An energy transition has begun in the United States, including a widespread shift from coal to natural gas and renewables. As society addresses climate change, decarbonizing the economy will lead to further transformation of the energy system, likely involving expansion of clean energy generation, a boost in electric vehicles, and further reductions in fossil fuel use.
In this transition, prioritizing fairness for workers and communities that have historically depended on fossil energy economies will be important—what many refer to as a just transition. Ensuring fairness for workers and communities in transition is a complex task, one that has grown more pressing in the context of the COVID-19 pandemic and associated recession. This research aims to help policymakers explore the range of policy options available for facilitating a just transition in the United States.
This paper compiles findings from a series of reports that unpack existing US and European policies related to just transition. To help policymakers identify the components of a comprehensive just transition policy package, more than 100 policies have been grouped into four primary categories: (1) Economic Development, (2) Workfoce Development, (3) Public Benefits, and (4) Infrastructure and Environmental Remediations, as well as four crosscutting policy areas. Together, these policy mechanisms address the major challenges associated with energy transition and are likely help facilitate a just transition.
The research is distilled into five important insights for effective just transition policymaking:
- Multiple and customizable policy types are needed
- Coordinated delivery is essential
- Strategic timing and sequencing of policy implementation are important
- Equitable and inclusive policymaking and implementation are critical
- Challenges that the energy transition poses for public revenue streams must be addressed