Bloomberg reports that US president Donald Trump is “preparing to use Cold War-era authorities to dole out hundreds of millions of federal dollars to support coal-fired electricity as well as US exports of the fossil fuel”. It adds that Trump has invited lawmakers and governors from coal-rich states to the White House, where he is expected to announce the funding for US coal plants and an export terminal under the 1950 Defence Production Act. Reuters adds that coal has faced steady declines in the US, as power producers have switched to cheaper natural gas and renewable sources. It notes that the $700m would fund 13 coal-plant upgrades, as well as match corporate funds for new facilities. Axios also has the story.

The Guardian covers a new report which sets out how “humanity can raise living standards, reduce inequality and keep global heating within a 2C rise”. It adds that the report from the World Inequality Lab (WIL) aims to provide a comprehensive path to “navigate the polycrisis that is pushing the world toward climate breakdown, political extremism and ever greater economic and social tension”. The article states that the suggested policy suggestions from WIL include a “hefty” wealth tax on billionaires, a reduction in working hours, a change in diet and a shift in investment from industry and mining to health and education. (See Comment below.)

Bloomberg reports that the European Union will give “extra budget leeway” to member states to cope with high energy prices driven by the Iran war, but it must help curb competition from fossil fuels. It adds that the European Commission will offer room for 0.3% of gross domestic product (GDP) per year for “green-related” measures, breaching the EU’s fiscal framework. Reuters adds that the shift is a compromise following pressure from Italy to soften EU fiscal rules to support consumers facing rising energy bills. The article notes that this proportion of GDP would be allowed to “support” the purchase of electric vehicles, changes to cleaner heating systems, the installation of solar or batteries, but not for subsidising fossil-fuel prices.

MORE ON EUROPE

• Reuters reports that Spain recorded its highest number of May heat-related deaths, with 101 deaths attributed to high temperatures.
• The Irish Times reports that the country is expected to fall 50% short of its emissions reduction target by 2030 and could face EU fines of €8bn-26bn as a result, according to comments made by minister for climate Darragh O’Brien. 
• Politico reports that the European Commission is looking to propose a new law later this year to roll out smart meters, to help households use less energy at peak times, taking pressure off the grid ahead of an “explosion of power demand” from AI and the electrification of the economy. 

Zheng Shanjie, head of China’s top economic planner, the National Development and Reform Commission (NDRC), says state-owned enterprises (SOEs) should advance “dual-carbon” goals, promote low-carbon development, advance the clean and efficient use of coal, plus safeguard energy security, according to carbon-focused news outlet Ideacarbon. In an interview with the Hong Kong-based news outlet Bauhinia, Huang Runqiu, head of China’s Ministry of Ecology and Environment (MEE), says that China’s “ecological civilisation” development currently remains at a “critical stage” marked by “overlapping pressures and significant challenges”.

MORE ON CHINA

• Bloomberg covers new analysis for Carbon Brief, which finds that China’s CO2 emissions increased in the first three months of 2026. Climate Home News also has the story.
• Reuters reports that Chinese EV makers are expanding in Europe with “competitive pricing and advanced technology” amid a global shift towards EVs. 
• Chinese EVs are playing an “increasingly important role in accelerating the global automotive transition”, says China Daily.
• Bloomberg reports that the EU is warning its citizens and companies about a “potential trade war with China” following a closed meeting last week. An “opinion line” article in China Daily says that China and the UK’s cooperation in “energy transition” and “climate governance” could benefit both countries.
• An editorial in China Daily says that, under new rules to protect overseas investments, China may adjust “country-specific” export restrictions on “certain goods and technologies”.
• The Financial Times reports that near-decade-low Chinese oil imports are “shielding” global markets from higher prices driven by the Iran war. 

The Associated Press reports that a Dutch court has handed Greenpeace a preliminary victory in an anti-intimidation case, rejecting a request from fossil-fuel pipeline company Energy Transfer to toss out the case. Reuters adds that Greenpeace is suing Energy Transfer for launching “meritless” lawsuits in the US against groups that protested against the Dakota Access pipeline project. It notes that a North Dakota judge ordered Greenpeace to pay $345m for its role in the protests. The New York Times adds that following Greenpeace’s filing of the countersuit in the Netherlands, Energy Transfer has sought to stop the case in a number of ways.

MORE IN LAW

• Inside Climate News reports that a US federal appeals court has dismissed a youth climate case against Trump, with the lead attorney for the 22 plaintiffs saying the court has “slammed the courthouse doors on children fighting for their lives”.
  

The Associated Press covers a new UN University report, which finds that the environmental footprint of data centres already rivals that of some of the world’s largest countries. It adds that the report predicts their water and energy use will double in just four years, as the use of AI grows. Reuters adds that, in 2025, data centres consumed 448 terawatt-hours (TWh) of electricity globally, more than the whole of Saudi Arabia. It continues that they also consumed around 4.5tn litres of water, while generating 189m tonnes of CO2. The Independent reports that data centre energy demand could double to 945TWh by 2030 – enough to power all 1.3bn people in sub-Saharan Africa for more than five years. Agence France-Presse quotes Kaveh Madani, director of the United Nations University Institute for Water, Environment and Health, who says: “What we are showing here is probably just the tip of the iceberg. We need to require more transparency. We need the providers to provide that information.” 

BusinessGreen covers new plans unveiled by National Grid in the UK for a £4.5bn investment in the electricity transmission system. It continues that the package of proposals for the next phase of grid upgrades has been submitted to the regulator Ofgem and is designed to deliver “secure, affordable and cleaner energy for Britain”. The article notes that the portfolio of proposed projects includes new connections for low-carbon generation, major industrial users and data centres, as well as investment to maintain and strengthen the grid amid growing electricity demand.

MORE ON THE UK 

• The Daily Telegraph reports that oil and gas giant BP is still considering quitting operations in the North Sea, following a review last month of the company’s offshore operation. 
• The Daily Telegraph reports that Greater Manchester Mayor and potential Labour leadership candidate Andy Burnham is “open-minded” about increasing oil drilling in the North Sea. The publication had a second article about the potential for energy secretary Ed Miliband to be made chancellor, if Burnham were elected leader.
• The Times reports that drilling is set to go ahead in the Sea Lion oilfield north of the Falkland Islands, following tension between the UK government – which sought to end oil and gas drilling licences in UK territories – and the Falkland Islands government, which argued it was a devolved right. 
• The Daily Telegraph reports that Sainsbury’s is switching from brown eggs to white as part of a push to reduce emissions, as the latter have a 12.7% smaller carbon footprint. 
• Reuters covers figures from New Automotive that find that car registrations were up by about 6% in May, driven by strong demand for battery electric vehicles, which accounted for 27% of all new registrations. 
• The Times reports that “officials have admitted Britain’s data centre boom could draw 40% more electricity than thought a few months ago, a surge that could push up energy bills”.

In the Financial Times, associate editor and business columnist Pilitia Clark argues that “home climate measures” may survive populist governments, as their rollout gathers pace due to their ability to save money. She points to high-polling political parties in the UK, Germany and Australia all being led by “net zero-bashing, climate-denying rightwing populists”. She continues to look at examples of the rollout of technologies such as heat pumps in the Netherlands, at “green mortgages” in Ireland and other schemes. Clark concludes: “Schemes like these will never be the complete answer to climate change. But they can do a lot when heating residential buildings has been producing around 10% of global emissions. Best of all, they can endure, no matter who wins the next election.”

MORE IN COMMENT

• Academics, including Thomas Piketty, argue that “a good life for the 99% isn’t a pipe dream” in the Guardian. [See News above.] 
• In the Guardian, Greg Jericho, a columnist and chief economist of the Australia Institute, argues that Australia’s GDP growth is “meaningless when the boom in datacentres means destroying jobs and the climate”.  
• In the New York Times, Christopher Smart, a trade adviser and a US Treasury official in the Obama administration, argues that the Strait of Hormuz crisis is “getting less dire by the day”.
• Writing in the Conversation, executive director of Climate Policy Monitor Helena Wright explores how methane policy will “make or break the climate crisis”.

In the Guardian, financial editor Nils Pratley argues that Greater Manchester Mayor Andy Burnham – who is being viewed as a future potential Labour leader – is “too vague” on energy and water. Pratley argues that “in energy-land, virtually nothing happens already without a command from above”, pointing to the nationalisation of the energy system operator, the approval system for new nuclear, solar and wind and the Treasury’s role in applying energy levies to bills. He continues to argue that, across water and energy, politicians should advocate for “stronger public control”, while questioning Burnham’s views on public control and nationalisation.  

MORE IN UK COMMENT

• In the Scotsman, editor Ian Johnston argues that former prime minister Tony Blair is “wrong” and that “the path to net-zero is paved with economic opportunities that the UK must seize”. 
• In Time, correspondent Justin Worland writes that London mayor Sadiq Khan “played the long game” with climate policy – and “it worked”.
• In a comment piece that features as a full-page spread in the Daily Mail newspaper, climate-sceptic diarist Quentin Letts misleadingly attacks “climate fanatic” Miliband over claims that people will have to cut back on meat and dairy consumption. [See Carbon Brief’s Q&A: “How UK’s seventh carbon budget will deliver ‘£865bn’ in economic benefits.”]
• The climate-sceptic Daily Telegraph carries a number of comment pieces, including one arguing that net-zero “killed British industry”, one questioning if Ed Miliband is to blame for Trump’s latest tariffs, one attacking “pointless solar panels” and one hitting out at giving up meat. 

This edition of the Daily Briefing was written by Molly Lempriere, with contributions from Henry Zhang and Anika Patel. It was edited by Leo Hickman.

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