Green Markets - September 18, 2024

Sep 18, 2024

Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.

The Biden administration released a new PFAS Strategic Plan focusing on research to better understand exposure, health risks, and removal technologies for PFAS chemicals. Meanwhile, the EPA extended its PFAS reporting deadline by eight months, now set for July 2025 to January 2026, due to delays in developing reporting software.
The European Commission has approved Poland's €1.2 billion aid scheme to support industries crucial for the net-zero transition, including batteries, solar panels, wind turbines, heat pumps, and carbon capture technologies. The scheme adheres to the State Aid Temporary Crisis and Transition Framework and is expected to be implemented by the end of 2025.

Honeywell and SAMSUNG E&A have announced a collaboration aimed at reducing carbon emissions from power plants through joint marketing of carbon capture technologies. The partnership will leverage Honeywell's advanced solvent carbon capture (ASCC) technology to help power plants meet environmental goals.
8 Rivers Capital has secured investment from JX Nippon Oil Exploration to advance its direct air capture (DAC) technology. This funding will support the transition from pilot testing to commercial deployment, including a major project called Project Cardinal, which is part of the U.S. Department of Energy’s Southeast DAC Hub.

Related Stock List(s): Carbon Capture Stocks

The Pennsylvania Senate has voted to repeal the state’s participation in the Regional Greenhouse Gas Initiative (RGGI), a program that charges power plants for carbon emissions. The regulation, which has faced court challenges and was deemed unconstitutional by the Commonwealth Court, has never been enforced. Democratic senators argue that RGGI is crucial for reducing climate pollution and supporting renewable energy, while opponents claim it threatens the state's electricity industry. Governor Josh Shapiro has proposed an alternative program called PACER, which would create a state-specific system for charging power plants, and has pledged to withdraw from RGGI if PACER is enacted.

The Integrity Council for Voluntary Carbon Markets (ICVCM) is set to decide in November whether REDD+ and cookstove carbon projects will be eligible for its Core Carbon Principles (CCP) label.
Meta has agreed to purchase up to 3.9 million carbon offset credits from BTG Pactual's forestry division in Latin America through 2038, as part of its efforts to reach net-zero emissions by 2030. The deal, which could be worth up to $16 million based on recent carbon credit pricing, includes an initial commitment to buy 1.3 million credits, with options for an additional 2.6 million.

Related Stock List(s): Carbon Credit Stocks

EDP Renewables North America has signed a long-term capacity tolling agreement with Dominion Energy to develop an 85MW/340MWh battery energy storage system (BESS) in Virginia. The project is expected to reach commercial operations by 2027.

McKinsey has reduced its 2050 hydrogen demand forecast by up to 25% due to rising costs and regulatory uncertainties. The report highlights increasing capital costs, slower technology progress, and higher expenses for renewable energy storage and electrolysis, which have driven green hydrogen production costs up by 20-40%. While hydrogen demand will still grow, particularly in traditional industries like chemicals and refining, it is expected to be lower than previously forecast in sectors such as road transport and buildings. The report also predicts that natural gas and blue hydrogen will remain significant energy sources due to slower hydrogen adoption.

Related Stock List(s): Hydrogen Stocks

Saudi Aramco aims to become a significant player in the LNG market, according to Abdulkarim Al-Ghamdi, the company's head of natural gas. The company has already made strides towards this goal, including acquiring a 49% stake in MidOcean Energy for $500 million and securing a 20-year LNG offtake agreement with NextDecade's Rio Grande LNG project.

Related Stock List(s): LNG Stocks

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