Energy policy certainty is needed from Trump administration and Congress to achieve U.S. economic goals

On Inauguration Day 2025, President Donald Trump signaled he would take several executive actions related to America’s energy, climate, and environmental protections, including withdrawing the U.S. from the Paris Agreement. 

“As the U.S. welcomes a new administration and Congress, the world is shifting to clean, innovative, and affordable sources of energy. Ceres is committed to working with policymakers on both sides of the aisle to show why major investors and businesses continue to prioritize American clean energy action – and why failing to capitalize on the current clean energy boom would hurt the U.S. economy.  

“The U.S. has emerged in recent years as a global hub for clean energy, guided by a strong policy environment to support private investment. This has brought considerable benefits to the nation’s manufacturing base, domestic supply chains, and energy security, reinvigorating the economy as we face rising energy demand and competition from geopolitical rivals. However, several policies proposed by President Trump will slow this momentum and complicate the U.S.’s path to fully realizing this enormous economic opportunity. 

“The decision to withdraw the U.S. from the Paris Agreement will deprive the nation of a chance to participate and lead in a global discourse about the future of energy and the world economy. American investors and businesses depend on consistency, reliability, and predictability, which is why companies of all sorts – including Exxon Mobil – have called for the U.S. to remain in the historic agreement. Because they continue to recognize climate-related financial risk and the many economic opportunities in building an advanced economy, we know that private-sector leaders across the country will remain all in on achieving its goals. 

“Further, efforts to interfere with development of clean energy infrastructure will hurt the nation’s ability to deliver abundant energy and reduce prices as the U.S. faces rising power demand with the advent of artificial intelligence and the resurgence of domestic manufacturing. And plans to curb federal pollution and efficiency standards will hurt the ability of U.S. companies to compete and win on the global stage, especially given the long track record of pollution standards in helping to achieve innovative technological breakthroughs.  

Despite President Trump’s proposed executive actions, America is still well-positioned to reap the many economic benefits of innovating, manufacturing, and deploying clean energy resources. As the new administration and Congress prepare to debate tax policy in the coming months, leading U.S. businesses have joined organizations like the U.S. Chamber of Commerce and the American Petroleum Institute in strongly calling for Congress to maintain the federal clean energy tax credits that have helped make the U.S. a global leader in energy solutions. If these tax credits are not kept in place, the U.S. will miss out on a clear opportunity to lead the world in clean energy, costing itself countless manufacturing jobs, higher utility bills, and increased pollution that harms communities and the economy. 

Now is not the time for America to cede its position as one of the best places in the world to build new energy technologies that are in growing global demand. In 2025, Ceres looks forward to working with investors and companies to make the case in Washington and in states across the country – and to policymakers on both sides of the aisle – for maintaining the momentum of America’s clean energy boom.” 

As President Trump takes office, investors and businesses will continue to call for government action to address the severe financial and economic risks of climate change. In November, more than 650 investors with $33 trillion in global assets called for a whole-of-government approach to implement economy-wide policies in line with the Paris Agreement’s goal to limit average temperature rise to prevent more worsening and costly unnatural disasters. This month’s wildfires in Los Angeles are reportedly expected to become the costliest in U.S. history, with losses expected to surpass $135 billion. Investors are urging policymakers to support industry efforts to reduce emissions from high-pollution sectors and increasing private investment in climate mitigation, resilience, and adaptation in emerging markets and developing economies. 

The federal clean energy tax incentives included in the Inflation Reduction Act have helped unleash a flood of private capital into building and deploying clean energy in the U.S. Since taking effect in 2022, the U.S. has seen more than $420 billion invested into more than 750 clean energy projects across 48 states, which are expected to create more than 400,000 jobs. Because the law is benefiting communities in red, blue, and purple states, it has widespread business support and has also gained bipartisan support in Congress. Eighteen Republican House lawmakers called for the law’s clean energy incentives to be preserved should Republican leadership seek to repeal or reform the law. 

About Ceres

Ceres is a nonprofit advocacy organization working to accelerate the transition to a cleaner, more just, and sustainable world. United under a shared vision, our powerful networks of investors and companies are proving sustainability is the bottom line—changing markets and sectors from the inside out. For more information, visit ceres.org.