U.S. Swimming Against the Tide on Climate Change?

Following President Donald Trump’s signing of an executive order reversing U.S. direction on environmental policy on Tuesday, questions are being raised about the future of U.S. participation in global efforts to combat climate change.

Administration officials have indicated that the president will announce his willingness to continue as a partner in the Paris Climate Agreement by the end of May. Business executives from over a dozen major corporations who sit on advisory councils for the administration have come out publicly to state that they believe in climate change and urge the U.S. to remain committed to the Paris Agreement.

After the signing of Tuesday’s executive order, four major technology companies — Apple, Amazon, Google and Microsoft — issued this statement:

"Strong clean energy and climate policies, like the Clean Power Plan, can make renewable energy supplies more robust and address the serious threat of climate change."

Other companies, like PepsiCo, General Electric, Intel and Walmart, have indicated that the administration’s policy direction will not affect their trajectory. They have already invested in technology and infrastructure development to participate in combating climate change. And as strong consumer brands they must be responsive to the environmental concerns of their customers and shareholders in order to protect their market share.

"Combating climate change is critical to the future of our company, customers, consumers and our world", stated Jay Cooney, a spokesman for PepsiCo. Katie Lewallen, a spokeswoman for Intel, also offered:

"Regardless of regulatory changes, we intend to continue our commitment to environmental stewardship, including working to fulfill the climate change pledge we made in 2015."

At the same time, government scientists that specialize in renewable energy research are concerned the administration’s budget proposals will make the U.S. unable to compete in the growing global renewable energy market. For the remainder of the 2017 fiscal year the administration has proposed a 25 percent cut to the Office of Energy Efficiency and Renewable Energy (EERE). For fiscal year 2018 the proposed cuts are in the realm of 45 percent.

The 2018 proposed budget blueprint states:

"The Budget for DOE [Department of Energy] demonstrates the Administration’s commitment to reasserting the proper role of what has become a sprawling Federal Government and reducing deficit spending. It reflects an increased reliance on the private sector to fund later-stage research, development and commercialization of energy technologies and focuses resources on early-stage research and development."

Most affected by the EERE cuts would be the National Renewable Energy Lab (NREL) in Golden, CO. Their work has contributed to a massive decrease in the cost of renewable energy systems and a related upward increase in the renewable energy economy for over 25 years; impacts due to increased investment by the Obama administration were particularly strong. From 2010 to 2016 NREL research contributed to a 74 percent cost decline for utility-scale solar, according to the Energy Department.

Their programs help to develop new technology and shepherd it through the long process to commercialization. According to energy policy experts like Venkatesh Narayanamurti, a Harvard Kennedy School professor, this research and development is often too risky for private sector companies.

Meanwhile, China continues to invest billions in renewable energy, emerging as the global leader in technology advancement and system installation. In 2016 they invested $19.2 billion more than the U.S., and are aggressively moving into the growing markets for renewable energy in developing countries throughout Sub-Saharan Africa, South America, Southeast Asia as well as India.

Many countries, led by China and the E.U., have publicly reaffirmed their commitment to the Paris Agreement following Trump’s signing of the executive order on Tuesday. It remains to be seen whether the U.S. will actively participate in the global push to combat climate change, or try to swim back against the tide.

Should the administration continue to commit to the Paris Agreement and other efforts to combat climate change? Tell them what you think!

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— Asha Sanaker

(Photo Credit: Public Domain)