As the 2024 US presidential election approaches, the future of the Biden-Harris administration’s ambitious climate and energy regulations stands at a critical juncture. This election could significantly influence the direction of US energy policy and climate action. It can also potentially shape the nation’s environmental landscape for years to come.

Biden-Harris Administration’s Climate Legacy

The Biden administration has made significant strides in advancing climate and energy policies, with the Inflation Reduction Act (IRA) being a cornerstone of its strategy. Passed in August 2022, the IRA represents a historic $370 billion investment in clean energy and climate initiatives. This landmark legislation can incentivize clean energy production and reduce greenhouse gas (GHG) emissions across various sectors.

Key provisions of the IRA include:

Clean Energy Production Tax Credits: These credits aim to support the generation of renewable energy from sources like wind, solar, and geothermal.
Investment Tax Credits: These credits are available for investments in renewable energy infrastructure, encouraging the growth of clean energy technologies.
Federal Tax Credit for Electric Vehicles: The IRA offers a $7,500 tax credit for the purchase of new electric vehicles (EVs). The incentive’s goal is to promote the adoption of cleaner transportation options.

These tax credits are central to the Biden administration’s efforts to cut emissions from the electricity sector, transportation, and oil and gas industries. The administration has set ambitious emissions reduction goals, including reducing GHG emissions by 50-52% below 2005 levels by 2030. However, the path to achieving these goals has been fraught with challenges.

Chart from America Is All In website

Despite these efforts, many of the administration’s new regulations face significant legal scrutiny, including:

Carbon Capture Requirements: In April 2024, the Environmental Protection Agency (EPA) finalized a rule mandating 90% carbon capture at existing coal-fired power plants by 2032. This regulation aims to mitigate emissions from one of the largest sources of industrial pollution.
Fuel Economy Standards: In June 2024, the US Department of Transportation published final fuel economy standards that require new cars and light-duty trucks to achieve a fleetwide average of 50.4 miles per gallon (mpg) by 2031. This measure is intended to improve fuel efficiency and reduce emissions from the transportation sector.

These regulations are currently undergoing litigation, and their future remains uncertain. The administration has worked to finalize many of these rules before potential Congressional Review Act (CRA) deadlines, which could allow Congress to overturn recent regulations. However, these rules are still vulnerable to challenges in court, particularly from conservative judges.

Trump’s Deregulatory Agenda

Former President Donald Trump’s campaign is promising a significant shift in energy policy if he returns to office. Trump’s platform centers on a deregulatory approach to energy, focusing on “energy dominance” by supporting traditional fossil fuels such as coal, oil, and natural gas. 

Key aspects of Trump’s proposed agenda include:

Dismantling Biden-Era Regulations: Trump aims to roll back many of the climate regulations implemented by the Biden administration. This includes repealing emissions-cutting rules and undoing incentives for clean energy.
Re-Exit from the Paris Agreement: Trump has indicated a desire to withdraw the US from the Paris Agreement on climate change, reversing the Biden administration’s commitment to international climate goals.
Boosting Oil and Gas Leasing: Trump plans to expand oil and gas leasing on public lands and offshore areas, which could increase fossil fuel production and emissions.

Trump’s approach would likely involve issuing executive orders on his first day in office to reverse Biden-era climate policies. According to legal experts, this could include revoking environmental regulations related to carbon emissions, fuel economy, and clean energy. It may also involve restarting or accelerating fossil fuel projects, such as oil drilling in Alaska and expanding natural gas exports. 

Trump’s team has signaled that he would act swiftly to implement these changes. David Bernhardt, former Interior Secretary under Trump, has stated that:

“On Day One, President Trump will rescind every one of Joe Biden’s industry-killing, job-killing, pro-China and anti-American electricity regulations.”

The Impact on U.S. Emissions Reduction Goal

The statement aligns with recommendations in Project 2025, a 900-page deregulatory policy blueprint released by the conservative Heritage Foundation. The plan anticipates a future Republican administration and outlines strategies to dismantle current climate policies. Although Trump has tried to distance himself from the plan, its recommendations reflect his campaign’s direction.

Energy Innovation, a nonpartisan energy and climate policy firm, estimated that fully implementing Project 2025 would cause the US to fall 27% points short of its Paris Agreement goal. 

The latest update from S&P Global Commodity Insights’ North American Power Market Outlook Planning Case anticipates a 52% reduction in US power-sector carbon emissions from 2005 levels by 2030. This projection is driven by clean energy tax credits in the Inflation Reduction Act. However, the planning case does not factor in the EPA’s recently finalized GHG regulations, which face legal vulnerabilities.

Some Biden administration rules may be at risk of early Congressional Review Act disapproval if Republicans gain control of the White House and Congress. The Congressional Research Service estimates that rules finalized on or after August 1 could be subject to disapproval resolutions. 

Industry and Environmental Reactions

The energy sector is bracing for potential upheaval, with regulatory uncertainty high. Industry groups are preparing for the possibility of regulatory changes depending on the election outcome. 

Environmental advocates are also mobilizing to defend Biden-era policies if Trump wins. Chris Espinosa of Earthjustice has emphasized the commitment to defending progress on climate regulations against any rollback attempts. 

Remarkably, several climate-focused organizations have united to launch a $55 million advertising campaign in support of Vice President Kamala Harris. The coalition aims to highlight how green initiatives, championed by the Biden-Harris administration, offer long-term economic growth, job creation, and innovation opportunities.

The 2024 presidential election represents a crucial moment for US climate and energy policy. The outcome will determine whether the ambitious goals set by the Biden administration continue or if a shift towards deregulation and increased fossil fuel production takes place. 

READ MORE: Kamala Harris Surges Ahead of Trump on Climate and Energy Policies, Survey Shows

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Puro.earth, a leading platform specializing in durable carbon dioxide removal (CDR), has been approved as a qualified credit issuer for Frontier, a groundbreaking initiative created by Stripe, Alphabet, Shopify, Meta, McKinsey, and thousands of companies using Stripe Climate. 

Frontier, known for its commitment to accelerating permanent carbon removal technologies, has pledged to purchase over $1 billion in carbon removals by 2030. 

Pioneering Carbon Removal with Verified Credits

Puro.earth is the first issuer of carbon credits focused exclusively on engineered carbon removal. Founded in 2019, the Finland-based platform connects companies seeking to neutralize their carbon footprint with verified projects that remove carbon dioxide from the atmosphere.

Puro.earth’s approval signals the company’s adherence to the high standards required by Frontier, marking a significant milestone in the carbon removal sector. This qualification enables Puro.earth to issue carbon credits for suppliers within the Frontier ecosystem. This is contingent on the approval of the relevant measurement, reporting, and verification (MRV) methodologies. 

The platform’s CO2 Removal Certificates (CORCs), which ensure that carbon is stored for at least 100 years, will now be available to certify projects under Frontier’s umbrella. CORCs, which represent one metric ton of CO2 removed from the atmosphere, are verified removals that will be recorded in Puro.earth’s transparent registry. 

The CORCs are generated by verified carbon removal projects using engineered methods such as biochar production, direct air capture, and carbonated building materials. They provide a level of accountability and accessibility that encourages confidence in carbon offsetting efforts.

Puro.earth’s rigorous certification process ensures that each project meets high standards for permanence and scalability.

RELATED NEWS: Forging Trust for Carbon Removal: Carbonfuture and Puro.earth Collaborate to Scale CDR

As a certifier, Puro.earth provides third-party verification of carbon removal technologies, offering companies and investors assurance that their carbon offsets contribute to meaningful, long-lasting carbon reductions.

Since its launch, Puro.earth has issued over 180,000 CORCs from more than 40 certified projects globally. The marketplace has attracted major corporate buyers, including Microsoft, Swiss Re, and Shopify, which have purchased CORCs to meet their net-zero commitments. Puro.earth has become a key player in the carbon removal market by facilitating large-scale adoption of engineered solutions and establishing industry standards for carbon credit integrity. 

Catalyzing the Carbon Removal Market

The most recent partnership with Frontier marks another significant milestone for Puro.earth.

Puro.earth CEO Antti Vihavainen expressed enthusiasm for the partnership, highlighting its role as a pivotal force in carbon removal by providing capital to early-stage projects. Vihavainen emphasized the significance of Frontier’s transparent approach, saying that:

“Their initiative to publicly share progress and their offtake agreement template is instrumental in building market structure and encouraging other buyers. We’re proud to provide Puro’s framework for certifying durable carbon removals for use by Frontier suppliers.”

Frontier’s initiative plays a critical role in the global effort to combat climate change by funding and accelerating the deployment of carbon removal technologies. 

Frontier project map. Image from company website

Frontier, launched in 2022, is a mission-driven marketplace aimed at advancing the development of carbon removal technologies. Spearheaded by Stripe, along with partners like Alphabet, Shopify, Meta, and McKinsey, Frontier plays a critical role in driving large-scale investment and adoption of innovative solutions to remove carbon dioxide from the atmosphere. The company’s goal is to foster a robust and scalable carbon removal ecosystem to combat climate change.

In its first year, Frontier secured over $1 billion in commitments from corporate partners to fund the development of carbon removal technologies. Notable buyers like Stripe and Shopify have already committed significant funds, leading to contracts with companies such as Climeworks and Charm Industrial. By focusing on innovative and scalable carbon removal solutions, Frontier is positioning itself as a crucial catalyst for reaching net zero emissions.

To date, the initiative has contracted about $317 million involving various projects around the globe, with the following pathways:

From company website

Scaling Carbon Removal Solutions Together

Frontier operates by pooling funds from its member companies to pre-purchase carbon removal credits from cutting-edge projects. This pre-commitment of capital guarantees future revenue for carbon removal startups, enabling them to scale faster and bring costs down. Frontier focuses on high-potential technologies such as direct air capture, bio-oil sequestration, mineralization, and enhanced weathering.

As a key market maker, Frontier provides a streamlined pathway for companies to invest in reliable, verifiable carbon removal projects. By de-risking early-stage innovations and creating demand, Frontier accelerates the commercialization of carbon removal solutions that are critical for achieving global climate goals.

The initiative is designed to create demand for permanent carbon removal, pushing the development of solutions that go beyond carbon offsets and aim for long-term, verifiable climate impact. The partnership with Puro.earth offers Frontier suppliers access to rigorous certification processes that verify carbon removal projects, positioning both organizations at the forefront of climate action.

Their collaboration is set to drive the growth of the carbon removal industry, enabling new revenue streams and encouraging corporate buyers like Microsoft and Shopify to neutralize their emissions effectively.

READ MORE: Why Standards Matter: The CRSI’s Role in the Carbon Removal Boom

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The ongoing litigation over the US Securities and Exchange Commission’s (SEC) climate risk disclosure rule has attracted widespread attention from a broad range of stakeholders, from former SEC officials to institutional investors and advocacy groups, as key deadlines approach. This legal battle is pivotal in determining whether the SEC has the authority to mandate that publicly traded companies disclose specific climate-related risks, such as greenhouse gas emissions and the potential impacts of climate change.

The rule itself is part of the SEC’s broader push to ensure that companies report material risks to their investors, particularly those linked to climate change. The SEC’s justification for the rule is rooted in the notion that climate risks represent financial risks, and investors have a right to access this information in order to make informed decisions. However, the rule has sparked significant debate and has now led to a legal showdown.

RELEVANT NEWS: SEC Finalizes New Climate Disclosure Rule: Here’s What’s New

The Legal Tug-of-War Over Climate Risk Disclosures

As part of the litigation process, a slew of amicus briefs, or “friends of the court” filings, were submitted by various stakeholders ahead of the September 2024 deadline. These filings are critical to shaping the court’s understanding of the broader implications of the rule and its potential consequences.

Among the most notable filings is one by 25 legal scholars specializing in securities law, along with eight former SEC chairs, commissioners, and division directors, spanning both Democratic and Republican administrations.

In their joint brief, these legal experts argue that the climate disclosure rule is consistent with long-standing laws such as the Securities Act of 1933 and the Securities Exchange Act of 1934. These laws grant the SEC the authority to require disclosures deemed necessary to protect investors and serve the public interest.

The brief points out that the SEC has, for decades, mandated disclosures related to environmental issues without significant legal challenges. The scholars contend that climate risks fall squarely within the purview of financial risks that the SEC has historically regulated.

Given the material impact of climate change on certain industries, particularly energy, agriculture, and real estate, proponents of the rule argue that investors need standardized and reliable data to assess these risks.

Investor Support for the SEC Rule

Supporters of the SEC’s climate risk disclosure rule include institutional investors managing more than $2 trillion in assets. Major public pension systems in states like California and New York have voiced their support through a joint brief.

According to these investors, the lack of standardized and comparable climate-related data has long been a gap in financial reporting, hindering their ability to assess the true risks and opportunities associated with climate change. They also highlight that climate risk disclosures are increasingly necessary in a world where many companies are pursuing decarbonization strategies. 

With growing investor demand for transparent, decision-useful information on how companies are managing their climate-related risks, proponents argue that the SEC’s rule could help foster greater trust and efficiency in capital markets.

Opposition and Criticism

Despite the strong support from some quarters, the SEC’s climate disclosure rule has been met with fierce opposition from business groups, conservative advocacy organizations, and several states. The Business Roundtable, which represents over 200 major US companies, has been one of the most vocal opponents. 

In their brief, they argue that while good corporate governance includes addressing climate risks, the SEC is overreaching by mandating these disclosures. They contend that such decisions should be left to company boards, which are in the best position to determine whether climate-related risks are material to their business. They further argue that this requirement goes beyond the agency’s legal authority and could set a dangerous precedent.

Several conservative organizations and state officials have echoed these concerns, accusing the SEC of acting beyond its legislative mandate.

In a joint brief, critics argue that Congress has not authorized the SEC to regulate environmental matters and that by imposing this rule, the agency is stepping into the realm of environmental regulation, which should be reserved for other bodies, such as the Environmental Protection Agency (EPA). They assert that the SEC’s actions amount to an unlawful expansion of its authority and should be struck down.

The Broader Implications 

The outcome of this legal battle is likely to have far-reaching implications. It will not be just for the SEC but for the future of corporate governance and climate risk management in the United States. The case has also highlighted the broader trend of environmental, social, and governance (ESG) considerations becoming more central to business operations and investor decision-making.

A legal expert, Howard Sidman, noted that the volume of filings reflects the significance of the SEC’s proposal. He also pointed out that the rule would affect nearly all public companies, which explains the breadth of interest in the case. 

However, Sidman suggested that the impact of the litigation might be limited for multinational corporations. He observed that the European Union has already implemented stringent emissions disclosure requirements, which many global companies are preparing to comply with. This development positions the EU as a leading global regulator for sustainability-related disclosures, overshadowing the potential influence of the SEC’s rule.

What Comes Next?

The next major milestone in the litigation will occur on September 17, 2024, when the parties to the case file their briefs. Given the complexity of the case and the volume of filings, legal experts predict that it could take several months before a final ruling is issued.

In the meantime, the SEC has paused the implementation of its climate risk disclosure rule, citing regulatory uncertainty. Ultimately, the case will determine whether the SEC has the authority to compel companies to disclose climate-related risks and, by extension, whether investors will have access to the information they need to make informed decisions in an increasingly climate-conscious world.

READ MORE: US SEC’s Climate Disclosure Rules Spur Renewed Interest in Carbon Credits

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Direct Air Capture (DAC) is crucial in the fight against climate change and is identified as a key solution to remove up to 310 billion tons of CO₂ by 2100. However, this demands significant investment in this field. With this motive, two Irish companies, NEG8 Carbon and Carbon Collect have unlocked their innovative DAC technology to combat carbon emissions.

Unleashing NEG8 Carbon’s Advanced DAC Technology to Tackle Carbon Emissions

NEG8 Carbon, a leading carbon capture company in Waterford, Ireland, has introduced major upgrades to its Direct Air Capture (DAC) system. As the company believes that simply cutting emissions will not fully address the problem, their innovative enhancements are making CO₂ capture from the atmosphere more efficient and effective.

How Does It Work?

The advanced DAC system operates by pulling in large volumes of air and passing it over specially designed sorbent materials that attract and hold CO₂ molecules. Once captured, the CO₂ can be safely stored underground or transformed into climate-neutral products, like sustainable aviation fuel. This innovative DAC method reduces sorbent by 80%.

Furthermore, their blueprint DAC system speeds up the CO₂ capture process and cuts regeneration time by 90%. Additionally, an improved heat exchange process boosts CO₂ uptake by 50% and lowers energy use by more than 20%. All these upgrades make the system more efficient and eco-friendlier.

“Plug and play” CO2 capture units.

We discovered something interesting from NEG8’s official website. They have made DAC widely accessible through modular, ‘plug and play’ carbon capture units. These units can be deployed almost anywhere. They are an integral part of the company’s vision to roll out millions of devices globally, capturing billions of tons of CO₂ ten years down the line.

The existing NEG8 Carbon system is a compact and modular solution for capturing CO2. Each module captures up to 400 tons of CO2 annually. Additionally, multiple modules can be stacked together at a site to enhance capacity.

Notably, the company focuses on reducing the cost per ton of CO₂ captured with these groundbreaking modular systems.

Dr. John Breen, CTO of NEG8 Carbon, said,

“These innovations are making significant improvements to our Direct Air Capture technology. They enhance both efficiency and sustainability, reinforcing our dedication to providing effective solutions in the fight against climate change.”

How the NEG8 Carbon Technology Works

Moving on, NEG8 Carbon has a robust plan for its global climate targets. By the end of this year, the company plans to test its latest innovations in a demo unit, with full deployment set for 2026. By 2035 it aims to install 25,000 DAC units across Ireland, aiming to capture 10 mtCO₂ annually. These efforts will further push the company to capture 100 mtCO₂ annually by 2050, at a global scale.

LATEST: Altman-Backed Company Opens Biggest US Direct Air Capture Plant 

Carbon Collect Unveils Next-Gen Direct Air Capture Technology to Slash Costs

Carbon Collect, a leader in direct air capture (DAC) technology, has introduced its second-generation MechanicalTree, designed to capture CO2 directly from the atmosphere. This new system enhances the original design by increasing the amount of CO2 captured per unit of energy, thanks to advancements in sorbent materials and regeneration technology.

MechanicalTree, Mimicking Nature, Enhancing Efficiency

“The MechanicalTree is a thousand times more efficient than natural trees at removing CO2 from the atmosphere” – Carbon Collect

The MechanicalTree operates by simulating photosynthesis, but with engineered materials that absorb CO2 from the air more efficiently. The modular design allows clusters of these systems, known as “carbon farms,” to scale up “vertically” and capture significant amounts of CO2.

A milestone for the DAC industry

The MechanicalTree stands 10m tall and captures CO2 as it is exposed to natural wind. Once saturated, the column is lowered into a regeneration chamber where the CO2 is released and processed. This design is a significant advancement in reducing the high costs associated with conventional DAC, which can range from $250 to $600 per metric ton of CO2.

The company aims to bring this cost below $200 per ton by 2030, with the first installation of the Gen-II MechanicalTree expected by 2024 year-end. They expect commercial deployments beginning in 2025.

Pól Ó Móráin, CEO of Carbon Collect, emphasized that this innovation is a response to market demands and expert collaboration. He added that they are offering a solution that is more efficient, scalable, and cost-effective than anything before.

Early deployments are planned across the US, Europe, and other regions and will play a key role in the Southwest Regional Direct Air Capture Hub. Notably, their first industrial-scale MechanicalTree is already operational in Tempe, Arizona. All these scaling efforts are supported by the U.S. Department of Energy.

source: Carbon Collect

In conclusion, both NEG8 Carbon and Carbon Collect have set ambitious goals with their innovative direct air capture technology. Additionally, governments are playing a significant role in supporting this effort, as financial feasibility would otherwise be challenging. The US DOE and the EU have integrated DAC into their climate strategies, aiming for carbon neutrality by 2050.

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