Green Markets - September 19, 2024

Sep 19, 2024

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

Former President Donald Trump has vowed to cancel unspent funds from President Biden's Inflation Reduction Act (IRA) if re-elected. However, the Biden administration asserts that most of the climate-related funds, $90 billion out of a $120 billion grant total, will be spent by the time a new president takes office. The Biden administration is rapidly allocating these resources, while legal experts, citing the 1974 Impoundment Control Act, note that Trump would face significant legal challenges in repurposing or canceling the funds.

Google has agreed to purchase 50,000 metric tons of nature-based carbon removal credits by 2030 from Brazilian startup Mombak. Mombak restores degraded land in the Amazon rainforest by replanting native species, and Google's deal follows Microsoft's earlier agreement to buy up to 1.5 million credits from the same company.
MSCI has launched MSCI Carbon Project Ratings to help assess the quality and integrity of carbon offset projects. This new rating system evaluates over 4,000 projects based on emissions impact and implementation integrity, using a seven-point scale from AAA to CCC. MSCI’s move comes in response to increased demand for reliable carbon credits as companies pursue net zero goals.

Related Stock List(s): Carbon Credit Stocks

Woodside Energy Group has signed a 10-year agreement with Japan's JERA to supply 0.4 million metric tons of LNG per year, starting April 2026. Earlier this year, Woodside also sold a non-operating interest in the Scarborough joint venture to JERA for $1.4 billion. This transaction includes options for additional interests and a non-binding agreement for carbon management services.
France's TotalEnergies has extended its LNG supply agreement with China National Offshore Oil Corporation (CNOOC) for an additional five years, now running until 2034. The updated deal secures the delivery of 1.25 million tonnes per annum of LNG to China.

Related Stock List(s): LNG Stocks

The Czech Republic has approved a partnership with Rolls-Royce to develop small modular nuclear reactors (SMRs). State-owned CEZ plans to install up to ten SMRs by 2050, aiming to increase nuclear power's share of the national energy mix from 30% to 50%.

Green Investing