual in baking in a high level of formal input from property owners. Three out of six seats on the technical committee will be nominated directly by local building owners associations, an amendment made after several City Council deliberations. (The rest of the members of both committees will be nominated by the mayor.)
The setup is designed to address property owners’ cost concerns and could help Evanston avoid industry pushback that has stymied similar laws in places like Colorado, which currently faces a lawsuit brought by apartment and hotel trade associations against its policy.
Building performance standards are still relatively novel. The first one in the U.S. was introduced in Washington, D.C., in 2018, followed by New York City’s Local Law 97 in 2019. Four states — Colorado, Maryland, Oregon, and Washington — and 11 local governments, including Evanston, have now adopted the policy. More than 30 other jurisdictions have committed to introducing the standards as part of a national coalition that was led by the White House under the Biden administration and is now spearheaded by the Institute for Market Transformation.
Last year, the Biden administration doled out hundreds of millions of federal dollars under the Inflation Reduction Act to cities and states pursuing building performance standards. Evanston was one of them and received a $10.4 million conditional award from the Department of Energy in early January.
But since Inauguration Day, the Trump administration has attempted to freeze and claw back climate funding to nonprofits and local governments. Pratt said the federal government has not told the city that it will withdraw its grant, but Evanston has also not received word on whether the funding will be finalized.
The city had intended to use the grant to hire additional staff and support energy audits for resource-constrained buildings like public schools, Pratt said. Yet regardless of whether the city receives the money, the work to reduce emissions from large buildings will continue, she said, adding that Evanston committed to adopting a building performance standard a few years ago without the promise of federal funding. “To me, it was always a huge positive addition. But it’s not necessary to do the work.”
Jessica Miller from the Institute for Market Transformation, who served on a committee that helped the city develop its ordinance, pointed out that the country’s first building performance standards were passed during the first Trump administration. “There are many jurisdictions that have passed these types of policies without federal support,” she said.
Another proposed energy-saving program is on the chopping block in Ohio.
Duke Energy Ohio quietly dropped plans late last year to roll out a broad portfolio of programs that would have boosted energy efficiency and encouraged customers to use less electricity during times of peak demand. The plans, which would have saved ratepayers nearly $126 million over three years after deductions for costs, were part of a regulatory filing last April that sought to increase charges on customers’ electric bills.
The move came after settlement talks with other stakeholders, including the state’s consumer advocate, which opposes collecting ratepayer money to provide the programs to people who aren’t in low-income groups.
State regulators are now weighing whether to approve the settlement with a much smaller efficiency program focused on low-income neighborhoods.
The case is the latest chapter in a struggle to restore utility-run programs for energy efficiency after House Bill 6, the 2019 nuclear and coal bailout law that also gutted the state’s renewable energy standards and eliminated requirements for utilities to help customers save energy.
Studies show that utility-run energy-efficiency programs are among the cheapest ways to meet growing electricity needs and cut greenhouse gas emissions. Lower demand means fossil-fuel power plants can run less often. Less wasted energy translates into lower bills for customers who take advantage of efficiency programs. Even customers who don’t directly participate benefit because the programs lower peak demand when power costs the most.
Energy efficiency can also put downward pressure on capacity prices — amounts paid by grid operators to electricity producers to make sure enough generation will be available for future needs. Due to high projected demand compared to available generation, capacity prices for most of the PJM region, including Ohio, will jump ninefold in June to about $270 per megawatt-day.
“At a time when PJM is saying we’re facing capacity shortages, we should be doing everything we can to reduce demand,” said Rob Kelter, a senior attorney for the Environmental Law & Policy Center.
Since 2019, the Public Utilities Commission of Ohio has generally rejected utility efforts to offer widely available, ratepayer-funded programs for energy efficiency. Legislative efforts to clarify that such programs are allowed under Ohio law have been introduced but failed to pass.
In the current case, Duke Energy Ohio, which serves about 750,000 customers in southwestern Ohio, proposed a portfolio of efficiency offerings that would have cost ratepayers about $75 million over the course of three years but created net savings of nearly $126 million over the same period.
The package included energy-efficient appliance rebates, incentives for off-peak energy use, education programs for schools, and home energy assessments. The company also proposed incentives for customers who let it curtail air conditioning on hot days through smart thermostats.
In November, Duke Energy Ohio filed a proposed settlement with the PUCO staff, the Office of the Ohio Consumers’ Counsel, industry groups, and others. The terms drop all the programs for energy efficiency, except for one geared toward low-income consumers at a cost of up to $2.4 million per year. The Environmental Law & Policy Center and Ohio Environmental Council objected, as did a consumer group, the Citizens Utility Board of Ohio.
The PUCO will decide whether to approve the settlement plan by evaluating whether it benefits ratepayers and the public interest, whether it is the result of “serious bargaining” among knowledgable parties, and whether it violates any important regulatory principles or practices. Witnesses testified for and against the settlement at a hearing in January. Parties filed briefs in February and March.
Duke Energy Ohio argued in its brief that the settlement will still benefit customers and serve the public interest, even without the energy-efficiency programs for consumers who aren’t low-income. It also suggested that cutting out most of the energy-efficiency measures was needed to reach a deal with other stakeholders and the PUCO.
Staff at the PUCO said the settlement would benefit customers by cutting some projects and limiting how high other charges could go. They dismissed objections about dropping broadly available programs for energy efficiency. “[T]he standard is whether ratepayers benefit, not whether they could have benefitted more,” state lawyers wrote in their brief.
The Environmental Law & Policy Center, Ohio Environmental Council, and Citizens Utility Board of Ohio all argued there is no evidence to support dropping the energy-efficiency programs. They questioned the approach by a Consumers’ Counsel witness of counting only avoided rider costs as benefits, without considering the projected savings from energy efficiency.
The Consumers’ Counsel defended its perspective in an email to Canary Media. “We oppose subsidizing energy efficiency programs through utility rates when those products and services are already available in the competitive marketplace,” the office’s statement said. “And when the programs are run by the utility, there are added charges to consumers, such as shared savings and lost distribution revenue.” The statement also noted that other PUCO decisions have refused to allow energy-efficiency programs that would serve groups other than low-income households.
Last year, for example, the PUCO allowed FirstEnergy to run a low-income energy-efficiency program but turned down its proposal to include generally available rebates in a rider package. Those are “better suited for the competitive market, where both residential and non-residential customers will be able to obtain products and services to meet their individual needs,” the commission’s opinion said. The commission did, however, say the company should develop a rebate program for smart thermostats to help customers manage their energy use. FirstEnergy included that in its latest rider plan filed on Jan. 31.
Ohio has been particularly devoid of programs like those dropped in Duke’s settlement since HB 6 took effect, said Trent Dougherty, a lawyer for the Citizens Utility Board of Ohio. Calculations as of 2019 estimated the law’s gutting of the state’s energy-efficiency standard costs each consumer savings of nearly $10 per month.
“Continuing a pattern of wish-casting, that the market will provide the savings that HB 6 took away, is not a solution,” Dougherty said.
Airplanes. Power plants. Cars and trucks. Their images might be the first to spring to mind when thinking about the challenge posed by the energy transition.
But what about plain old buildings?
From their structural bones to the energy they constantly consume, buildings account for a staggering one-third of global carbon pollution: 12.3 gigatons of CO2 in 2022.
Most of these emissions come from their operations — the fuel burned on-site for heating and cooking and off-site to produce their electricity. But 2.6 gigatons of CO2 annually, or 7% of global emissions, stems from the carbon baked into the physical structures themselves, including the methods and materials to build them, otherwise known as embodied carbon.
A February report lays out a blueprint for tackling each of these sources of CO2 and cleaning up buildings globally by 2050. The challenge is massive: It depends on the actions of millions of building owners. But the policy and technology tools already exist to meet it, according to report publisher Energy Transitions Commission, an international think tank encompassing dozens of companies and nonprofits, including energy producers, energy-intensive industries, technology providers, finance firms, and environmental organizations.
The report identifies several key levers that must all be pulled in order to deal with the climate problems from buildings: energy efficiency, electrification, flexible power use, and design that minimizes materials and uses cleaner ones. Each is showing varying degrees of progress around the world.
“We already have so many of the solutions that we need,” said Adair Turner, chair of the Energy Transitions Commission, at a panel discussion last month. But to implement them, “we need to change minds and practices.”
Building developers and owners can pursue a variety of strategies to make their buildings less energy-intensive and cheaper to operate without sacrificing the comfort of their residents, according to the report.
They can seal air leaks; insulate attics, walls, and floors; and install double- or triple-pane windows to make buildings snug like beer cozies. Weatherization strategies that take a medium level of effort would cut 10% to 30% of energy use, according to the report; deeper changes could slash up to 60%.
For retrofits, online tools and in-person energy audits can help owners decide which changes make the biggest difference for the climate, their comfort, and their energy bills.
Other simple techniques can combat growing demand for cooling, which globally is set to more than double by 2050 due to rising temperatures and incomes, the report notes. Passive approaches that deflect the sun’s rays, from painting roofs white to planting shade-giving trees, can slash cooling needs by 25% to 40% on average.
Efficiency measures “deliver a clear return to households over time,” said Hannah Audino, building decarbonization lead at the commission.
But because the payoffs can be slow to materialize, governments should provide targeted financing to lower-income households that might not otherwise be able to afford these upgrades, she added.
There’s also the challenge of convincing landlords to invest in efficiency measures even though tenants often pay for utility bills themselves. To ensure broad uptake, the authors recommend policymakers implement building performance standards, an approach adopted by U.S. cities like New York and St. Louis to penalize building owners who fail to meet certain emissions or energy-use benchmarks.
For new builds, energy codes and other regulated standards can set a performance floor. They differ widely worldwide, but the Passive House approach is “the gold standard,” per the report. Buildings that meet its benchmarks typically slash energy use by a whopping 50% to 70% compared to conventional constructions.
What’s more, new buildings that use 20% less energy than those built merely to code usually have a “very manageable” premium of 1% to 5%, the authors write, which can be recouped in a higher sale price for developers or lower bills for owners.
Connecting buildings via underground thermal energy networks in which they share heat can also unlock big efficiency gains — and do it faster and at bigger scales than individual action might. The report notes that they “should be deployed where possible.”
Buildings will need to be fully electrified to become climate friendly. That means swapping fossil-fuel–fired equipment for über-efficient heat pumps (including the geothermal kind), heat-pump water heaters, heat-pump clothes dryers, and induction stoves.
Heat pumps are essential to decarbonize heating, which is the biggest source of operational emissions and currently only 15% electrified worldwide, according to the report. The appliances are routinely two to three times as efficient as gas equipment, and they lower emissions even when powered by grids not yet 100% clean.
Heat pumps can come at a premium, though the authors expect prices to fall as sales grow and installers gain experience. In countries with mature markets, heat pumps can even be cheaper than gas heating systems, according to the report: Take Denmark, Japan, Poland, and Sweden.
For most homes in the U.S. and many in Europe, per the report, heat pumps are cheaper to run than gas equipment and have lower total lifetime costs. Heat pumps make even more economic sense when consumers are considering installing an AC and a gas furnace; heat pumps are both in one.
These appliances also keep getting better. Manufacturers learn how to improve technologies with experience, as they have done with solar panels and wind turbines. The result is that heat pumps are becoming more efficient; getting smaller; and reaching higher temperatures as they transition to natural refrigerants (which also have lower global warming potentials), the authors write.
But policymakers need to address energy costs to encourage widespread electrification, according to the report. Countries with high electricity prices relative to those of gas lag in heat pump adoption.
Fixes include shifting environmental levies that are currently disproportionately piled onto electricity bills to gas costs, offering lower electricity rates for customers with electric heating, and putting a price on carbon, the report says. Banning gas equipment would be the most direct move, but “only a handful of countries, such as the Netherlands, have successfully outlined plans” to do so.
Buildings will need more power when they’re all-electric, potentially straining grids. Unchecked, global electricity demand for buildings by 2050 could grow 2.5 times what it is today, per the report. But with efficiency improvements, the commission expects electricity requirements to grow a more modest 45%.
That’s still massive. So, to decarbonize buildings without breaking the grid, we’ll need to make them flexible in their electricity demand, the authors note. By using power when it’s cheap, clean, and abundant, these edifices will also be more affordable than they’d be otherwise.
Low-cost smart thermostats and sensors can reduce demand by 15% to 30% and shift energy use automatically when prices drop. In some places, commercial building owners can already reap tens of thousands of dollars in annual savings by dialing down energy use when grid demand is highest.
The report recommends that all buildings aim to have the ability to shift when they actively heat or cool by two to four hours without compromising comfort. That’s doable with existing solutions that provide thermal inertia, including insulation and tank water heaters that can store hot water for when it’s needed.
Utilities and regulators can spur more flexible demand by implementing electricity rates or utility tariffs that reward customers for using power outside of peak periods.
“When the wind is blowing and the sun is shining, and we’ve arguably got an abundance of clean power on the grid, prices often go negative,” Audino said. Tariffs can reflect that reality, creating a clear financial incentive for households and others to shift their power usage. Without these more dynamic tariffs, “it’s really hard to see how we can drive this [shift] at scale.”
Building floor area globally is expected to grow by over 50% by 2050, according to the report. If structures are built with the same techniques as today, cumulative embodied carbon emissions could soar an additional 75 gigatons of CO2 between now and midcentury.
But that amount could be reduced to about 30 gigatons of CO2 by maximizing the utility of buildings that already exist, decarbonizing building materials, and designing new ones differently.
Using existing structures is “the biggest opportunity” for reducing embodied carbon, per the report: The strategy avoids adding any new embodied emissions at all. But it’s harder to implement this tactic than it is to change building techniques, the authors add.
Producing materials drives up-front emissions, and the biggest contributors are cement, concrete, and steel, the report notes: They account for 95% of the embodied carbon from materials in buildings.
Low- and zero-carbon cement, concrete, and steel can be made using electricity, alternative fuels, exotic chemistries (including ones inspired by corals), and carbon capture with storage. But developers need incentives to buy these clean materials, which aren’t yet widely available or competitive on cost alone.
A complementary approach is to design buildings with less of the emitting stuff. For the same floor space, a mid-rise structure uses less material than a high-rise, which needs a larger foundation and bigger columns. A boxy building is more efficient than an irregular one.
Developers can moreover supplement construction with alternative, lower-carbon materials, per the report. These include recycled materials, sustainably sourced timber, bamboo, rammed earth, and “hempcrete” — a low-strength, lightweight mixture of hemp, lime, and water that actually absorbs carbon.
Embodied carbon has been particularly challenging to curb because it’s largely invisible. In 2021, London regulators decided to change that, requiring major developers to tally all the carbon emissions, operational and embodied, over the building’s lifetime while still in the planning stage, the authors write.
Developers weren’t required to stay below any carbon-intensity threshold; they just had to report expected emissions, said Stephen Hill, associate director in the buildings sustainability team at firm Arup, a member of the Energy Transitions Commission.
“But it triggered a kind of race downwards in terms of embodied-carbon intensity for developers, all of whom wanted to have the lowest-carbon developments,” he added. “It’s a fascinating example of what transparency will do and how the market behaves.”
Stephen Richardson, senior impact director at the nonprofit World Green Building Council, emphasized at the commission’s panel event that to decarbonize buildings, governments need to do two things at once. “We need to incentivize, on the one hand, make it financially more appealing,” he said. And “we need to mandate.”
Large parts of Asia, most of Africa and South America, and even some U.S. states lack mandatory building codes, the report notes. And that’s the “absolute, No. 1” policy that needs to be in place, Richardson said. “Without policy, nothing happens — or very little.”
Hyundai Motor Group unveiled plans Monday for a $6 billion steel plant in Louisiana to provide the metal needed for its auto factories in Alabama and Georgia. The announcement came as part of a broader $21 billion investment into U.S. manufacturing facilities including EV factories.
Unlike much of the Midwestern, coal-based steel production that supplies the domestic automotive industry, the Hyundai Steel plant in Ascension Parish, roughly an hour west of New Orleans in the heart of the Bayou State’s so-called Cancer Alley, proposes to use an electric arc furnace. This technology is increasingly popular in the U.S. and around the world, and if powered by clean electricity it can produce steel without emitting nearly any CO2.
But electric arc furnaces can’t refine raw iron to produce “primary steel” — they rely instead on recycled scrap metal. Rather than using coal to turn iron ore into the precursor for making steel, Hyundai’s newly announced plant will likely use natural gas in the direct reduced iron (DRI) process, industry analysts say.
“Is this a step toward sustainable, green steel? Maybe not so much,” said Matthew Groch, senior director of decarbonization at the environmental group Mighty Earth. “But is it a step away from blast furnaces? Yes, which is the beginning part of transitioning the primary steel industry to low-carbon production.”
At peak capacity, Hyundai said the plant will produce 2.7 million tons of steel each year, including “low-carbon steel sheets using the abundant supply of steel scrap in the U.S.” The factory, on which construction is expected to begin later next year, will create upward of 1,300 jobs.
Hyundai made no mention of the DRI process in its press release, and a spokesperson declined to comment beyond what was in the official statement. But experts tracking the project have long expected the plant to use DRI, and an article in a Korean newspaper noted that it includes DRI. The 3.6 million tons of iron ore the Louisiana government said the plant would import each year will also need to be processed somehow, since the announced electric arc furnace won’t do the trick.
DRI with natural gas can cut carbon emissions in half compared to a coal blast furnace. Though the technology is catching on worldwide, it’s still eclipsed by traditional blast furnaces: DRI facilities accounted for about 36% of iron-making capacity under development, per a Global Energy Monitor report released last summer, but just 9% of operational capacity.
To truly produce low-carbon steel, however, the Hyundai facility would need to fuel its DRI process with green hydrogen — the version of the fuel made with completely carbon-free electricity — instead of gas, said Hilary Lewis, the steel director at climate advocacy nonprofit Industrious Labs.
As long as the Trump administration retains the 45V tax credits created by the Inflation Reduction Act, the price difference between DRI using gas and green hydrogen would be manageable. Gas-powered DRI yields steel at a levelized price of about $800 per ton, according to calculations by clean energy think tank RMI. Green hydrogen would raise the price to about $964 per ton.
Since the typical passenger car uses about one ton of steel, switching to green hydrogen instead of gas would raise the cost of manufacturing a car by less than one month of an average auto insurance payment.
“Hyundai has the opportunity to build the first truly clean iron and steel facility in the U.S.,” Lewis said. “I don’t think they should miss that opportunity. There’s still time.”
One challenge, however, is that there is little to no green hydrogen supply available in the U.S. today. Producers have struggled to get off the ground as federal policies to support production have failed to spur demand from potential customers. Earlier this year steelmaker SSAB canceled what would have been the first hydrogen-based DRI project in the U.S. after its supply partner Hy Stor Energy ran into “a series of headwinds” in the green hydrogen market.
How easily Hyundai’s plant could be retrofitted to use green hydrogen later depends on which of the two major manufacturers of DRI equipment the company ends up choosing if it goes this route.
North Carolina–based Midrex Technologies dominates the market, and its equipment would require some relatively inexpensive tweaks to use hydrogen rather than gas, Lewis said. The other major manufacturer, Tenova HYL — owned by the Buenos Aires–based Techint, with technology jointly developed with Italy’s steel giant Danieli — requires virtually zero changes to swap hydrogen for gas.
Just three existing steel plants in the U.S. use gas-powered DRI: a Cleveland-Cliffs facility in Ohio, ArcelorMittal’s Texas hub, and a Nucor production site in Louisiana. Cleveland-Cliffs is also planning to build a new DRI plant using money awarded under the Biden administration and gradually mix hydrogen in with gas as the cleanly produced version of the fuel becomes more widely available.
The fate of that project’s federal funding, and of the $6 billion the previous administration earmarked for industrial decarbonization projects in general, remains unclear as President Donald Trump has kept most Biden-era climate funding frozen.
The Seoul-based Hyundai — now the world’s third-largest automaker by sales — said the steel would supply its efforts to ramp up stateside production to 1.2 million vehicles per year. Hyundai Motor Group also owns Kia and Genesis Motor, and the combined EV sales make the conglomerate one of the biggest EV manufacturers in the country. Still, the company ranked 10th out of 18 automakers in the Lead The Charge scorecard, which examines efforts by car companies to reduce fossil fuel usage. Hyundai’s new Savannah, Georgia-based factory began churning out electric SUVs last fall.
Alongside the steel announcement, the company released plans to invest a total of nearly $15 billion in EVs, robotics, self-driving cars, renewables, and nuclear power infrastructure in the U.S.
“Hyundai will be producing steel in America and making cars in America,” Trump said at a press conference at the White House announcing the deal. He credited his recent tariff program as the main driver of the investment, though Hyundai Chairman Chung Eui-sun said at the event that the company had been working to expand its U.S. supply chain since Trump’s first term in office.
“Get ready,” Trump said. “This investment is a clear demonstration that tariffs very strongly work.”
Five years ago, San Francisco–based startup Span debuted a smartphone-controllable electrical panel that allows homeowners to manage their solar panels, backup batteries, EV chargers, HVAC systems, and other major household appliances in real time. It was a high-end product for a high-end market.
But as more households purchase EVs, heat pumps, induction stoves, and other power-hungry devices, the demand for cheaper ways to control their electricity use is growing — not just from homeowners trying to avoid expensive electrical upgrades but utilities struggling to keep up with rising power demand, too.
Enter the Span Edge, unveiled at the Distributech utility trade show in Dallas this week. The device packs the startup’s core technology into a package that can be installed in about 15 minutes and plugged into an adapter that connects to a utility electric meter.
Span’s other products are targeted at homeowners; electrical contractors; and solar, battery, and EV charging installers. But the Span Edge, which requires a utility worker to install, is “expanding way beyond a homeowner or installer-led adoption of the product, to becoming part of the utility infrastructure,” said CEO Arch Rao.
That makes it one of a growing number of tools for utilities to manage the solar, batteries, EVs, controllable appliances, and other distributed energy resources that they must increasingly plan around.
If utilities manage these resources reactively, they could drive up the cost and complexity of managing the grid. But if utilities can get better information about when and how these devices use power — and if some customers are willing to adjust them sometimes to reduce grid stress — they could actually save ratepayers a lot of money.
That’s what Span’s new technology aims to allow. The company’s “dynamic service rating” control scheme can throttle or shift power use between household electrical loads, based on a homeowner’s preset or real-time priorities. That helps ensure total draw on the utility grid stays below a home’s top electrical service capacity, which typically ranges between 100 and 200 amps.
Households that want to exceed the limit of their electrical panel are often forced to upgrade to a larger one. Depending on where you live, that can cost from $3,000 to $10,000 and add days to weeks of extra time to a project, like installing an EV charger. If a utility determines a home’s new maximum power draw will trigger grid upgrades, the project could be even more expensive and take much longer to complete. In the worst case, that could kill households’ plans to do everything from switching to an EV to electrifying their heating and cooking.
It’s also expensive for utilities. “Where consumers are adding heat pumps and EV chargers, the existing solution has always been, ‘Let’s build more infrastructure — more poles and wires — to meet the maximum load,’” Rao said.
Installing a device like the Span Edge could well be a more cost-effective alternative, not just for the customers who get one but for customers as a whole. Utility rates are largely determined by dividing the amount of money earned from electricity sales by the amount of money utilities have to collect from customers to cover their costs. A big and rising portion of U.S. utility costs is tied up in upgrading and maintaining their power grids, including to meet rising demand for power from EVs and heat pumps. As a result, ratepayers in many parts of the country are seeing higher bills.
If devices like the Span Edge can cut those grid costs while allowing people to buy more electricity for EVs and heating, rates for everyone will drop over time, Rao said. While some utilities may balk at replacing profitable grid-upgrade investments with new technology, others that want customers to electrify to meet carbon-reduction mandates or to increase electricity sales may be eager to implement it, he argued.
Span’s smart electrical panel was among the first attempts to give the old-fashioned electrical panel a 21st-century makeover.
But similar products that also embed circuit-level controls are now available from major manufacturers, including Schneider Electric and Eaton; startups such as Lumin and Koben; and solar and battery vendors like FranklinWH, Lunar Energy, and Savant.
Utilities have been experimenting with such technologies for a while. Some plug directly into utilities’ existing electric meters, including the Span Edge, ConnectDER’s smart meter collar devices, or the Tesla backup switch.
Others are embedded elsewhere in a home’s electrical system, like the controls product startup Lunar Energy is developing using Eaton’s smart circuit breakers. Those digital, wirelessly connected breakers are “modular, interoperable, and retrofittable,” Paul Ryan, the company’s general manager of connected solutions and EV charging, told Canary Media in October. That’s helpful “as you add heat pumps and electric vehicle charging,” he said — and could be useful for utilities, a group of customers Eaton has worked with for many years.
The trick for all of these technologies is to combine the convenience and simplicity consumers demand with utility safety and reliability requirements, said Scott Hinson, chief technology officer of Austin, Texas–based nonprofit research organization Pecan Street.
In a 2021 report, Pecan Street estimated that about 48 million U.S. single-family homes with service below 200 amps might need to upgrade their electrical panels to support electric heating, cooking, and EV charging.
But not all of the technologies that allow customers and utilities to sidestep upgrades necessarily meet the needs of both parties, he said.
Take the smart-home platforms on offer from Amazon, Apple, Google, Samsung, and other tech vendors, which can control light bulbs, thermostats, ovens, refrigerators, and a growing roster of other devices. These systems rely on WiFi and broadband connections, and that’s not good enough to let households skip upgrading their electrical panels, Rao pointed out. The latest certifications for power control systems require fail-safes that work even when the internet is down, something Span’s products do by sensing overloads and shutting down circuits.
On the other hand, rudimentary on-off control switches are far from ideal, Hinson said.
“A lot of these devices don’t like to be controlled” by having their power cut off externally in such a rough-and-ready manner, he added. For example, abrupt power cutoffs trigger the “charging cord theft alert” feature in EVs like the Chevy Volt, which starts the car alarm until the owner shuts it off — not a pleasant experience for the EV owner or neighbors.
More importantly, Hinson said, a good system needs to control “large loads so they’re aware of each other,” he said. Homeowners want to control which appliances get shut off when the need arises, whether it’s their EV charger, clothes dryer, oven, or heating and cooling, he said. But to do that, “the car has to know what the electric oven is doing, which has to know what the heater is doing.”
Span’s devices have two ways to do this, Rao said. Because they contain the connection points for power to flow through circuit breakers to a home’s electrical wiring, the devices can directly measure how much power household loads are using — and cut them off completely in an emergency.
At the same time, Span uses WiFi or other technologies to communicate with “smart” heat pumps, water heaters, EV chargers, and other devices, he said. That allows households to control the power that devices get on a more granular scale as well as collect information beyond how much power they’re using, such as when an appliance is scheduled to turn back on or, for EVs, how quickly they need to be recharged to give the driver the juice they need to get to where they’re going next.
What’s important is that a system can provide both options, Rao contended. “If you only did on-off control, the customer experience is bad,” he said. “If you only did WiFi, you’re not safe enough for the grid.”
Having both visibility into and control over home electricity flows creates the groundwork for a more flexible approach to enlisting homes in utility virtual power plants, or VPPs. In simple terms, VPPs are aggregations of homes and businesses that agree to turn down power use or inject power onto the grid as utilities need, helping reduce reliance on large centralized power plants.
Most of the virtual power plants that exist today are organized around individual devices — smart thermostats that can reduce electricity demand from air conditioning, for example, or solar-battery systems that can send power back to the grid. Each of these technologies has its limitations, and utilities’ reliance on them is often constrained by a lack of precise data on how much power the grid is using or can offer at any particular time.
A system that tracks the energy use of multiple appliances and devices in a home could bring far more precision to these VPPs, Rao said. “That’s very different than the demand-response world, where you call a thermostat and say ‘I hope it responds to me.’”
Utilities certainly have a growing interest in using these kinds of devices. On Monday, Pacific Gas & Electric announced a new VPP pilot program that seeks to enlist customers willing to allow the utility to control their “residential distributed energy resources to reduce local grid constraints.”
PG&E is looking for up to 1,500 electric residential customers with battery energy storage systems and up to 400 customers with smart electric panels. Its partners include leading U.S. residential solar and battery installer Sunrun, which has done VPP pilots with the utility in the past, and Span, which will use its technology to allow homes to respond to utility signals.
Span has already tested this capability in a pilot project enlisting customers who’ve installed the company’s smart panels in Northern California, Rao said. The results so far are promising, although only a handful of households are taking part.
Getting utilities to deploy Span Edge devices could expand the scale of those kinds of programs, he said. Of course, households will have to agree that letting some of their electricity use get turned off or dialed down during hours of peak grid stress is worth avoiding the cost and wait times of upgrading their electrical service to get the EV charger or heat pump they want.
Span hasn’t revealed the cost of the Span Edge, which Rao said will soon be deployed in pilot projects with as-yet unnamed utilities. The company has a partnership with major smart-meter vendor Landis+Gyr, which is offering the Span Edge to its utility customers.
The question for utilities, regulators, and other stakeholders is whether the long-term payoff in avoided infrastructure upgrades is worth the cost of the technologies that must be deployed to make that possible. Those calculations will inform decisions such as whether customers getting the technologies should pay a portion of the price tag and how much profit utilities should be allowed to earn on the costs they bear in installing the tech.
PG&E’s chief grid architect, Christopher Moris, said the Span Edge device “is a potential solution which may be able to, at a reduced cost, enable customers to connect their EV and transition off of gas.” One of the utility’s biggest near-term challenges is helping customers install EV chargers, he noted. PG&E has more than 600,000 EVs in its service territory, almost certainly more than any other U.S. utility.
The company also faces customer and political backlash to its recent rate hikes, a problem driven by its need to carry out more and costlier power grid upgrades. While devices like the Span Edge could help address that problem, “we realize how new such a concept is for our customers,” Moris said.
“I’m very bullish on this new solution — but we don’t know what we don’t know,” he said. PG&E “will need to go through a customer discovery process to really understand their challenges more first, before definitely landing on the Span solution and, if so, what the end-to-end solution looks like.”
A clarification was made on March 26, 2025: An earlier version of this article implied that Lunar Energy and Eaton are co-developing a home energy controls product, and that Eaton is testing its AbleEdge circuit breakers for use by utilities. In fact, Lunar Energy is integrating Eaton’s AbleEdge smart breakers into Lunar Energy’s home energy controls platform, and while Eaton has worked with utilities in the past, it has yet to test its AbleEdge devices with utilities.
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