Advanced Energy Perspectives

As policymakers, industry, and advocates lean into the challenge of decarbonizing the economy, hydrogen has for some become the New New Thing, an energy source that gives off no harmful emissions and is not dependent on the weather. As with many technologies that experience a surge in interest, there is both excitement and skepticism about hydrogen as a clean energy source, prompting AEE to ask: What is the appropriate role of hydrogen in an advanced energy economy? What should policymakers be considering when hydrogen is proposed as a solution for reaching a 100% clean energy future? We don’t have all the answers to these questions, but we do have a set of principles for approaching them.

As Russia’s brutal invasion of Ukraine drags on, it’s important to realize the role our energy choices are playing in the conflict. Our nation’s addiction to oil is financing violent autocrats, like Vladimir Putin, giving them the resources to wage wars abroad and oppress citizens at home. Congress and the White House have reacted by sanctioning Russia’s economy and banning fossil fuel imports from Russia to eliminate America as one of their customers, but it does not put Putin out of business. The best way for America to bankrupt Putin and other petro-dictators is by slashing oil demand here and around the world.

The need to deploy vast new supplies of advanced energy technologies to achieve a 100% clean electricity system and power the transportation and building sectors with clean electricity is well documented. Expanding the nation’s electric transmission infrastructure — the long-distance high-voltage lines that deliver electricity in bulk from generation resources to local distribution networks — is a key part of achieving that goal. A variety of challenges stand in the way of transmission expansion, ranging from weak planning processes, to fights over who will pay the cost of new lines, to local permitting and siting issues. Addressing these challenges will require policy changes not just at the federal level, where recent attention has been focused, but also in states and local communities.

After nearly two years of pandemic paralysis, the new worry about the U.S. economy is inflation. After a long period of stability, prices are up, taking a bite out of household spending power. And as usual when prices rise, some of the most visible evidence can be found at the gas pump and in heating bills. But the spike in these energy prices shouldn’t be thought of as inflation at all. Rather, it’s a function of volatility, which is an inherent feature of fossil fuels. The answer to this price volatility is not found in the Strategic Petroleum Reserve, gasoline-tax holidays, or interest-rate increases. The solution is advanced energy.

When it comes to energy policy, all eyes have been on Washington, D.C., over the past year. Meanwhile, with far less attention, the states continue to lead the way in our energy transition. Between figuring out how to put to work funds from last year’s federal infrastructure bill, carrying out their own mandates for clean energy, and prepping for an electric transportation future, states will remain the primary venue for building an advanced energy economy in 2022. Here are some of the trends AEE will be watching – and engaging in – this year.