Climate Energy and Environment

Climate, energy, and environmental policy explain how the U.S. government protects communities, manages natural resources, and shapes everyday costs like gas, electricity, and groceries. These policies span decarbonization, energy production, distribution, and consumption, including building codes and fuel standards[2]. Federal energy policy is principally led by the U.S. Department of Energy and intersects closely with climate and environmental policy[2].

The government delivers historic financial stimulus through the Bipartisan Infrastructure Law (BIL), the Inflation Reduction Act (IRA), and the CHIPS and Science Act to expand the clean energy economy[3]. Under BIL, approximately USD 550 billion was allocated for clean energy and infrastructure, while the IRA provides an estimated USD 370 billion to promote energy security and combat climate change[3]. By March 2024, these laws leveraged private sector clean energy investment announcements totaling USD 670 billion[3].

The U.S. aims to achieve 100% carbon-free electricity generation by 2035 using wind, solar, geothermal, hydropower, nuclear, and biomass[3]. To reach this goal, the nation estimates it needs 2,000 GW of new clean electricity capacity and energy storage by 2035[3]. In the buildings sector, the Blueprint for Decarbonising Buildings targets a 65% reduction in emissions by 2035 and a 90% reduction by 2050 compared to 2005 levels[3].

For more details on breaking down gas prices and utility bills, see Why Gas Prices Are So High: Breaking Down the Cost of Every Gallon.