News in the spotlight: Brookfield and Bloom Energy Partner on USD5 Billion Fuel Cell Rollout for AI Data Centers
Brookfield and Bloom Energy have announced a USD5 billion partnership to deploy fuel cell technology that will power artificial intelligence data centers with low-carbon energy. The deal comes as the rapid expansion of AI infrastructure drives surging electricity demand and emissions concerns.
Products and Services
Stegra Raises EUR975 Million to Build First Large-Scale Green Steel Plant in Sweden
Stegra has announced it has raised EUR975 million to build the first large-scale green steel plant in Sweden. The investment aims to significantly reduce CO₂ emissions in the steel industry—one of the world’s most carbon-intensive sectors. The facility will use hydrogen-based technologies and renewable energy, replacing the traditional coal-dependent process with a far cleaner production method. The project is part of a broader transformation of heavy industry in Europe and plays a strategic role in achieving the EU’s climate targets. Stegra plans to launch production within the next few years, with the plant’s capacity expected to supply green steel to the automotive, construction, and infrastructure sectors. This initiative highlights growing investor and corporate interest in green steel as industries seek to lower their carbon footprints and reduce reliance on fossil fuels.
Brookfield and Bloom Energy Partner on USD5 Billion Fuel Cell Rollout for AI Data Centers
Brookfield and Bloom Energy have announced a USD5 billion partnership to deploy fuel cell technology that will power artificial intelligence data centers with low-carbon energy. The deal comes as the rapid expansion of AI infrastructure drives surging electricity demand and emissions concerns. The project aims to replace or supplement traditional grid power with Bloom’s solid oxide fuel cells, which can deliver cleaner, more reliable, and more flexible energy. Brookfield will provide financing and infrastructure expertise to scale the rollout across multiple sites in the United States. This collaboration represents one of the largest fuel cell initiatives tied to the data center industry and underscores growing investor interest in decarbonizing digital infrastructure. It also reflects a broader energy transition trend in the technology sector, as companies seek innovative solutions to balance rising power needs with climate goals and regulatory pressure.
How AI-driven energy demand is creating large-cap growth investment opportunities
The article from the Business Council for Sustainable Energy (BCSE) highlights how rising energy demands from artificial intelligence (AI) applications are creating new investment opportunities in clean energy and infrastructure. It emphasizes the need for U.S. policymakers to modernize energy sector innovation policies to remain competitive in the global AI race. Demand from AI data centers is expected to significantly increase electricity consumption, presenting challenges and opportunities for utilities and clean energy developers. The article underscores that sustained investment in advanced energy technologies—including grid upgrades, transmission improvements, clean energy generation, hydrogen, and carbon management—will be essential. Federal policy levers such as the Inflation Reduction Act and Infrastructure Investment and Jobs Act are key instruments for accelerating deployment and innovation. The BCSE calls on lawmakers to expand and adapt these policies to ensure energy reliability, affordability, and emissions reduction, arguing that doing so will foster economic growth and attract large-cap investment in sectors aligned with AI-related energy demand growth.
CFM raises over USD1bn for third blended finance climate fund targeting emerging markets
Climate Finance Management (CFM), a UK-based blended finance vehicle, has closed its third climate fund at over USD1 billion. The fund will support climate mitigation and adaptation projects across sectors such as clean energy, sustainable agriculture, and resilient infrastructure. It attracted capital from both public and private institutional investors, including pension funds, insurance companies, and development finance institutions such as the UK FCDO, Green Climate Fund, and European Investment Bank. By applying a blended finance model, the fund aims to de-risk investments in emerging markets and mobilize additional private capital. Financing will target more than 30 countries in Sub-Saharan Africa, South and Southeast Asia, and Latin America. CFM’s strategy focuses on working with local financial institutions and mid-sized climate projects that are often overlooked by large investors, helping bridge the global climate finance gap.
Regulations, Law and Frameworks
Federal Reserve and FDIC Withdraw Proposed Climate Risk Rules for Large Banks
U.S. financial regulators, including the Federal Reserve and the Federal Deposit Insurance Corporation (FDIC), have withdrawn their proposed climate risk management framework for large banks. Initially introduced in 2022, the framework sought to guide institutions with over USD100 billion in assets on managing financial risks stemming from climate change. The decision to rescind the proposal follows extensive feedback from the banking industry and political opposition, particularly from conservative lawmakers who argued that the measures represented regulatory overreach and politicization of financial oversight. Despite the withdrawal, the Office of the Comptroller of the Currency (OCC) has chosen to retain its own version of the guidance. Critics of the decision argue that climate-related financial risks remain material and should be managed like any other systemic risk, while proponents say removing the framework preserves banks’ operational autonomy. The development signals a shift in regulatory tone as U.S. agencies recalibrate their approach to integrating environmental, social, and governance (ESG) considerations into financial regulation.
SEC Chair Urges Review of ESG Shareholder Proposal Rules
U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler has urged the Commission to reconsider rules that allow ESG-related shareholder proposals in company proxy statements. His remarks reflect an intensifying debate over the role and scope of environmental, social, and governance issues in corporate governance. Gensler raised concerns about whether some proposals exceed the SEC’s traditional standards for materiality and relevance to business operations. The statement follows a period of rising shareholder activism, driven partly by more permissive interpretations of Rule 14a-8, which enabled more ESG-related resolutions—on climate change, diversity, and political spending—to reach annual votes. Critics argue many proposals are politically motivated, while supporters maintain that ESG issues are financially material and relevant to long-term value creation. The SEC may revise its guidance, potentially limiting the number of ESG proposals in proxy materials, significantly influencing future corporate governance practices.
ESG- and Green Bond Issuances
SHS Secures EUR2 Billion for Green Steel Facility in Germany
SHS – Stahl-Holding-Saar has secured EUR2 billion (approximately USD2.2 billion) in funding to develop a large-scale green steel facility in Saarland, Germany. The investment will be used primarily to convert traditional steelmaking operations toward climate-neutral production processes by 2027. Supported by both German federal and Saarland state governments, the project aims to reduce steel-related carbon emissions by implementing hydrogen-based direct reduced iron (DRI) technology and using electric arc furnaces (EAF) for production. SHS partners Saarstahl and Dillinger are steering the transformation, which is expected to eliminate over 3.7 million tons of CO2 emissions annually. The facility will feature a 2.5 million tonne-per-year DRI system, one of the largest planned in Germany. The project reflects broader decarbonization goals of the European steel industry and contributes to Germany’s national plans for industrial carbon reduction. Construction is scheduled to begin in 2024, with completion targeted for 2027. SHS’s initiative has received backing from the EU under state aid regulations, highlighting the strategic importance of green steel to the continent’s climate ambitions.
ESG Data and Analytics
Arup Spinout Class 3 Raises USD3.5 Million to Model Climate Risk for Built Environment
Class 3, a spin-out of Arup, has raised USD3.5 million to develop advanced climate risk modeling tools for the built environment. The startup focuses on predictive models that help property owners, investors, and city authorities assess how climate change impacts buildings and infrastructure. Its platform integrates environmental data, weather models, and climate forecasts to evaluate how factors such as sea level rise, extreme heat, and heavy rainfall may affect asset values and infrastructure resilience. The funding will accelerate technology development and support market expansion, particularly in cities most vulnerable to climate risks. Investors highlight that demand for such solutions is growing in response to tightening ESG regulations and climate risk disclosure requirements. The initiative reflects a broader global trend of merging climate data, engineering, and finance to strengthen the resilience of urban infrastructure in the face of escalating climate threats.
Greenly Introduces EcoPilot AI Platform for Real-Time Carbon Accounting
Greenly has unveiled EcoPilot, its new AI-powered carbon accounting platform designed to enhance emissions reporting and sustainability performance for businesses. By integrating AI technologies, including machine learning and natural language processing, EcoPilot automates data collection, analysis, and reporting processes. This enables companies to track Scope 1, 2, and 3 emissions more accurately and in near real-time. The platform is aimed at sustainability teams, CFOs, and compliance officers, offering integration with business tools and APIs for seamless data flow. EcoPilot also provides actionable recommendations for reducing emissions and supports compliance with global regulations such as the CSRD, SECR, and California’s new climate disclosure laws. Greenly’s aim with EcoPilot is to simplify carbon accounting, reduce manual workloads, and drive more informed organizational decisions toward net-zero targets. The platform is currently available in beta with select enterprise customers.
Survey Finds Widespread Skepticism Toward ESG Claims Among Financial Intermediaries
Sentiment among financial advisers and wealth managers towards ESG (Environmental, Social, and Governance) investing has declined significantly, according to a March 2024 survey conducted by Research in Finance. Fewer than 1% of intermediaries expressed full trust in fund managers’ sustainability claims, highlighting widespread skepticism around greenwashing. The proportion of professionals who are either “not very convinced” or “not at all convinced” by ESG claims rose to 38% from 29% in 2023. Furthermore, 60% of those surveyed said they believe most funds overstate their sustainability credentials. Despite concerns, there is still demand for sustainable products, with 85% of respondents saying they use ESG or sustainable funds as part of their client propositions. However, usability and regulatory clarity remain key obstacles to broader adoption. Advisers call for reduced jargon, standardized labeling, and material evidence of positive impact to foster greater confidence. The report indicates that while ESG integration remains a consideration, critics seek more transparency and less marketing hype to restore trust in sustainable investment claims.
Net Zero Commitments
Airbus and Siemens Partner to Decarbonize Industrial Sites in U.S. and UK
Airbus and Siemens have entered into a strategic partnership aimed at decarbonizing Airbus’ industrial operations in the United States and the United Kingdom. The agreement focuses on deploying Siemens’ energy management and digital twin technologies to reduce carbon emissions across Airbus’ production sites. By leveraging Siemens’ advanced energy efficiency tools, including smart microgrid control and data analytics, the collaboration targets a transition to low-emission operations and optimized energy use. The initiative aligns with Airbus’ ambitions to achieve net-zero emissions from its industrial facilities by 2030 and supports global climate goals. Siemens’ solutions will be integrated into Airbus’ existing systems to model, simulate, and predict energy consumption patterns, thereby enabling better decision-making for energy sustainability. Additionally, the partnership reinforces both companies’ commitment to innovation and decarbonization in industrial ecosystems. The joint effort builds on prior collaboration in aerospace manufacturing and expands into the energy transition space with initial projects underway at key Airbus sites.
Deloitte Report Highlights Insurance Sector's Strategic Shift Amid Sustainability and AI Trends
Deloitte has released a new report highlighting that the insurance sector is at a critical turning point, shaped by growing sustainability demands and rapid advances in artificial intelligence. Insurers are increasingly treating ESG not just as a regulatory obligation but as a core strategic priority. According to the analysis, investments in sustainable products, integrated climate risk models, and AI tools for operational risk assessment are growing rapidly. AI enables more accurate forecasting of climate-related disasters and optimization of underwriting models. At the same time, regulators worldwide are increasing pressure on insurers to incorporate environmental and social factors into their risk management frameworks. The report emphasizes that the convergence of artificial intelligence and ESG strategies could become one of the most powerful drivers of innovation in the insurance sector over the coming years.
LEGO Group to Replace Natural Gas with Renewable-Powered Electric Heating
The article from the Business Council for Sustainable Energy (BCSE) highlights how rising energy demands from artificial intelligence (AI) applications are creating new investment opportunities in clean energy and infrastructure. It emphasizes the need for U.S. policymakers to modernize energy sector innovation policies to remain competitive in the global AI race. Demand from AI data centers is expected to significantly increase electricity consumption, presenting challenges and opportunities for utilities and clean energy developers. The article underscores that sustained investment in advanced energy technologies—including grid upgrades, transmission improvements, clean energy generation, hydrogen, and carbon management—will be essential. Federal policy levers such as the Inflation Reduction Act and Infrastructure Investment and Jobs Act are key instruments for accelerating deployment and innovation. The BCSE calls on lawmakers to expand and adapt these policies to ensure energy reliability, affordability, and emissions reduction, arguing that doing so will foster economic growth and attract large-cap investment in sectors aligned with AI-related energy demand growth.