California Gov. Gavin Newsom and the state’s aggressive policies to transition off fossil fuels are posing a growing threat to the state’s oil industry – and a new tax on refining is the latest front in the battle. But the industry says it isn’t giving up without a fight. POLITICO’s Wes Venteicher breaks down why Newsom and the oil industry are on a major collision course. Plus, inside the energy and climate toplines in the $1.7 trillion year-end omnibus spending package released by senior lawmakers early Tuesday.

European officials have been critical of the clean energy subsidies in the Inflation Reduction Act. But that criticism has raised eyebrows in Washington, where officials say the law does exactly what Europe has long pressed the United States to do: get serious about fighting climate change. POLITICO’s Karl Mathiesen breaks down the European outrage over the IRA, America’s response, and how the legislation could actually influence European decarbonization policies. Plus, a new proposal from the Department of Energy aims to strengthen efficiency standards for lightbulbs. 

Oil and chemical companies are investing in chemical recycling, aided by favorable laws passed primarily by GOP-controlled state legislatures. These companies say the technology can help address the country’s plastics crisis by increasing recycling rates and reducing the amount of waste dumped into landfills and polluting the world’s waterways. But environmental groups argue that the pollutants released by the process could be dangerous enough to negate any potential benefits. POLITICO’s Jordan Wolman breaks down the pros and cons of chemical recycling. Plus, the Biden administration is set to start refilling Strategic Petroleum Reserve.

On Thursday, FERC Chair Richard Glick said he will depart the agency at the end of the year when the Senate adjourns. Glick’s long-anticipated exit will leave behind a 2-2 deadlock on the commission, which could delay progress on the agency’s ambitious transmission agenda and impact consideration of environmental justice and climate change factors in the permitting process. POLITICO’s Catherine Morehouse breaks down why Glick is leaving and how it impacts FERC. Plus, Senator Joe Manchin's permitting push suffered a final defeat in a Senate vote Thursday.

Nine east coast states on Monday released a plan to create a fund that would compensate fishing interests for losses related to offshore wind development. These fishing interests are worried that the wind farms will hurt their profitability and create more competition. But some states like New York and New Jersey — along with the Biden administration — are hoping to use the clean energy generated from these wind farms as part of their ambitious plans to combat climate change. POLITICO’s Ry Rivard breaks down the plan and what’s at stake if it falls apart. Plus, California is poised to cut incentives for rooftop solar today.

After decades of research, US scientists can now create a nuclear fusion reaction that produces more energy than the reaction requires. The breakthrough means that decades from now, nuclear fusion could become a source of clean, inexpensive energy that doesn’t create long-lived radioactive waste or worsen global warming. However, the technology still faces many obstacles to commercial use, namely money. POLITICO’s Ben Lefebvre and Josh Siegel break down what to know about DOE’s experiment and how lawmakers are reacting. Plus, Senate Majority Leader Chuck Schumer vows to vote on a permitting proposal as an amendment to the National Defense Authorization Act.

Last month, New York passed the first partial ban on cryptocurrency mining in the nation, which is sending ripple effects throughout the digital currency industry and also encouraging environmentalists to push for similar measures across the nation. POLITICO’s Marie French breaks down the ban and what it means for New York, environmentalists and the industry overall. Plus, a new report from EPA says the average fuel economy of 2021 model vehicles sold in the U.S. remained flat as purchases of less efficient vehicles have ramped up.

European and Asian allies are furious at the Biden administration for being cut out of the lucrative U.S. tax credits for electric vehicles. While President Joe Biden has promised to address the situation, he’s pretty limited in what he can do. And congressional Democrats say they have no regrets. POLITICO’s Steven Overly breaks down why Democrats are unrepentant as US trading partners fume over the EV credits. Plus, the House Oversight Committee has accused oil companies of ‘lying’ about climate actions.

After Democrats failed for a second time to pass permitting reforms, finger pointing on the Hill is in full swing. Democrats blame the GOP for the latest collapse and argue that they offered significant compromises to broker a deal. But, those compromises weren’t enough for Republicans, especially regarding transmission. POLITICO’s Catherine Morehouse breaks down why transmission was a sticking point in permitting negotiations for Democrats and Republicans. Plus, Special Climate Envoy John Kerry said people are “exploiting” the war in Ukraine and the surge in energy prices this year to push for more fossil fuel use.

For the second time in three months, Democratic leaders tried and failed to pass energy permitting reform, this time in an ill-fated attempt to attach it to the must-pass National Defense Authorization Act. POLITICO’s Josh Siegel breaks down the latest effort than foundered in the face of Republican and progressive opposition to the measure, and what’s next. Plus, the Biden administration’s third offshore wind auction and first-ever off the West Coast raked in over $757 million in bids.

For months, the United States and European Union have tried to work out a solution over the new electric vehicle tax credit in the Inflation Reduction Act that European officials argue threatens their auto industry, which is already struggling with high energy costs and the possibility of a recession. POLITICO’s Doug Palmer breaks down the chances that the European Union and United States can work out the EV dispute by the new year. Plus, the Interior Department has agreed to conduct a new environmental review of a Trump-era oil lease sale in California.

The European Union, United States and G-7 nations are trying to squeeze Russia’s massive fossil fuel revenue through newly-enacted sanctions to punish Moscow for its invasion of Ukraine. The European Union’s ban on the import of seaborne Russian crude oil went into effect on Monday, along with a $60-a-barrel price cap on Russian oil shipped to the rest of the world. POLITICO Europe’s Chief UK Correspondent Charlie Cooper breaks down the latest Russian sanctions, how Moscow is privately and publicly responding, and how these moves could impact the energy markets. Plus, the Environmental Protection Agency has proposed closing a reporting loophole for PFAS chemicals.

On Friday, the Commerce Department said four Chinese solar companies were routing products through Southeast Asian countries in order to evade tariffs. The investigation has worried solar companies in the U.S. that fear they won’t get the imported panels they need for their projects, but Commerce’s findings included key exceptions that could blunt the short-term impact on the sector. POLITICO’s Kelsey Tamborrino breaks down Commerce’s decision. Plus, the U.S. Court of Appeals for the D.C. Circuit sent a transmission case back to FERC in a win for renewables.

FERC Chair Richard Glick recused himself from a major clean energy order this week, signaling he may be leaving his position at the regulatory agency. Former commissioners and agency officials have told POLITICO that the recusal could be driven by a desire to avoid conflicts of interest with potential future endeavors. Glick was renominated to FERC by President Joe Biden after his term expired in June, but has not received a Senate hearing amid opposition from Sen. Joe Manchin. POLITICO’s Josh Siegel and Catherine Morehouse discuss the recusal, the possibility of Manchin changing his mind and how other Democrats are reacting to a potential FERC split. Plus, a New Jersey town received the first grant from a new FEMA program to reduce flood risk.

Retiring Rep. Fred Upton has been a major player in the energy and climate space for years, previously chairing the powerful House Energy and Commerce Committee and soon leaving behind a record of bipartisan legislation. The Michigan Republican sat down with POLITICO Energy‘s Josh Siegel to reflect on Upton’s 36-year tenure in the House, what he thinks about the current energy crisis and what a GOP-led House could do on energy policy.

Starting next year, Congress will need to pass the farm bill, a large funding bill renewed every five years that has a major impact on the agriculture industry and farmers' livelihoods. Democrats are fighting to make farming more climate-friendly - a proposition Republicans are likely to reject. A farming practice called regenerative agriculture might satisfy both parties’ interests. POLITICO’s Garrett Downs explains regenerative agriculture and its bipartisan appeal. Plus, the Treasury Department has unveiled labor guidance for companies seeking clean energy tax credits under the Inflation Reduction Act.

While billions of new federal tax dollars are earmarked to help people leave climate vulnerable areas, a POLITICO investigation found that those programs often fail because of inconsistencies and bureaucracy. But Washington needs to create a solution soon since the impact of natural disasters on real estate, public infrastructure, and insurance is increasing. POLITICO’s Zack Colman discusses how the city of Tulsa, Oklahoma has tried to mitigate the risk and if the federal government is ready to confront how climate change is impacting housing. Plus, the Interior Department proposed a new rule aimed at reducing the venting and flaring of methane from oil and gas production on federal lands.

Puerto Rico’s fragile power system, which is still recovering from multiple hurricanes and years of electricity problems, faces important deadlines this week that could determine which entities are responsible for restoring the grid. POLITICO’S Gloria Gonzalez breaks down how the grid operator and Puerto Rico’s government are responding, and why the island’s power grid faces an uncertain future.

Beneath the northeastern Minnesota woods lie massive deposits of copper, nickel and cobalt that the Twin Metals company wants to mine. Mining those critical minerals would help the clean energy industry grow to meet the Biden administration’s climate change goals. But the administration has rejected plans to build the mine because of risks to the environmentally sensitive site – a decision that has drawn charges of hypocrisy from Republicans. POLITICO’s Catherine Morehouse breaks down the politics behind the stalled Minnesota mining project. Plus, the Biden administration has approved an oil export terminal in the Gulf of Mexico over some local environmental and public health concerns.

Last week, California’s air quality regulation agency laid out steps for the state to reach carbon neutrality by 2045 that lean on clean energy, driving, carbon capture, and forestry. However, state officials have acknowledged that some of those goals are potentially unreachable, and environmental groups have argued that the plan isn't doing enough. POLITICO’s Camille von Kaenel breaks down the takeaways from California's new climate plan and what greens are asking for. Plus, EPA has floated a significant increase to the contested social cost of carbon.

The United Nations climate change conference, COP27, finished Sunday with a historic deal to create a global loss and damage fund. That new pool of money would be collected from richer nations that have historically contributed to climate change and distributed to countries that have already suffered irreversible climate damage. But, even though the agreement was considered a huge win, climate advocates still weren’t totally pleased since the final text also included a nod to natural gas. POLITICO Europe’s Karl Mathiesen breaks down his main takeaways from COP27, the details of this historic deal, and how climate advocates are reacting.

The Environmental Protection Agency announced on Thursday that a troubled oil refinery on St. Croix in the U.S. Virgin Islands, which shut down last year after raining oil droplets on the island's majority-Black residents, may take years to meet new permitting requirements to restart operations. POLITICO’s Alex Guillén breaks down the backstory of the plant, what EPA says needs to be done before it can restart, and the Biden administration’s environmental justice concerns. Plus, the North American Electric Reliability Corporation says that the U.S. power grid faces 'unprecedented' reliability risks this winter.

At the climate change talks in Egypt on Wednesday, the European Union signaled openness to discussing the creation of a new loss and damage fund. The fund, which developing nations have been calling for, would create a new pool of money to disburse to poor countries that have suffered irreversible climate damage. After the EU’s new stance, the spotlight is now on the United States, which has been less clear on its position. POLITICO’s Zack Colman breaks down the state of negotiations for the loss and damage fund and if the European Union’s new stance shifts the momentum. Plus, EPA’s watchdog has launched two probes into the Jackson water crisis. And, Ukraine has warned its allies that it may not be able to recover from more Russian attacks on the country’s energy systems.

If Republicans win a narrow majority in the House as expected, a select group of GOP lawmakers will wield significant power as committee chairs for the next two years. According to their own words, those House Republicans plan to conduct a lot of oversight of Democrats’ energy and climate spending, the Biden administration’s green policies, and the Cabinet officials implementing them. POLITICO’s Kelsey Tamborrino breaks down what House GOP committee chairs plan to do and the actual impact on the administration. Plus, the Nuclear Regulatory Commission’s newest regulator says the U.S. cannot ignore its nuclear waste problem as it looks to build new plants to help solve the climate crisis.

On Friday, President Joe Biden boasted how his administration has taken “unprecedented” climate actions at home and abroad during a speech at COP27 in Egypt. But officials from developing countries remain skeptical that the United States will be able to deliver on the president’s pledges, with Biden facing an unsettled political situation at home following last week’s midterm elections. POLITICO’s Zack Colman breaks down the president’s climate message to the world, new actions he announced and what skeptics are saying. Plus, the Environmental Protection Agency’s plan to sharply curb methane leaks from the oil and gas sector calls for more inspections and tightened restrictions to reduce flaring of the gas.