Green Markets - January 15, 2025

Jan 16, 2025

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

Chris Wright, President-elect Donald Trump's nominee for U.S. Energy Secretary, emphasized during his Senate confirmation hearing the importance of expanding domestic energy production, particularly LNG and nuclear power. He views fossil fuels as essential for addressing global poverty, which he considers a more immediate concern than the long-term effects of climate change. Wright also supports advancing small modular nuclear reactors and geothermal energy.
Ingka Investments, the investment arm of the global IKEA retailer Ingka Group, has announced a €1 billion ($1.03 billion) investment in recycling companies. This move aims to enhance the management of waste from IKEA products like furniture, bedding, and mattresses, which often end up in landfills or incinerators.
Amazon is investing over $1 billion to electrify and decarbonize its transportation network in Europe, as part of its commitment to achieve net-zero carbon emissions by 2040. This includes the largest-ever order of 200 electric heavy-duty trucks, the eActros 600 from Mercedes-Benz, which will operate on high-mileage routes in the UK and Germany. The investment also extends to a growing fleet of electric vans and the installation of charging infrastructure. Additionally, Amazon has started using the UK’s electric rail network for large-scale package transport and is introducing on-foot deliveries in London.

Saudi Arabia and Italy have signed an agreement to collaborate on energy innovation, including the potential export of green hydrogen from Saudi Arabia to Europe. The deal highlights Italy's role as a strategic gateway for renewable hydrogen from the Kingdom.Related Stock List(s): Hydrogen Stocks

The European Union is considering new sanctions on Russia, which may include a gradual ban on imports of Russian aluminum and a phase-out of LNG. These measures would be part of the EU's 16th package of sanctions in response to Russia's invasion of Ukraine. The aluminum ban would be gradual, while the LNG phase-out could be implemented either through sanctions or a road map. Although some EU nations remain reliant on Russian LNG, the overall shift towards alternative sources, such as U.S. and Qatari LNG, is expected to ease prices from 2026-2027.

Related Stock List(s): LNG Stocks

The United States and Thailand have signed a "123 Agreement" to foster cooperation on peaceful uses of nuclear energy. This pact facilitates the transfer of nuclear materials, equipment, and knowledge for civil nuclear energy and research while emphasizing non-proliferation and clean energy generation. It replaces a 1974 agreement that expired in 2014.
The UK government has pledged a record £410 million to advance nuclear fusion energy, funding the development of a prototype fusion power plant at the former West Burton coal site in Nottinghamshire by 2040.

Origis Energy has secured over $1 billion in new investments from Brookfield Asset Management and existing partner Antin Infrastructure Partners to accelerate its renewable energy projects. The capital will support Origis' growing portfolio of solar and battery storage assets, including 1 GW of existing projects, 3 GW under construction, and 25 GW planned.

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