Report Shows Clean Energy Surpasses Coal but More Climate Action is Required

WASHINGTON, D.C. --  A new report finds that while renewable energy has surpassed coal as a source of power in the United States for the first time in over 60 years, climate-driven extreme weather events are driving up emissions in the building sector as more energy is required to heat and cool the places people live, work, and play.

The Biden Administration’s historic Inflation Reduction Act is a major turning point that will deliver significant reductions in climate-destabilizing pollution as early as this year. But today’s report, released by the nonpartisan Rhodium Group, reveals that aggressive additional action from federal agencies, states, and the private sector is required to achieve the emissions reduction targets set under the Paris Climate Agreement, which scientists agree is necessary to mitigate the worst impacts of the climate crisis.

Key findings of the report:

• While emissions have increased 1.3% from 2021 levels, the United States economy grew faster than emissions, an important difference from 2021 where GDP growth was outstripped by emissions growth.
• The power sector is driving emissions reductions, thanks to a shift from coal to renewable energy.
• Clean energy generation grew by more than 12% in 2022 compared to 2021, but continues to experience headwinds.
• Transportation emissions increased slightly due to growth in air travel, and transportation emissions remain the economy’s single largest source of greenhouse gas emissions overall.
• Compared to 2021, emissions increased the most in the buildings sector, driven primarily by weather-related demand for heating and cooling.
• Even with projected improvements from the IRA’s historic investment in climate and clean energy, the United States is not on track to meet its climate goals stated in the Paris Climate Agreement. 

In response, Sierra Club Senior Director of Energy Campaigns Holly Bender released the following statement:

“For the first time since the 1960s, renewable energy has eclipsed coal, marking a huge milestone as we continue the important work of transforming the power sector from fossil fuels to clean energy. This is a major accomplishment, and one that might have seemed impossible to some when we first launched the Beyond Coal Campaign over a decade ago. But thanks to the tireless efforts of our people-powered movement and their commitment to creating cleaner, healthier communities, coal use continues to decline as this dirty fossil fuel of a bygone era is replaced by renewable energy.

“Today’s report is also a sobering reminder that as long as fossil fuels have a grip on our economy, the road to achieving our climate goals remains steep. We must continue our work to electrify our homes and vehicles, and reduce energy consumption. President Biden has unused tools in his toolbox to reduce emissions from polluters like power plants and diesel trucks, keep fossil fuels in the ground, and preserve nature as a critical climate strategy. Time is of the essence for the Administration to truly commit to its “all of government” promise to take on the climate crisis.”