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illuminem summarises for you the essential news of the day. Read the full piece on POLITICO or enjoy below:
🗞️ Driving the news: Despite Republican efforts to dismantle federal climate incentives, carbon removal firm Heirloom Carbon has managed to preserve funding and political support for its direct air capture (DAC) projects
• Notably absent from the Trump-aligned “kill list” of climate initiatives, Heirloom’s commercial-scale plants in California and Louisiana have survived funding cuts — thanks to a bipartisan strategy that appeals to both industrial revitalisation and climate action
🔭 The context: The Inflation Reduction Act’s tax credits for carbon capture remain largely intact, even as Republican lawmakers aim to strip similar incentives for renewables
• Heirloom, one of the few startups to receive funding before the 2024 election, distinguishes its technology as “carbon removal” (drawing CO₂ from the air), rather than traditional “carbon capture” (capturing emissions at the source)
• This distinction, along with its promise of local jobs and industrial investment, has earned it rare bipartisan backing
🌍 Why it matters for the planet: Heirloom’s survival is significant amid broader uncertainty in U.S. climate finance. As the cost of DAC remains high — around $600 per ton — the sector is at risk of stagnation without consistent policy support
• Yet carbon removal is considered essential for achieving net-zero goals, with models suggesting a need to remove 6–10 billion tonnes of CO₂ annually by 2050
• The company's success highlights the growing importance of technological neutrality and political strategy in sustaining climate innovation.
⏭️ What's next: Heirloom is seeking to scale operations by leveraging both public and private funding streams, including California’s proposed $50 million carbon removal credit program and potential revisions to the state's pipeline moratorium
• The Senate will play a critical role in determining the final contours of climate incentives
💬 One quote: “We have to earn your trust. I get that,” — Vikrum Aiyer, Heirloom’s head of global public policy, acknowledging skepticism from environmental justice advocates
📈 One stat: Heirloom’s current technology costs $600 per ton of CO₂ removed; it aims to lower this to $100 per ton to serve compliance markets like California’s cap-and-trade program and the EU ETS
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