With the private sector responsible for nearly two-thirds of the heat-trapping carbon emissions produced by the United States, American companies are a linchpin in the domestic and global fight to slow climate change. The good news? With an eye on the bottom line, US companies are rising to the challenge.
Almost half of Fortune 500 companies have set targets to reduce greenhouse gas emissions, buy renewable energy such as wind and solar, and/or increase energy efficiency. Their voices are becoming louder, too. Today 630 companies and investors called on Washington to accelerate the low-carbon economy in the United States and stand strongly behind the Paris Agreement, our first truly global plan to combat climate change. Large iconic brand companies and small businesses from 44 states joined forces to stand for continuing action. With nearly $1.2 trillion in annual revenue and 1.8 million people employed, their call for continued action on climate change is wide and deep across America.
And momentum from the private sector shows no sign of easing. Companies have come to realize that setting ambitious emissions reduction goals unleashes innovation and saves them money. The continuing drop in the price of electricity produced from renewable energy, and the security renewables provide against future energy price increases and volatility, are leading some companies to set more ambitious goals and others to set them for the first time.
However, companies need greater access to renewable energy to achieve their goals. In the few states where customers can buy their energy from any supplier, transactions are often too complex. In most states, where customers don’t have a choice of electricity providers, the vast majority of utilities don’t offer their large corporate customers the option to buy renewable energy.