United States

EPA Proposes New Power Plant Emissions Rule

On May 8, 2023, the U.S. Environmental Protection Agency (EPA) proposed the New Source Performance Standards for Greenhouse Gas Emissions from New, Modified, and Reconstructed Fossil Fuel-Fired Electric Generating Units; Emission Guidelines for Greenhouse Gas Emissions from Existing Fossil Fuel-Fired Electric Generating Units; and Repeal of the Affordable Clean Energy Rule. Pursuant to the EPA’s authority under the Clean Air Act, the proposed rule would set new source performance standards (NSPS) and emissions guidelines on gas-fired combustion turbines, existing coal, oil and gas-fired steam generating units, and certain existing gas-fired combustion turbines. The proposed rule would: 1) set revised NSPS for GHG emissions for new fossil fuel-fired stationary combustion turbine power plants; 2) set revised NSPS for GHG emissions at existing fossil fuel-fired steam generating power plants that undertake large modifications; 3) update GHG emissions guidelines for existing fossil fuel-fired steam generating plants; 4) update GHG emissions guidelines for the largest, most frequently operated existing stationary combustion turbines; and 5) repeal the Affordable Clean Energy Rule. The Affordable Clean Energy Rule, which proposed to regulate GHG emissions via “generation shifting,” or ordering some utilities to generate less electricity from fossil-fuel based sources such as coal, was the subject of West Virginia v. EPA, the U.S. Supreme Court case issued last term. West Virginia v. EPA limited the authority of the EPA to require such “generation shifting” pursuant to its powers under the Clean Air Act. This new proposed rule responds to the West Virginia ruling, and now focuses instead on using technologies like carbon capture and storage (CCS) and hydrogen. Observers have noted that the rule presents both an opportunity and a challenge to these industries. “The EPA is calling the bluff of the power industry,” said Charles Harvey, a professor of civil and environmental engineering at the Massachusetts Institute of Technology. “There have been so many arguments that they’ve made in favor of CCS as a mature technology…Now the EPA is saying, ‘OK, you have to do it[.]’ ” The proposed rule does not mandate the use of such technologies, but requires overall pollution caps and requirements for coal-fired power plants and many natural gas plants whereby their continued operations may only be feasible, under the proposed rule, with the incorporation of such technology.

IRS Releases Preliminary Guidance on the IRA Domestic Content Bonus Credit

On May 12, 2023, the U.S. Internal Revenue Service (IRS) released long-awaited guidance on the domestic content bonus credit under the Inflation Reduction Act of 2022 (IRA). Specifically, the IRS released Notice 2023-38 regarding the domestic content bonus credit that is applicable to Sections 45, 45Y, 48, and 48E of the Internal Revenue Code of 1986, as amended (the Code). This notice follows an earlier notice (Notice 2022-51) released in October 2022 soliciting comments on bonus tax credit requirements, which we covered in a previous client alert. The domestic content bonus credit provides a 10 percent increased production tax credit (PTC) amount for a qualified facility or a 10 percentage point (or 2 percentage point if prevailing wage and apprenticeship requirements are not satisfied) increased investment tax credit (ITC) amount for an energy project, qualified facility, or energy storage technology, if the applicable project satisfies the “domestic content requirement,” and the taxpayer timely submits a certification statement to the IRS. The notice describes the rules regarding the domestic content requirement and related recordkeeping and certification requirements, as well as a safe harbor that classifies certain components in representative types of applicable projects as being either steel or iron components or manufactured products. The notice states that U.S. Department of Treasury (Treasury) and the IRS intend to issue proposed regulations that provide further guidance in line with the notice.

Please see our client alert for additional information about the details of the IRS’s preliminary guidance on the IRA domestic content bonus credit.

DOE’s Loan Programs Office Offers $3 Billion Loan Guarantee to Sunnova

Last month, the U.S. Department of Energy’s (DOE) Loan Programs Office (LPO) announced a conditional commitment of $3 billion in partial loan guarantees to support energy-as-a-service provider Sunnova Energy Corporation’s (Sunnova) deployment of distributed energy resources. The LPO’s loan commitment is slated to support Sunnova’s 568 megawatt Project Hestia program, which aims to provide loans for solar and battery assets for homeowners and individuals in disadvantaged communities throughout the United States. This loan commitment would also mark the LPO’s first loan guarantee award supporting deployment of a virtual power plant.

FERC Enacts Rule Allowing Incentive-Based Rate Treatment for Utility Cybersecurity Investments

The Federal Energy Regulatory Commission (FERC) released the final Incentives for Advanced Cybersecurity Investment rule, which will allow utilities to recover eligible cybersecurity investments through ratemaking. The rule, which was required by the Infrastructure Investment and Jobs Act of 2021, aims to protect the United States’ energy infrastructure by incentivizing and facilitating utility cybersecurity investment.

Maryland Establishes 8.5 GW Offshore Wind Target for 2031

On April 21, 2023, Maryland Governor Wes Moore signed the Promoting Offshore Wind Energy Resources Act (Power Act) into law. The POWER Act sets a statewide, nonbinding goal for Maryland to deploy 8.5 gigawatts of offshore wind capacity by 2031. Additionally, the POWER Act requires the Maryland Public Service Commission to solicit proposals for, or request that PJM Interconnection LLC solicit proposals for, the development of open access transmission facilities. The open access transmission facilities would be designed to lower transmission costs associated with offshore wind by allowing competing offshore wind generation facilities to transmit electrons through the same transmission line and interconnect at the same substation. Following enactment, Maryland now has the second largest state offshore wind goal in the country, trailing only New York.

California Passes Advanced Clean Fleets Rule and Sets Train Emissions Standards

On April 28, 2023, the California Air Resources Board (CARB) approved the Advanced Clean Fleets Regulation (State and Local Government Agency Fleet Requirements; High Priority and Federal Fleets Requirements; Drayage Truck Requirements; 2036 100 Percent Medium- and Heavy-Duty Zero Emissions Vehicle Sales Requirements), which phases out sales of medium and heavy-duty trucks with internal combustion engines in California by 2036. The regulation also provides phase-out periods for other types of heavy-duty vehicles with internal combustion engines, such as garbage trucks and local buses, which must transition to zero-emissions propulsion by 2039.

Additionally, on April 27, 2023, CARB approved the In-Use Locomotive Regulation, which sets emissions standards for trains, with the goal of reducing emissions from locomotives that operate in California. Under the new rule, locomotive operators will be required to pay an amount, determined by their emissions generated while operating in California, into a spending account, which may be used by the operators to upgrade to cleaner locomotive technologies.

New California PFAS Prohibition to Go into Effect on July 1, 2023

California Assembly Bill Number 652 will go into effect on July 1, 2023. The law bans the sale or distribution of any new “juvenile product” that contains regulated perfluoroalkyl and polyfluoroalkyl substances (PFAS). A “juvenile product” is a product designed for use by infants and children under 12 years of age. Manufacturers will be required to replace PFAS in juvenile products with the least toxic alternative. California is just one of several states including Colorado, Maine, New York, Oregon, and Vermont that have implemented PFAS restrictions or bans related to juvenile products that have already gone into, or are going into, effect. An even broader list of states has recently banned, or will soon ban, the use of PFAS in cookware, including California, Colorado, Connecticut, Hawaii, Maine, Maryland, Minnesota, New York, Rhode Island, Vermont, and Washington.

More States Enact Anti-ESG Laws

Anti-ESG state laws generally fall into one of two categories, measures restricting the consideration of ESG factors in state investment strategies and anti-boycott bills targeting companies doing business with state governmental entities. In late April 2023, Kansas and Indiana enacted laws that limit the explicit use of certain ESG considerations by the state. For example, the Kansas law, which goes into effect on July 1, 2023, limits the “state, any agency of the state, any political subdivision of the state or any instrumentality thereof,” from adopting “any procurement regulation or policy” that discriminates based on any ESG criteria. The Kansas law defines “environmental, social and governance criteria” as “any criterion that gives preferential treatment or discriminates based on whether a company meets or fails to meet one or more of the following criteria,” among others: 1) emitting greenhouse gases or not disclosing or offsetting such greenhouse gas emissions; 2) having a governing corporate board or other officers whose race, ethnicity, sex, or sexual orientation meets or does not meet any criteria; or 3) facilitating or assisting or not facilitating or assisting employees in obtaining abortions or gender reassignment services. Most recently, Florida has enacted one of the most-restrictive anti-ESG laws adopted to date, requiring that all state, and local government, investment decisions be based exclusively on pecuniary factors. This law will broadly impact a wide range of state investment decisions, perhaps most notably all Florida pension funds. Florida, Kansas, and Indiana join a growing list of states that have enacted similar laws, including Arkansas, Idaho, Kansas, Kentucky, Montana, North Dakota, and Utah.

The enactment of anti-ESG laws is part of a trend as more states pass laws that address ESG. Certain states, including Illinois, Maryland, Massachusetts, New Mexico, and Oregon have passed laws promoting the use of ESG factors in state investment decisions.

Europe

EU and Norway Form Green Alliance

The European Union (EU) and Norway entered into a Green Alliance to help both jurisdictions meet their climate commitments, including their Paris Agreement commitments to keep global temperature rise below 1.5 degrees Celsius. Through the Green Alliance, the EU and Norway intend to collaborate across multiple priority climate sectors, including carbon pricing, carbon removal, carbon capture, and hydrogen and offshore wind deployment.

EU Passes Five New “Fit for 55” Laws

On April 25, 2023, the Council of the EU announced the adoption of five pieces of legislation as a part of the EU’s “Fit for 55” legislative agenda. The laws are: 1) a revision of the Emissions Trading System (ETS) Directive; 2) a revision of the ETS Aviation Directive; 3) an amendment of the Monitoring, Reporting, and Verification Shipping Regulation; 4) the adoption of a Regulation establishing a Social Climate Fund; and 5) the adoption of a Regulation establishing a Carbon Border Adjustment Mechanism.

Please see our client alert for additional information about the details of the “Fit for 55” legislative agenda and these new laws.

EU Publishes Q&A on the EU SFDR

On April 5, 2023, the European Commission (EC) published a Decision answering questions raised by European Supervisory Authorities (ESAs) regarding what is a “sustainable investment” for the purposes of the Sustainable Finance Disclosures Regulation (SFDR). Published in 2019, the SFDR sets out a mandatory disclosure regime on a wide range of ESG metrics and criteria, applicable to asset managers and other financial market participants. The recent guidance contains the third set of questions and answers (Q&As) by the EC, following two previous Q&As in decisions published in July 2021 and May 2022. The new Decision includes guidance on the boundaries of “Article 9” products (i.e., those with the highest sustainability ambitions and disclosure obligations) and what it means to have sustainable investment as their objective. The Decision also contains interpretation of sustainable investments, as defined in Article 2(17) of the SFDR.

ESAs Propose Amendments to EU SFDR

Following a mandate from the EC, the ESAs outlined a suite of proposed amendments relating to principal adverse impact (PAI) indicators as described in the SFDR. Under the proposed rules, financial institutions that invest in sustainable investments would be required to publicly disclose quantitative thresholds related to the PAI indicators. Currently, financial institutions are only required to take into account PAI indicators in their decision-making and have no obligation to disclose these factors publicly. The aim is to increase transparency and accountability in sustainable-investing practices. The ESAs have also proposed the extension of mandatory indicators to incorporate additional social indicators, including impacts arising from earnings in noncooperative tax jurisdictions, the cultivation and production of tobacco, and employees earning less than an adequate wage. Comments must be submitted by July 2023 ahead of the final ESA advice, which is expected in October 2023. These proposals will then need to be considered by the EC and will also be subject to scrutiny by the European Parliament and the Council before being legislated.

Standards and Frameworks

IAASB Advances Consultation Timeline on Sustainability Assurance

On April 24, 2023, the International Auditing and Assurance Standards Board (IAASB) announced that it expects to open its proposed new standard for sustainability assurance, the General Requirements for Sustainability Assurance Engagements (ISSA 5000), for public consultation in late-July or early-August of 2023. IAASB is developing ISSA 5000 to be an overarching standard for both limited and reasonable assurance of sustainability information.

ISSB Calls for Candidates to Lead the Transition Implementation Group

On April 28, 2023, the International Sustainability Standards Board (ISSB) put out a call for nominations of candidates to participate in its Transition Implementation Group on IFRS S1 and IFRS S2. The ISSB expects to release IFRS S1, General Requirements for Disclosure of Sustainability-related Financial Information and IFRS S2, Climate-related Disclosures in the second quarter of 2023.

ISSB Seeks Feedback on ESG Priorities

On May 4, 2023, ISSB announced that it is seeking feedback on its priorities for its next two-year work plan. ISSB has identified four potential projects, three of which are sustainability-related: 1) biodiversity, ecosystems, and ecosystem services; 2) human capital; and 3) human rights. ISSB will take comments until September 1, 2023.

TNFD Publishes Final Beta Draft of Proposed Disclosure Framework

The Taskforce on Nature-related Financial Disclosures (TNFD) has published the final beta draft of its proposed Nature-related Risk & Opportunity Management and Disclosure Framework. The beta framework outlines three tiers of proposed disclosure metrics to guide adopters: core global disclosure metrics; core sector disclosure metrics; and additional disclosure metrics. The final framework is intended to supplement the standards set by bodies such as the International Sustainability Standards Board and the Global Reporting Initiative. TNFD expects to publish the final framework in 2023.

Venture Climate Alliance Formed with UN Support

More than 20 venture capital firms have come together to form the Venture Climate Alliance (VCA) to drive the transition to net zero. The VCA commits to achieving net zero or negative emissions by 2030 or sooner, encourage their portfolio companies to aim to achieve net zero by 2050, assist those companies in their net zero transition, and provide transparent reports on progress towards these goals. The VCA also joined the United Nations (UN) Glasgow Financial Alliance for Net Zero as a part of the UN Race to Net Zero campaign.

Association of LGBTQ+ Corporate Directors Releases Report on LGBTQ+ Board Representation

The Association of LGBTQ+ Corporate Directors, a 501(c)(6) nonprofit organization, published the results of its study on LGBTQ+ board representation. The study found that out LGTBQ+ persons are underrepresented on publicly listed companies, representing 0.6 percent of seats on all publicly listed companies, despite representing 5.6 percent of the U.S. population.

ISS E&S Disclosure QualityScore

On April 21, 2023, ISS ESG, the sustainable investment arm of Institutional Shareholder Services (ISS), announced that it will implement a comprehensive update to its Environmental & Social Disclosure QualityScore in the third quarter of 2023. The announcement states that “[m]ore than 150 factors will be revised for greater relevance, close to 50 factors retired, and more than 60 new factors will be added.”

State Street Updates Guidance on Board Diversity and Overboarding

As discussed in our April Sustainability and ESG Advisory Practice Update, State Street Global Advisors (SSGA) published its updated Proxy Voting and Engagement Guidelines – North America (United States and Canada). Following the publication of those updated guidelines, SSGA also published updated Guidance on Board Oversight of Director Time Commitments and updated Guidance on Diversity Disclosures and Practices. These updated guidance papers provide additional insights into SSGA’s voting guidelines relating to overboarding and board diversity. All of SSGA’s guidance papers may be found here.

Comment Period on Proposed FTC Noncompete Clause Ban Closes

On April 19, 2023, the comment period closed for the U.S. Federal Trade Commission’s proposed Non-Compete Clause Rule. The proposed Non-Compete Rule, which is based on concerns about harms to workers and to competition, would ban employers from entering into noncompete clauses with their workers, including independent contractors. The Non-Compete Rule would also require employers to rescind existing noncompete clauses with workers and inform their employees that such clauses are no longer in effect. The proposed Non-Compete Rule defines a “non-compete clause” as a contractual term between an employer and a worker that prevents the worker from seeking or accepting employment with a person, or operating a business, after the conclusion of the worker’s employment with the employer. Violations of the prohibition on noncompete clauses would constitute an unfair method of competition, and therefore a violation of the Federal Trade Commission Act.

McDonald’s Franchisees Fined by DOL for Child Labor Violations

On May 2, 2023, the U.S. Department of Labor (DOL) announced $212,544 in fines levied against three McDonald’s franchisees who operate 62 McDonald’s locations for allowing over 300 children to work in violation of federal child labor law. This enforcement action is part of a broader trend amid an increased incidence of violations of federal child labor law reported by the DOL and discussed in our April newsletter.

Ninth Circuit Invalidates Berkeley Residential Gas Ban

A panel from the U.S. Court of Appeals for the Ninth Circuit struck down a Berkeley, California city ordinance that banned natural gas piping into new construction. The Ninth Circuit concluded that the ban was expressly preempted by the Energy Law and Conservation Act (EPCA), which expressly preempts state and local energy use standards for natural gas appliances. The ban was preempted because, by preventing natural gas piping into new buildings, the ban regulated the use of natural gas appliances in new buildings by completely preventing those appliances from being used. The Ninth Circuit also held that the plaintiffs, the California Restaurant Association, had associational standing to challenge the law.

Georgia Landowners Awarded $135.5 Million in Pollution Lawsuit

On April 29, 2023, a Georgia jury awarded Shaun and Amie Harris $135.5 million in a suit against Silicon Ranch Corporation (SRC) and SRC contractor Infrastructure and Energy Alternatives (IEA). The jury found that while clearing land for a solar farm in Stewart County Georgia SRC and IEA intentionally polluted the Harris’ downstream property. The jury awarded compensatory damages of $10.5 million and $125 million in punitive damages; $25 million against SRC, $50 million against IEA Inc., and $50 million against IEA Constructors, LLC.

Wells Fargo Settles Claims Related to First-Ever Union Drive at a Large U.S. Bank

On April 28, 2023, Wells Fargo Clearing Services, LLC (Wells Fargo) entered into a Settlement Agreement with the Communications Workers of America (CWA), AFL-CIO, to settle claims that Wells Fargo made improper threats against an employee who was passing out pro-union flyers in a breakroom. The settlement requires Wells Fargo to post notices that inform employees of certain rights related to union organizing “in conspicuous places in and around” the Wells Fargo office in question.

Federal Judge Rules That California Board Diversity Law Violates the Federal Constitution

On May 15, 2023, Judge John A. Mendez granted summary judgement on the Alliance for Fair Board Recruitment’s motion for summary judgment alleging that California Assembly Bill No. 979 (CA Bill 979) violates the Equal Protection Clause of the U.S. Constitution and 42 U.S.C. § 1981. CA Bill 979 required that publicly held corporations located in California have a minimum number of directors—depending on the size of the company’s board—from certain defined underrepresented racial, ethnic, and LGBTQ backgrounds. Judges in California state court last year ruled that both CA Bill 979 and California Senate Bill 826, which required a minimum number of female directors on California company boards, violated the California Constitution. The cases in California state court remain on appeal.

President Biden Vetoes Legislation That Would Have Reinstated Tariffs on Solar Panels

On April 28, 2023, the U.S. House of Representatives (the House) passed a resolution to repeal the Biden Administration’s two-year suspension of tariffs on solar panel imports from Cambodia, Thailand, Malaysia, and Vietnam. Twelve congressional Democrats voted in favor of the resolution. The U.S. Senate passed the resolution in a 56-41 vote on May 3, 2023. On May 16, 2023, President Biden vetoed the resolution to maintain the suspension of tariffs. The U.S. solar industry has been widely opposed to these tariffs due to the expressed need to have a transition period to ramp up domestic solar manufacturing.

Separately, the Commerce Department is currently investigating whether the People’s Republic of China is circumventing tariffs by routing solar products through Malaysia, Thailand, Cambodia, and Vietnam.

President Biden Creates the Office of Environmental Justice

On April 21, 2023, President Biden signed an Executive Order entitled Revitalizing Our Nation’s Commitment to Environmental Justice for All. Among other things, the Executive Order establishes the White House Office of Environmental Justice (OEJ), which will be led by the Federal Chief Environmental Justice Officer. The OEJ will be tasked “with coordinating the implementation of environmental justice policy across the federal government.”

Federal Debt-Limit Negotiations:

• Proposed Repeal of the Inflation Reduction Act: The House passed legislation (H.R. 2811), which would repeal a majority of the IRA’s clean energy provisions as part of a negotiating tactic to tie raising the federal debt limit to this repeal, among other items in the bill. H.R. 2811 would repeal the production tax credit for clean hydrogen, advanced manufacturing credit, clean electricity production credit, clean fuel production credit, electric vehicle credits, nonbusiness energy property credit, residential clean energy credit, and include substantial modifications in the form of reducing the amount of the credit for the investment and production tax credits, energy efficient home credit, alternative fuel refueling credit, advanced energy project credit extension, and other changes. While debt limit-related negotiations continue and the final legislation may change significantly, H.R. 2811 is not the first bill that has targeted repeal or amendment of IRA provisions. Specifically, Senator Joe Manchin (D-WV) previously introduced legislation to undo portions of the Treasury’s implementation guidance regarding Internal Revenue Code Section 30D, the electric vehicle tax credit, which restricts use of critical minerals and battery components coming from “foreign entities of concern.” Senator Manchin’s proposed legislation reflects his public statements that the so-called “transition rule” promulgated by the Treasury, which permits up to 50 percent of critical minerals in a battery to be sourced from outside the U.S. or a free trade agreement partner country, undermines the intention of the IRA to bolster domestic supply chains for critical minerals and battery components.
• Energy Permitting Reform: A bipartisan group of lawmakers on the Senate’s Committee on Environment & Public Works are negotiating the inclusion of energy permitting reforms in the debt-limit package. Senators Shelley Moore Capito (R-WV) and John Barasso (R-WY) introduced the Spur Permitting of Underdeveloped Resources Act, or “SPUR Act,” which would amend federal laws pertaining to onshore and offshore oil and gas leasing, permitting of federal oil and gas minerals, liquified natural gas exports, and make a variety of changes to FERC’s authority. There is bipartisan interest in improving permitting times and alleviating burdensome requirements that have delayed the deployment of clean energy projects.

Wilson Sonsini Submits Amicus Brief on Behalf of Scientists in Support of NRDC Petition for Review

The National Resources Defense Council (NRDC) petitioned the D.C. Circuit for review of EPA’s decision to withdraw a determination to regulate perchlorate concentration in drinking water, arguing that the EPA lacked the authority to withdraw that determination under the Safe Drinking Water Act. A Wilson Sonsini pro bono team submitted an amicus brief on behalf of 14 leading scientists, public health professionals, and researchers in support of the NRDC’s petitions for review. In this latest decision, the D.C. Circuit panel held that the Safe Drinking Water Act does not permit the EPA to withdraw a regulatory determination and granted the NRDC’s petition. EPA’s withdrawal decision was vacated and remanded to the agency for further proceedings. The decision represents an important victory regarding agency action and the EPA’s duty to promulgate national standards for clean drinking water.

The Wilson Sonsini team that worked on the matter was led by partners David Berger and Deno Himonas and included John Peterson, Larissa Lee, Lisa Davis, Anthony Geritano, and Diana Lopez. Please see our client highlight for additional information.

Wilson Sonsini Represents Market Leaders in Applications for DOE Funding Under the IRA and BIL

As part of its work to advance functional capital stacks for climate solutions, Wilson Sonsini has advised innovation-driven market leaders in all aspects of the submissions and related transactions for funding opportunities, including those made available by the U.S. Department of Energy (DOE) through the Bipartisan Infrastructure Law. Our efforts span advanced (low carbon) manufacturing, vehicle electrification, hydrogen Hubs, direct air capture Hubs, and carbon capture and sequestration. With project ranging from $3 million to multiple billion and building on our prior advanced materials, fission, fusion, and renewables work, Wilson Sonsini has helped clients in advancing new classes of transformational technologies, projects, and teams.

The Wilson Sonsini team that worked on these teams was led by Elise Zoli, and included Mark Bass, Beau Buffier, Hershel Wein, Andrew Braff, Martin Sul, Seth Cowell, Timothy Kobes, Jaron Goddard, Claire Christensen, Brandon King, Jesse Lazarus, James Newhouse, Jenifer Kyle, and Adam Pacheco.

Wilson Sonsini Advises Spring Lane Capital on $31 Million Fundraise for Spring Free EV

On April 6, 2023, Spring Free EV, a financial technology company accelerating the adoption of electric vehicles (EVs) through innovative fintech products, announced the completion of a $31 million fundraise that includes a debt facility and a Series A equity investment led by Spring Lane Capital, a $400 million private equity firm focused on providing hybrid capital for sustainable solutions in the energy, food, water, waste, and transportation industries. Wilson Sonsini advised Spring Lane Capital on both the debt facility and Series A equity investment totaling $31 million.

The Wilson Sonsini team included Scott Zimmermann, Bob O'Connor, Jason Slagle, Priyanka Nawathe, Elke Trilla, Sylvia Koh, Ira Palgon, Nicole Gambino, Brandon King, and Chelsea Mitchell, with support from Adam Pacheco and Qui Flood. Please see our client highlight for additional information.

Wilson Sonsini Advises Mast Reforestation on Carbon Removals Streaming Agreement with Carbon Streaming

On May 10, 2023, Mast Reforestation, the leading vertically integrated reforestation company, announced a $15 million financing agreement with Carbon Streaming Corporation to advance its post-wildfire reforestation projects throughout the American West. This first-of-its-kind project financing will cover the high upfront costs of reforestation projects, accelerating Mast’s forest restoration work and enabling the company to serve more landowners affected by wildfires. Wilson Sonsini Goodrich & Rosati represented Mast Reforestation in the transaction.

The Wilson Sonsini team that advised Mast Reforestation on the transaction includes Bob O’Connor, Scott Zimmermann, Elise Zoli, and Karli McConnell. Please see our client highlight for additional information.

Wilson Sonsini Sponsors the 28th Annual Directors’ College at Stanford Law School

Stanford Law School’s Directors’ College, which will be held on June 26-28, 2023 addresses a broad range of problems faced by directors and C-level executives of publicly traded companies, including the board’s role in setting business strategy, ESG, CEO succession, and more. Wilson Sonsini partner Randy Lewis will serve as a panelist for the program, “Navigating Climate Risk and Opportunity,” on Wednesday, June 28, 2023. Please see our program registration webpage for more details.