Today’s headlines: States challenge IRA cuts, another coal concession, and more

This roundup of U.S. energy news headlines is part of our Canary Media Daily newsletter. Sign up to get it in your inbox each morning.

CLIMATE

• Thirteen states sue the Trump administration over its cancellation of billions of dollars in Inflation Reduction Act and bipartisan infrastructure law funding. (The Hill)

• Some states are looking to strengthen their climate and clean energy policies to make up for federal shortcomings, including through new EV incentives in Colorado and accelerated solar permitting in Virginia. (New York Times)

FOSSIL FUELS

• Documents indicate the Trump administration will move to let coal plants emit more hazardous pollutants, including mercury, in an attempt to juice the industry. (New York Times)

• FirstEnergy expects to receive a DOE loan to build a 1.2 GW gas plant in West Virginia. (E&E News)

• Analysts say a gas turbine bottleneck is beginning to resolve itself as manufacturers provide behind-the-meter solutions for power-hungry data centers. (Latitude Media)

NUCLEAR

• Illinois Gov. J.B. Pritzker (D) calls for the state to build at least 2 GW of nuclear capacity, just a month after lifting the state’s longstanding moratorium on nuclear construction. (Bloomberg)

CLEAN ENERGY

• Microsoft says it bought enough renewable power to meet all of its electricity needs last year, and plans to do the same this year even as its data center demand continues to rise. (Reuters)

• Another poll shows three-quarters of U.S. voters who supported President Donald Trump in 2024 are in favor of solar power. (Semafor)

FINANCE

• U.S. clean investment plummeted from the third to fourth quarter of 2025, largely thanks to the elimination of EV tax credits and a resulting sales drop. (Semafor)

BATTERIES

• Noon Energy and Ore Energy are among a new wave of startups looking to crack the code on 100-hour batteries. (Latitude Media)

ELECTRIC VEHICLES

• Despite writing down its EV investments, Ford is still looking for ways to make EVs more affordable, including by tweaking their aerodynamics to improve range. (Axios)

• An analysis finds plug-in hybrid vehicles use three times more fuel than their manufacturers claim, largely because the vehicles use gas even when in electric drive mode. (The Guardian)