U.S. Energy Policy: States Tighten Restrictions, Feds Boost Coal, Wind and Solar Advance
In a mix of developments, lawmakers across nearly every U.S. state legislature have proposed bills to restrict energy project siting and permitting this year. Meanwhile, the U.S. Interior Department is set to unveil policies aimed at boosting coal output, despite the industry's shrinking workforce and economic unviability. In a shift, West Virginia has emerged as the fifth leading energy producer, focusing on coal, natural gas, and oil, while residents grapple with high energy prices.
On the decarbonization front, a nonprofit foundation in Minneapolis has successfully retrofitted its historic headquarters to run entirely without natural gas, demonstrating the viability of decarbonizing older buildings. However, early-stage funding in climate tech companies has seen a decrease this year, with investors shifting focus to later-stage companies. Oil executives have criticized the Trump administration's attacks on offshore wind, citing constant policy changes as harmful to their industry.
Utility-scale battery storage installations set a record of 4.9 gigawatts in Q2 2023, but potential installations in 2027 are expected to fall due to reduced federal support. Notably, the federal Office of Energy Efficiency and Renewable Energy has added 'climate change', 'green', and 'decarbonization' to its list of words to avoid. In a first watch, Peak Energy has deployed the nation's first grid-scale sodium-ion battery system in Colorado.
Wisconsin regulators have approved a 118-megawatt wind farm and a 180-megawatt solar farm, marking the first wind farm approval in the state since 2011. The Federal Energy Regulatory Commission (FERC) has appointed Chair/Chairman Noël to lead the modernization and integration of transmission planning and interconnection processes, with Alison Clements having stepped down from the position in 2023.
These developments highlight the complex landscape of energy policy and innovation in the U.S., with states and federal agencies taking varied approaches to energy production, decarbonization, and infrastructure modernization.
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