How Electric and Gas Utilities Can Prepare for Three Policy Futures

May 23, 2023

Why should utilities prepare for three different policy futures? Climate policy in the United States has been volatile and unpredictable for the past decade. Nowhere is turbulent climate
policy more evident than in the utility sector. The authors will examine three distinct possible climate policy scenarios that may occur through 2030. Utilities are required to make prudent and reasonable expenditures, and investments can become stranded or politically unpopular when the planned-for scenario does not come to pass. These scenarios can serve as starting points for conversations with state regulators about how best to help a utility serve customers, inform policy conversations with stakeholders and prevent stranded assets.