Report on U.S. Energy Policy and its Alignment with Sustainable Development Goals

Executive Summary

This report analyzes the current United States federal energy policy, which prioritizes fossil fuel expansion over renewable energy development. This policy direction presents significant challenges to achieving multiple Sustainable Development Goals (SDGs), particularly SDG 7 (Affordable and Clean Energy), SDG 8 (Decent Work and Economic Growth), and SDG 13 (Climate Action). The report contrasts the U.S. federal stance with global market trends, where clean energy technologies are experiencing rapid growth. Furthermore, it highlights the critical role of subnational governments, private sector innovation, and multi-stakeholder partnerships (SDG 17) in advancing the sustainability agenda despite federal headwinds.

Analysis of U.S. Energy Policy and Global Market Trends

Federal Policy Shift and Economic Consequences

The administration’s policy of “American energy dominance” through expanded fossil fuel production and the elimination of federal support for clean energy has had direct economic consequences. This approach diverges from the principles of SDG 7 by contributing to rising energy costs for consumers and undermines SDG 8 by reversing a domestic manufacturing boom in the clean energy sector.

• Utility rates have risen more than twice the rate of overall inflation, impacting energy affordability.
• The revocation of tax credits has led to the cancellation of manufacturing projects and the loss of jobs in the renewable energy supply chain.
• This policy shift hinders progress towards SDG 9 (Industry, Innovation, and Infrastructure) by discouraging investment in modern, sustainable energy infrastructure.

Comparative Analysis of Global Energy Exports

The global energy market is increasingly favoring renewable technologies, a trend that challenges the economic viability of a fossil-fuel-centric strategy. China’s dominance in the clean energy export market illustrates a significant global shift towards achieving SDG 7, an area where the U.S. is losing competitive ground.

1. 2024 Data: Chinese clean energy exports totaled $180 billion, surpassing U.S. fossil fuel exports of $150 billion.
2. 2025 Year-to-Date (July): Chinese clean energy-related exports reached $120 billion, compared to $80 billion in U.S. carbon-based energy exports.

This growing gap indicates that global economic growth (SDG 8) is increasingly linked to the production and deployment of sustainable technologies, not the expansion of legacy energy sources.

Innovation and Subnational Efforts Towards Sustainability

Technological Innovation for Responsible Production (SDG 12)

Despite federal policy, the private sector is advancing innovations that support a sustainable transition. The Lilac Solutions project exemplifies progress towards SDG 9 and SDG 12 (Responsible Consumption and Production) by developing less environmentally harmful methods for critical mineral extraction.

Project Overview: Lithium Extraction from Brine

• Objective: To extract lithium, a key component for batteries essential for SDG 7, from brine deposits at sites like the Great Salt Lake.
• Technology: A patented ion-exchange technology that avoids the environmental damage associated with traditional mining.
• Investment: A $250 million plan to build a commercial facility.
• Projected Output: An initial capacity of 5,000 metric tons of lithium annually by 2028.
• Potential Impact: This method could unlock vast domestic lithium resources, strengthening the supply chain for clean energy and transportation while adhering to more sustainable production patterns.

Subnational Climate Action and Partnerships (SDG 17)

In response to the federal government’s reversal on climate policy, a coalition of state and local leaders is working to maintain momentum on climate action. The “America Is All In” initiative, as described by former EPA Administrator Gina McCarthy, is a key example of SDG 17 (Partnerships for the Goals) in action.

Key Objectives of the Initiative:

1. Upholding Climate Commitments: To ensure progress continues at the subnational level, contributing to SDG 11 (Sustainable Cities and Communities) and SDG 13 (Climate Action).
2. Fostering Economic Opportunity: To demonstrate that a strong economy and a healthy environment are mutually reinforcing, aligning with SDG 8.
3. International Engagement: To represent U.S. subnational climate leadership on the global stage, such as at the upcoming UN Climate Change Conference, ensuring continued international collaboration.

This movement underscores the power of localized action and multi-level governance in driving the 2030 Agenda for Sustainable Development forward.

Analysis of Sustainable Development Goals in the Article

1. Which SDGs are addressed or connected to the issues highlighted in the article?

1. SDG 7: Affordable and Clean Energy

   • The article’s central theme is the tension between promoting fossil fuels (“American energy dominance”) and supporting clean energy (solar, wind, batteries). It discusses the economic and practical advantages of renewable power, such as being “cheaper” and installable “faster,” directly connecting to the goal of ensuring access to affordable and clean energy.

2. SDG 8: Decent Work and Economic Growth

   • The article links energy policy to economic outcomes. It mentions that Biden-era programs supporting clean energy “generat[ed] hundreds of billions of dollars in private investments and creat[ed] hundreds of thousands of jobs.” The reversal of these policies is leading to job losses and canceled manufacturing projects, highlighting the connection between sustainable energy and economic growth.

3. SDG 9: Industry, Innovation, and Infrastructure

   • The text discusses a “manufacturing boom in America” for “batteries, clean vehicles and energy-efficient products.” It also highlights innovation in resource extraction, such as Lilac Solutions’ technology to pull lithium from brine, which is a less environmentally harmful method than traditional mining. This focus on building resilient infrastructure and fostering innovation aligns with SDG 9.

4. SDG 12: Responsible Consumption and Production

   • The section on extracting lithium from the Great Salt Lake and other brine deposits addresses the sustainable management of natural resources. The article notes that this method “avoids the higher costs and environmental harms of traditional mining,” which is a direct link to promoting responsible production patterns.

5. SDG 13: Climate Action

   • The entire article revolves around climate policy and its consequences. It discusses the reversal of federal climate policies, the cancellation of solar projects, and the efforts of subnational groups like “America Is All In” to continue fighting climate change. The interview with former EPA Administrator Gina McCarthy explicitly focuses on taking action on climate change despite federal inaction.

6. SDG 17: Partnerships for the Goals

   • The “America Is All In” initiative is presented as a multi-stakeholder partnership of “mayors, our elected officials, our colleagues at the community level” working together to advance climate goals. The article also mentions their plan to work “internationally as well” and have a presence at the UN Climate Change Conference, demonstrating a commitment to global partnerships.

2. What specific targets under those SDGs can be identified based on the article’s content?

1. SDG 7: Affordable and Clean Energy

   • Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix. The article supports this by stating that “in the first half of 2025, additions of new solar and wind power were the fastest-growing source of electricity generation, overtaking coal worldwide for the first time.”
   • Target 7.a: By 2030, enhance international cooperation… and promote investment in energy infrastructure and clean energy technology. The article discusses how federal support (tax credits) spurred “hundreds of billions of dollars in private investments” in clean energy, and how their removal is reversing this momentum.

2. SDG 8: Decent Work and Economic Growth

   • Target 8.2: Achieve higher levels of economic productivity through diversification, technological upgrading and innovation. The article points to the “manufacturing boom” in clean energy sectors like batteries and clean vehicles as a form of technological upgrading and economic diversification that created “hundreds of thousands of jobs.”

3. SDG 9: Industry, Innovation, and Infrastructure

   • Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable… with greater adoption of clean and environmentally sound technologies. The development of “new factories… making batteries, clean vehicles and energy-efficient products” and the innovative lithium extraction technology by Lilac Solutions are direct examples of this target.
   • Target 9.b: Support domestic technology development, research and innovation. The article highlights how revoked tax credits had previously kicked off a manufacturing and innovation boom in America, and profiles Lilac Solutions, a startup refining its “patented ion-exchange technology for lithium extraction.”

4. SDG 12: Responsible Consumption and Production

   • Target 12.2: By 2030, achieve the sustainable management and efficient use of natural resources. The plan to extract lithium from brine, which “avoids the higher costs and environmental harms of traditional mining,” is a clear effort towards more sustainable and efficient use of this mineral resource.

5. SDG 13: Climate Action

   • Target 13.2: Integrate climate change measures into national policies, strategies and planning. The article is a case study of this target in action and in reverse, contrasting the Biden-era “Inflation Reduction Act” with the Trump administration’s elimination of “billions of dollars in federal support for clean energy projects.”

6. SDG 17: Partnerships for the Goals

   • Target 17.17: Encourage and promote effective public, public-private and civil society partnerships. The “America Is All In” initiative, described as “gathering together our mayors, our elected officials, our colleagues at the community level,” is a prime example of a civil society and public partnership to achieve common goals.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

1. For SDG 7 (Affordable and Clean Energy)

   • Indicator: Value of clean energy exports vs. fossil fuel exports. The article provides specific figures: “Chinese exports of clean energy-related products this year through July total $120 billion… By comparison, the U.S. exported just $80 billion of carbon-based energy.” This data measures the economic scale and global demand for clean energy versus fossil fuels.
   • Indicator: Rate of growth of different electricity sources. The article states that “additions of new solar and wind power were the fastest-growing source of electricity generation, overtaking coal worldwide for the first time,” which serves as a direct indicator of the increasing share of renewables.

2. For SDG 8 (Decent Work and Economic Growth)

   • Indicator: Number of jobs created in the clean energy sector. The article explicitly mentions that previous policies were “creating hundreds of thousands of jobs” in clean energy manufacturing.
   • Indicator: Amount of private investment in sustainable industries. The text notes that clean energy programs generated “hundreds of billions of dollars in private investments.”

3. For SDG 12 (Responsible Consumption and Production)

   • Indicator: Production capacity of sustainably sourced materials. The article specifies that the Lilac Solutions facility at the Great Salt Lake “could produce 5,000 metric tons of lithium per year by 2028,” providing a measurable output for a more sustainable production method.

4. For SDG 13 (Climate Action)

   • Indicator: Existence and funding of national climate policies. The article uses the implementation and subsequent reversal of the “Inflation Reduction Act” and the elimination of “billions of dollars in federal support for clean energy” as clear indicators of a country’s policy direction on climate action.

4. Summary Table of SDGs, Targets, and Indicators

Source: forbes.com