Latest news with #cleanfuels
Yahoo
5 days ago
- Business
- Yahoo
Countdown to clean fuels: New Mexico targets 2026 for new standards
May 31—New Mexico could implement new standards for more environmentally friendly transportation fuels, everything from gasoline to electricity, as soon as next year if the state Environment Department gets the OK. Meanwhile, efforts are afoot in Washington to block state requirements around clean cars, something Republican legislators in New Mexico hope will successfully trickle down to transportation fuels, too. Gov. Michelle Lujan Grisham last year signed off on legislation to establish a statewide program around clean transportation fuel standards. The law requires annually reduced transportation carbon emissions — the top greenhouse gas emitter in the U.S., according to the U.S. Environmental Protection Agency — in the coming years. The New Mexico Environment Department this month submitted proposed rules for the transportation program, and the rulemaking process is set to continue in early June. If approved, New Mexico would become the fourth state in the nation to adopt clean fuel standards. "Under Gov. Michelle Lujan Grisham's leadership, New Mexico is diversifying its economy while addressing climate emissions — proving once again you don't have to choose between the two," NMED Secretary James Kenney said in a statement. How it works The 2024 Democrat-backed legislation, House Bill 41, amended the Environmental Improvement Act to allow a state board housed within NMED, the Environmental Improvement Board, to enact a clean transportation fuel standard. NMED has spent the last year drafting the rules. The department submitted its proposal to the board two weeks ago, a draft that spanned more than 100 pages. Essentially, it sets up a market around transportation fuels, which are considered gasoline, diesel, petroleum gas, natural gas, hydrogen and electricity. Fuel producers and importers who bring in a fuel that exceeds the state's carbon intensity standard — a set measure of carbon dioxide and other greenhouse gases — would have to buy "clean fuel credits" from those who produce below the standard. Entities can then sell, trade, retire or generate the credits. The clean fuel standard itself follows a 2018 baseline from carbon intensities generated by gasoline, diesel and jet fuel. The proposed rule would mandate annual carbon intensity reductions in fuels, to meet legally required milestones: at least 20% below 2018 levels by 2030, and at least 30% below 2018 levels by 2040. "This is a hefty rule," said Michelle Miano, director of NMED's Environmental Protection Division. There are already entities waiting to participate in the market, Miano said. Participation is voluntary for entities generating credits, like utility companies. Public Service Company of New Mexico has voiced its support for the program, and other companies — like clean energy business 3Degrees and automotive tech and manufacturing company Rivian — that operate in other clean transportation fuel markets in the U.S. participated in a public comment period in January to support and influence how New Mexico's program will work. NMED officials also touted new economic opportunities that could come with the $3 billion alternative fuels market, attracting investments in industries like clean hydrogen or renewable propane. Not everyone is eager for the program rollout, though. House Republican Minority Leader Gail Armstrong of Magdalena warned the program risks higher fuel prices. It's an argument reminiscent of those during last year's legislative session, though Miano said larger market forces and oil prices drive rates at the pump, not clean fuel programs. "House Republicans had serious concerns about HB 41 from the start — and what's unfolding now confirms those concerns," Armstrong said in a statement to the Journal. "The governor's push for a clean transportation fuel program creates a costly new regulatory burden that builds an unnecessary framework of credit trading and compliance rules." She also said she's closely watching federal efforts to overturn mandates like this. Last week, the U.S. Senate passed multiple resolutions overturning waivers that allow states to adopt emissions standards more ambitious than at the federal level. It specifically targets mandates around advanced clean cars, trucks and heavy-duty engines — though not fuels. In response, a group of 11 governors, including New Mexico's, launched the Affordable Clean Cars Coalition of the U.S. Climate Alliance. It's an effort to defend states' clean transportation standards. "The federal government and Congress are putting polluters over people and creating needless chaos for consumers and the market, but our commitment to safeguarding Americans' fundamental right to clean air is resolute," the 11 governors said in a joint statement. Miano said since the clean transportation fuels program is state-based, it's largely insulated from "federal uncertainties." "That's the great part about this program, is that it is a state program and a state market," she said, "and that it will ensure that New Mexico is the place that receives the clean fuels and clean energy economic investments that are uncertain in other parts of the country."
Globe and Mail
22-05-2025
- Business
- Globe and Mail
Canada's canola farmers stand to gain from U.S. tax breaks for clean fuel
Embattled Canadian canola farmers are poised to gain from a revised tax credit for clean fuels approved by the U.S. House of Representatives Thursday morning as part of President Donald Trump's 'big, beautiful bill.' The 45Z Clean Fuel Production Credit incentivizes the production of low-carbon transportation fuels in the United States. The tax credit came into force in January as part of former president Joe Biden's Inflation Reduction Act. But certain stipulations made feedstock from Canadian canola ineligible. The Republican bill slashes those requirements. Should the expansion pass through the Senate, it could drive increased demand for Canadian canola – a boost much needed by a sector that recently faced a steep decrease in U.S. sales and tariffs from its second-largest market, China. Political uncertainty north and south of the border has also depressed investment in what was once a booming domestic processing sector. 'We're keeping our fingers and toes crossed that we will see some good news here,' said Chris Vervaet, executive director of the Canadian Oilseed Processors Association. The U.S. tax credit will subsidize the production of transportation fuels with low-life-cycle greenhouse-gas emissions, such as ethanol and biodiesel or renewable diesel. These fuels are sourced from renewable biomass such as corn, soybeans, canola or used cooking oil. It is a win for red farm states, which have been slammed by a trade war with their largest market for corn and soybeans, China. The tax credit is one of the few clean-energy policies from Mr. Biden's 2022 Inflation Reduction Act to survive. (A tax break for buyers of electric vehicles and credits for low-emissions electricity such as wind, solar, battery and geothermal power will be rapidly phased out.) The clean-fuel incentives would be a top-up on requirements under the U.S. Renewable Fuel Standard Program – a federal initiative that requires transportation fuel sold in the United States to contain a minimum volume of renewable fuels. It will help farmers capitalize on growing demand for clean fuel, said John Fuher, vice-president of government affairs at Growth Energy, a U.S. biofuel trade association. According to the group, the credit could add US$21.2-billion to the American economy, and provide farmers with a 10-per-cent price premium on low-carbon corn used at a bioethanol plant. The Biden administration's version of the tax credit represented a loss, rather than a gain, for Canadian canola farmers and processors. To qualify for the tax credit under the previous administration, feedstock had to fall below an emissions threshold. This threshold included emissions caused by switching land to crop production. The indirect land use change (ILUC) policy put Canadian canola above the emissions threshold, making it ineligible for the credits. This had ramifications for trade. There was a 66-per-cent drop between December and March for Canadian crude canola oil exports to the U.S., said Mehr Imran, senior analyst of carbon markets at ClearBlue Markets. The Republican bill eliminates the ILUC policy and stipulates that Canadian and Mexican feedstock would be eligible. Feedstock from other countries – for example, used cooking oil from China – would not. 'We think it is really important that we have open two-way trade between our two countries,' said Geoff Cooper, president and chief executive officer of the U.S.-based Renewable Fuels Association. It is much-needed good news for Canadian canola farmers who have also faced 100-per-cent tariffs on canola oil and meal from China. Beijing's move to introduce the levies in March was in retaliation for Ottawa's tariffs on Chinese-made electric vehicles. Ambitious plans to expand canola crush capacity have also lost momentum. In Canada's largest canola-producing province, Saskatchewan, five new plants were announced starting in 2021. Only one has come online. Others are in progress, behind schedule, indefinitely on pause or have not broken ground. Reasons for delays include trade uncertainty with the U.S. and concerns about a potential new conservative government in Ottawa killing Canada's Clean Fuel Regulations. 'It's always good to have more competition for your product,' said Roger Chevraux, an Albertan canola farmer who serves on the board of the Canadian Canola Growers Association. 'It means we're less vulnerable.' However, the tax credit could have other implications for Canada's refineries, Ms. Imran said. Canada has 10 clean-fuel facilities. While the country is a net exporter of refined petroleum products and crude oil products, it is a net importer of biofuels. There is some investment in clean-fuel processing. For example, on May 2, Imperial Oil Ltd. announced that its highly anticipated renewable diesel facility located near Edmonton will commence operations in mid-2025. U.S. subsidies give refineries south of the border an edge over Canadian plants in provinces without competitive subsidies, Ms. Imran said. 'Canada may want to take a look at the competitiveness of domestic refineries in light of the U.S. incentives.'
Yahoo
09-05-2025
- Business
- Yahoo
DevvStream Affiliate Monroe Sequestration Partners Signs Agreement with Southern Energy to Anchor Major Carbon Capture Project in Louisiana
DevvStream's October 2024 acquisition of 50% of the common interests in Monroe Sequestration Partners directly connects the Company to one of the Gulf Coast's most strategic carbon storage and clean fuel sectors Calgary, Alberta--(Newsfile Corp. - May 8, 2025) - DevvStream Corp. (NASDAQ: DEVS) ("DevvStream" or the "Company"), a leading carbon management firm specializing in the development, investment, and sale of environmental assets, today announced that Monroe Sequestration Partners ("Monroe"), in which DevvStream acquired a 50% common-interest stake in October 2024, has signed a Collaboration Agreement (the "Agreement") with Southern Energy, a Wyoming-based clean fuels company proposing the development of a $1 billion (USD) methanol and sustainable aviation fuel ("SAF") facility in Louisiana. The Agreement outlines a strategic partnership in which Monroe would provide permanent CO₂ sequestration through its Class VI storage site, expected to be operational in 2027, while Southern Energy would capture emissions from its planned biomass-to-fuel facility, targeting production in 2028. The parties aim to generate high-quality carbon credits and support compliance with global decarbonization mandates in aviation and maritime transport industries. The Company anticipates entering into additional definitive binding agreements reflecting the terms outlined in the Agreement during Q2 of this year. "Monroe's combination of Class VI storage readiness, local access, and commercial reach positions it among the most advanced carbon storage developers in the country," said Carl Stanton, Chairman of DevvStream. "Louisiana is quickly becoming the carbon capture capital of the U.S., and this agreement underscores Monroe's leadership in delivering durable, monetizable carbon removal solutions." About Southern Energy's Project Southern Energy plans to build a biomass-to-fuel facility in Louisiana to produce low-carbon methanol and SAF with an anticipated project cost of approximately $1 billion. Using proven syngas technology and a large-scale regional feedstock strategy, the facility is designed to serve both maritime and aviation sectors. Integrated carbon capture is expected to drive exceptionally low lifecycle carbon intensity ("CI") scores while generating 45Q tax credits and other monetizable environmental assets. The facility is expected to benefit from Northern Louisiana's location within the Southern Wood Basket—the largest biomass-producing region in North America. According to market studies, the North Louisiana-South Arkansas corridor ranks among the top five U.S. markets for pulpwood and forest residual availability, providing secure, scalable access to sustainably sourced feedstock. "Southern Energy's platform aligns directly with recent federal initiatives supporting clean energy infrastructure," added Sunny Trinh, CEO of DevvStream. "The combination of permanent sequestration, proven fuel tech, and policy momentum makes this a standout project." Strategic Importance of Louisiana Louisiana is emerging as a national hub for carbon capture and storage ("CCS"). As one of only four states with U.S. EPA-approved primacy over Class VI wells, it can independently permit carbon storage projects—potentially cutting years off timelines. According to Bloomberg (April 2025), over a dozen CCS projects are already underway across the state, backed by more than $4.5 billion (USD) in anticipated investment. Recent federal policy changes have the potential to increase this momentum. The current administration's first 100 days brought a sweeping realignment around CCS—executive orders prioritized permitting, expanded 45Q incentives, and encouraged private-sector deployment. Monroe's early position and deep ties in Louisiana provide a unique potential advantage as demand for durable carbon removal grows. Strategic Implications for DevvStream For DevvStream, this Agreement has the potential to strengthen its infrastructure-backed carbon credit pipeline and to deepen its exposure to permanent sequestration revenues. As co-owner of Monroe, DevvStream is expected to support project development, credit packaging, and long-term monetization efforts. This Agreement also reinforces DevvStream's broader investment strategy: leveraging partnerships with industrial emitters to scale environmental asset generation under favorable policy, geographic, and commercial conditions. About DevvStream Founded in 2021, DevvStream is a leading carbon management firm specializing in the development, investment, and sale of environmental assets, energy transition, and innovative carbon management solutions. The Company's mission is to create alignment between sustainability and profitability, helping organizations achieve their climate initiatives while directly improving their financial health. With a diverse approach to energy transition and carbon markets, DevvStream operates across three strategic domains: (1) an offset portfolio consisting of nature-based, tech-based, and carbon sequestration credits for immediate sale to corporations and governments seeking to offset their most difficult-to-reduce emissions; (2) project investment, acquisitions, and industry consolidation to extend the company's reach, allowing it to become a full end-to-end solutions provider; and (3) project development, where the company serves as project manager for eligible activities such as EV charging or renewable energy generation in exchange for a percentage of generated credits or I-RECs. For more information, please visit About Monroe Sequestration Partners Monroe Sequestration Partners is a carbon storage development platform based in northeast Louisiana, currently developing a Class VI sequestration facility expected to be operational in 2027. The company enables industrial emitters to meet climate targets through permanent carbon removal and credit generation. About Southern Energy Based in Wyoming, Southern Energy is developing a $1 billion low-carbon fuels facility in Louisiana that will produce methanol and sustainable aviation fuel from biomass using syngas-based technology. The facility is designed to serve global maritime and aviation markets, with integrated carbon capture to deliver low CI scores and premium environmental assets. Cautionary Note Regarding Forward-Looking Statements Certain statements in this news release may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts and generally relate to future events, trends or DevvStream's future financial or other performance metrics. In some cases, you can identify forward-looking statements by terminology such as "may", "should", "expect", "intend", "will", "estimate", "anticipate", "believe", "predict", "potential" or "continue", or the negatives of these terms or variations of them or similar terminology. These forward-looking statements include statements regarding DevvStream's intentions, beliefs, projections, outlook, analyses and current expectations concerning, among other things, DevvStream's ability to continue as a going concern and to realize the benefits of its recently completed business combination, DevvStream's ability to remain listed on Nasdaq, the volatility of the market price and the liquidity of DevvStream's common shares, the impact from future regulatory, judicial, legislative or regulatory changes in DevvStream's industry, the trends in the carbon credit markets, future performance and anticipated financial impacts of certain transactions by DevvStream or others, the growth and value of the global carbon credit or I-REC market traded value, the potential of carbon credits to provide carbon emission reductions and reduce carbon emissions to limit global warming, estimated CO2 capture, sequestration, decarbonization or storage capacities or potentials of different projects in which DevvStream is investing, or DevvStream's opportunity pipeline and the ability of such opportunities to generate I-RECs, carbon credits, or tax credits each year, or the market growth and value of these markets, are subject to risks and uncertainties, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by DevvStream and its management are inherently uncertain and subject to material change. Given these risks, uncertainties, and other factors, you should not place undue reliance on these forward-looking statements. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. Any agreement described herein is subject to customary conditions and the ongoing performance of project partners, and there can be no assurance that all contemplated environmental assets will be issued or monetized. Moreover, there can be no assurance that any future agreements described herein will be executed. These forward-looking statements are expressed in good faith, and DevvStream believes there is a reasonable basis for them. However, there can be no assurance that the events, results or trends identified in these forward-looking statements will occur or be achieved. Forward-looking statements speak only as of the date they are made, and DevvStream is under no obligation, and expressly disclaims any obligation, to update, alter or otherwise revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Readers should carefully review the statements set forth in filings made by, or to be made by, DevvStream from time to time with the SEC and with the Canadian securities regulatory authorities. This news release is not an offer to sell or the solicitation of an offer to buy, any securities of DevvStream and this news release is not intended to be all-inclusive or to contain all the information that a person may desire in considering an investment in DevvStream. All subsequent written and oral forward-looking statements concerning DevvStream or any person acting on their behalf are expressly qualified in their entirety by the cautionary statements above. Contact ir@ Phone: (408) 365-4348 To view the source version of this press release, please visit Sign in to access your portfolio
