Energy policy shapes a nation’s energy security, climate change mitigation, and economic competitiveness. Policies reduce energy cost burdens — especially for low-income households — by increasing household and industrial energy efficiency.
Diversifying domestic energy production and reducing fossil fuel reliance strengthens national security. Meanwhile, federal facilities – from administrative headquarters to national parks – model responsible energy use.
Federal Energy Regulatory Commission (FERC)
FERC regulates the transmission of electricity, fossil fuels, and natural gas across states. It also oversees the development of energy projects like hydropower plants and liquified natural gas terminals and interstate pipelines. FERC is an independent agency whose members are nominated by the president and confirmed by the Senate. Its legal authority comes from the Federal Power Act and the Natural Gas Act as well as other federal statutes.
Until recently, many people paid little attention to FERC, with its sleepy bureaucracy and important rulings known only by their numbers (Orders 888 and 2000 are notable examples). But when Jon Wellinghoff took over as chair of FERC in 2009, he spoke passionately about the promise of renewables and the need for a national clean energy strategy. Since then, FERC has reclaimed its prominence as an important energy policy actor. But its future remains uncertain. The Trump administration has yet to nominate anyone to replace the two vacant seats at FERC, and without a full complement of five commissioners, critical infrastructure projects could be delayed.
Department of Energy (DOE)
The Department of Energy (DOE) leads national efforts in research, development, and deployment of energy technologies. It also focuses on nuclear stewardship through waste management and addressing the nation’s nuclear weapons stockpile.
The DOE manages a large network of research centers, including 17 national laboratories. The labs conduct diverse energy technology research ranging from renewables to fossil fuels, and from basic science to advanced applied sciences.
DOE’s enabling Act requires it to submit a biennial National Energy Plan that provides status reports of the nation’s energy situation and forecasts supply and demand trends. It must also provide expert inputs on federal initiatives, such as tax and environmental policies, that might have significant energy-related consequences. In addition, it is required to establish a culture that values openness through its work plans, performance reviews, and contracting activities. This effort includes developing a system of declassification, making information more available online, and encouraging leadership that champions the issue.
State Energy Offices
State energy offices are responsible for developing and implementing state-level energy conservation plans. They operate under federal guidelines but vary by state. To develop a comprehensive plan, the office should consider incorporating several cost-effective efficiency policies and tools. These can include building labeling and disclosure, utility incentives, and best practice efficiency programs.
In addition, they allocate or oversee more than $7 billion derived from ratepayers and state appropriations annually to support energy infrastructure, renewable energy, and efficiency efforts. These initiatives are essential for advancing state-level energy and climate policy, and creating jobs in the clean economy.
The National Association of State Energy Officials (NASEO) is a non-profit organization whose members are the governor-designated energy officials in all 50 states and territories. It is dedicated to advancing state energy policies through collaboration, advocacy and resource sharing. NASEO has a catalog of state-level EE potential analyses, and also provides training, tools and technical assistance. The ENERGY STAR program is also available to help local governments implement effective energy efficiency and renewable energy policies and programs.
Local Energy Offices
Local energy consulting is like a seasoned guide, providing a critical shield against regulatory missteps that could spell costly fines or project delays. From municipal ordinances and state-level regulations to unique environmental factors, a nuanced understanding of regional landscapes shapes more targeted, impactful strategic energy management strategies – with measurable cost-efficiency and sustainability gains.
Upgrading outdated infrastructure with energy efficiency and renewable energy solutions is a powerful way for local government to reduce overhead expenses, increase financial savings, cut carbon emissions, and demonstrate commitment to sustainability. However, many local governments are struggling to overcome capital constraints.
Energy microgrids provide a more cost-effective and sustainable alternative to generators, allowing local governments to reach their resilience, efficiency, electrification, and carbon targets. Unlike traditional backup systems that are dependent on the grid, a microgrid generates and stores on-site renewable energy supply to reduce demand charges and power costs during peak prices, while also reducing operational expenses.