Good morning. After a 2021 winter storm nearly took down the Texas power grid, state lawmakers created a loan program for companies to build new power plants. In a Texas twist, the fund was intended for natural gas plants — even though failures at such plants contributed to the 2021 problems.
At first, so many companies applied that lawmakers are considering doubling the fund. But as today’s top story shows, nearly a third of the capacity pitched for the fund has fallen through.
Elsewhere, Trump continues his evisceration of the TVA board, and a buyer emerges for the largest fuel pipeline in the U.S. For those stories and more, read on.
TODAY'S TOP NEWS
FOSSIL FUELS
Nearly a third of projects that advanced to the due diligence stage have now been withdrawn from Texas’ $5 billion fund to incentivize gas-fired power plants, with their developers citing challenges in the state’s energy market. (Houston Chronicle)
January crude oil and natural gas production in Louisiana dropped from the year before, which an expert attributes to the state’s general lack of shale compared to places like the Permian Basin. (Greater Baton Rouge Business Report)
A West Virginia coal company racked up 138 violation notices and 27 cessation orders since 2015 before it declared bankruptcy earlier this year. (Charleston Gazette-Mail, Appalachian Voices)
OVERSIGHT
President Trump fires the chair of the Tennessee Valley Authority Board of Directors on the heels of firing another board member five days ago, reducing the nine-member board to four just a day after the utility announced its new CEO. (Knoxville News Sentinel)
PIPELINES
A New York asset management firm edges closer toward a $9 billion deal to acquire the 5,500-mile Colonial Pipeline, the largest fuel pipeline in the U.S. (Reuters)
The Mountain Valley Pipeline presses to build a 31-mile extension into North Carolina, while opponents organize against the plan. (Cardinal News)
WIND
Oklahoma lawmakers advance a bill increasing setbacks required for wind farms. (KFOR)
GRID
Documents reveal Elon Musk’s planned xAI supercomputer in Memphis, Tennessee, won’t be able to get enough power unless it builds an on-site power plant. (Business Insider)
West Virginia lawmakers approve a bill allowing data centers to develop their own power using microgrids, but without a previous requirement for utilities to run coal plants at a higher capacity. (West Virginia Watch)
ENVIRONMENTAL JUSTICE
Advocates in Louisiana’s “Cancer Alley” and elsewhere say the Trump administration’s push to roll back the U.S. Environmental Protection Agency’s enforcement of clean air and water rules will fall hardest on children. (Floodlight)
UTILITIES
City officials in St. Petersburg, Florida, consider leaving Duke Energy and forming a municipal utility when its 30-year agreement with Duke comes up next summer. (Tampa Bay Times)
POLITICS
The governors of Oklahoma and Texas sign executive orders creating state-level departments replicating the Trump administration’s Department of Government Efficiency, which experts say could weaken environmental rules and give the oil and gas industry more sway. (E&E News)
West Virginia U.S. Sen. Shelley Moore Capito expresses concern about Trump’s cuts to a federal office that monitors coal miners’ health. (WV News)
COMMENTARY
Texas should incorporate net metering and streamline permitting requirements for solar projects to again surpass California in solar installations after falling behind in 2024, writes the state director of the American Conservation Coalition. (Dallas Morning News)
Kentucky communities still struggling from the coal industry’s decline now face a new challenge from Republican cuts to federal aid programs, writes a staffer for an economic policy group. (Lexington Herald-Leader)
Virginia Gov. Glenn Youngkin is using his veto and amendment powers to kill or water down bills to ease the state’s mandated transition to clean energy, writes a columnist. (Virginia Mercury)
NEW FROM CANARY MEDIA
The U.S. EPA’s revocation of a permit for the Atlantic Shores offshore wind farm suggests the agency is increasing its leverage over the industry, and anti-wind groups are looking to work that power shift in their favor, Clare Fieseler reports.
GoogleX spinout Dandelion Energy and homebuilder Lennar partner to build ground-source geothermal heat pumps in more than 1,500 new Colorado homes over the next two years, Jeff. St. John reports.
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