Report on the “One Big Beautiful Bill Act” and its Implications for Sustainable Development Goals

Introduction

The recent passage of the “One Big Beautiful Bill Act” has been framed by its proponents as a significant step towards achieving American “energy dominance.” This report analyzes the legislation’s provisions and expert commentary to assess its alignment with the United Nations Sustainable Development Goals (SDGs), with a particular focus on SDG 7 (Affordable and Clean Energy), SDG 13 (Climate Action), and related economic and industrial goals.

Analysis of SDG 7: Affordable and Clean Energy

The Act’s approach to energy policy presents a direct conflict with the core tenets of SDG 7, which advocates for ensuring access to affordable, reliable, sustainable, and modern energy for all. The legislation prioritizes fossil fuel production while actively disincentivizing renewable energy sources.

Promotion of Fossil Fuels over Clean Energy Sources

• The Act advances the “energy dominance” agenda, rooted in expanding oil and liquefied natural gas (LNG) production and exports.
• It mandates increased lease sales for oil and gas drilling, primarily in the Gulf of Mexico and Alaska.
• A study by the American Petroleum Institute (API) projects that similar measures would increase oil and natural gas production by 510,000 barrels of oil equivalent per day by 2040.

Deterioration of Clean Energy Capacity and Affordability

Expert analysis indicates that the gains in fossil fuel production are significantly outweighed by losses in the renewable energy sector, undermining both the “clean” and “affordable” aspects of SDG 7.

1. Reduced Renewable Generation: An analysis by Energy Innovation projects that the bill will result in a decrease of over 360 gigawatts in additional renewable energy capacity by 2035, compared to a gain of less than 20 gigawatts from fossil fuels. This net loss of 344 gigawatts is equivalent to the energy used by approximately 100 million homes.
2. Rollback of Incentives: The Act accelerates the phase-out of tax credits for wind and solar projects previously established under the Inflation Reduction Act, directly undercutting investment in clean energy.
3. Increased Consumer Costs: The reduction in new, low-cost renewable projects is expected to increase reliance on older, more expensive power plants. The REPEAT Project predicts this will raise average household energy costs by over $280 per year by 2035, a direct contradiction to the goal of affordable energy.

Implications for SDG 13: Climate Action

The legislation’s emphasis on expanding fossil fuel infrastructure and consumption poses a significant challenge to meeting the objectives of SDG 13, which calls for urgent action to combat climate change and its impacts.

Contradiction with Climate Goals

• By promoting increased domestic production and export of oil and gas, the Act works against national and global efforts to reduce greenhouse gas emissions.
• The simultaneous reduction of support for wind and solar, which are critical for decarbonizing the electricity grid, further exacerbates the negative climate impact.

Impact on Global Leadership and Partnerships (SDG 17)

• Experts, including Samantha Gross of the Brookings Institution, express concern that the U.S. is ceding future leadership in the growing global renewable energy sector.
• This policy direction risks diminishing the U.S.’s role in global partnerships for climate action and may increase reliance on supply chains dominated by other nations.

Broader Economic and Industrial Consequences

The Act’s energy strategy has far-reaching implications for several other SDGs, including SDG 8 (Decent Work and Economic Growth), SDG 9 (Industry, Innovation, and Infrastructure), and SDG 12 (Responsible Consumption and Production).

Challenges to Sustainable Economic Growth and Innovation (SDG 8 & 9)

• Critics like Cullen Hendrix of the Peterson Institute for International Economics argue the bill focuses on “last-generation technologies” (fossil fuels) while making the U.S. a “massively diminished player” in the rapidly growing renewable energy sector.
• Economists warn that higher energy prices resulting from the bill could negatively impact households and businesses, particularly in manufacturing, thereby hindering sustainable economic growth.
• Complex rules intended to limit foreign influence in supply chains could paradoxically lead to decreased U.S. manufacturing and innovation in clean energy technologies.

Promotion of Unsustainable Production and Consumption (SDG 12)

• The legislation directly encourages unsustainable production patterns by prioritizing the extraction of fossil fuels.
• Adam Hersh of the Economic Policy Institute notes that increasing exports of domestically produced energy, such as LNG, will likely increase competition for resources and raise energy prices for U.S. consumers and businesses, running counter to responsible consumption goals.

SDGs Addressed in the Article

The article discusses issues related to several Sustainable Development Goals (SDGs), primarily focusing on energy policy, its economic implications, and its impact on the transition to sustainable energy sources.

• SDG 7: Affordable and Clean Energy

  This is the most central SDG in the article. The entire piece revolves around the “One Big Beautiful Bill Act” and its impact on the U.S. energy landscape. It directly addresses the affordability of energy for consumers, the reliability of the energy supply, and the strategic shift between fossil fuels and renewable energy sources like wind and solar.

• SDG 13: Climate Action

  While the article focuses on the rhetoric of “energy dominance” rather than explicitly on climate change, the policy choices discussed have direct and significant implications for climate action. The debate between promoting fossil fuels (oil and gas) and supporting renewable energy (wind and solar) is at the core of national strategies to combat climate change. The article notes that the bill promotes “last-generation technologies” (fossil fuels) at the expense of renewables, which is a setback for climate goals.

• SDG 9: Industry, Innovation, and Infrastructure

  The article touches upon the development of energy infrastructure, investment in different energy technologies, and industrial competitiveness. It discusses the addition or loss of electricity generation capacity (measured in gigawatts) and the rules affecting supply chains for clean energy technologies, particularly in relation to competition with China. The bill’s impact on U.S. manufacturing and technological leadership in the renewable energy sector is a key theme.

• SDG 8: Decent Work and Economic Growth

  The economic consequences of the energy policy are discussed, linking to economic growth. The article mentions the bill’s goal of “Powering the Great American Comeback” and analyzes how the shift in energy strategy could impact different sectors. It highlights the risk of the U.S. becoming a “massively diminished player in a rapidly growing one: renewable energy,” which has long-term implications for economic growth and competitiveness.

• SDG 12: Responsible Consumption and Production

  The article’s focus on a policy that increases lease sales for oil and gas drilling and rolls back incentives for renewable energy directly relates to national consumption and production patterns. The bill encourages the production and consumption of fossil fuels while disincentivizing more sustainable renewable energy production, running counter to the goal of promoting sustainable patterns.

Specific SDG Targets Identified

Based on the article’s content, several specific SDG targets can be identified as being directly affected by the “One Big Beautiful Bill Act.”

1. Target 7.1: By 2030, ensure universal access to affordable, reliable and modern energy services.

   The article directly addresses the “affordable” component of this target. It cites analyses predicting that the bill will lead to increased energy prices for consumers. For example, one analysis projects that “average household energy costs will increase by over $280 per year by 2035, a more than 13 percent hike.” This suggests a negative impact on achieving this target.

2. Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix.

   The article provides strong evidence that the bill works directly against this target at a national level. It highlights a projected “decrease of more than 360 gigawatts in additional capacity from renewable energy” by 2035 due to the rollback of incentives for wind and solar. This policy is described as pushing “oil and gas and limit[ing] wind and solar,” thereby reducing the future share of renewables in the U.S. energy mix compared to previous projections.

3. Target 7.a: By 2030, enhance international cooperation to facilitate access to clean energy research and technology… and promote investment in energy infrastructure and clean energy technology.

   The article implies a negative effect on this target. Experts worry that the bill’s pullback from renewables will harm America’s global position, “ceding the renewable energy future to others,” specifically China. The rollback of tax credits and incentives for wind and solar projects disrupts investment in clean energy technology and infrastructure within the U.S.

4. Target 13.2: Integrate climate change measures into national policies, strategies and planning.

   The “One Big Beautiful Bill Act” is a national policy that, according to the analysis in the article, de-prioritizes climate-friendly energy sources. By “sunsetting, last-generation technologies” (fossil fuels) and cutting support for renewables, the bill represents a national strategy that moves away from, rather than integrates, measures to address climate change. As one expert notes, this is “net-negative globally (and locally) from a holistic perspective.”

5. Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable…

   The article discusses the future of America’s energy infrastructure. The bill is projected to result in a net decrease of 344 gigawatts of new generation capacity. Furthermore, the infrastructure that is encouraged (oil and gas) is less sustainable than the renewable energy infrastructure (wind and solar) that is being disincentivized, which is contrary to the goal of this target.

Implied Indicators for Measuring Progress

The article mentions or implies several quantitative and qualitative indicators that can be used to measure progress (or regression) towards the identified targets.

• Indicator for Target 7.1 (Affordable Energy): Average Household Energy Costs

  The article explicitly cites an analysis that uses this indicator: “average household energy costs will increase by over $280 per year by 2035.” This provides a clear, measurable metric for tracking the affordability of energy for consumers.

• Indicators for Target 7.2 (Renewable Energy Share):

  1. Change in Projected Renewable Energy Generation Capacity: The article uses this as a primary indicator of the bill’s impact, stating there will be a “decrease of more than 360 gigawatts in additional capacity from renewable energy.” This can be tracked over time.
  2. Change in Fossil Fuel Production: The article cites a study projecting an “increase [in] oil and natural gas production by 140,000 barrels of oil equivalent (BOE) per day by 2034.” This measures the growth of non-renewable energy sources.

• Indicator for Target 9.4 (Sustainable Infrastructure): Net Change in Electricity Generation Capacity (in gigawatts)

  The article uses this indicator to show the overall impact on the energy grid. Energy Innovation’s analysis projects a net “decrease of 344 gigawatts” in total additional capacity by 2035, which is described as “roughly equivalent to the energy use of about 100 million homes.” This measures the development of critical energy infrastructure.

• Indicator for Target 13.2 (Climate Policy): National Energy Legislation and Incentives

  The existence and content of the “One Big Beautiful Bill Act” itself serves as a qualitative indicator. Specifically, the “rollback of incentives for wind and solar projects” and the increase in “lease sales for drilling” are policy actions that can be monitored as indicators of the country’s commitment to climate action through its national strategies.

Summary of SDGs, Targets, and Indicators

Source: insideclimatenews.org