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No sector of the economy is being more profoundly affected by climate change regulation than the energy and utilities sector. The initial debate over whether the global warming phenomenon is “real” has quickly given way to legislative measures aimed at reducing greenhouse gas emissions, promoting renewable resources, increasing energy efficiency and advancing new clean and green technologies. Many states have enacted climate change measures, other states are considering them, and Congress is expected again to take up the climate change debate, as well as a broader debate on federal energy policy, in the coming months.

Electric generating plants that run fossil fuels are a primary source of greenouse gas emissions, and thus a primary focus of climate change regulation. Utilities and other energy suppliers are moving forward with substantial investments in non-traditional energy resources, increased energy efficiency programs, and new technologies for reducing emissions from fossil plants. Climate change regulation is also contributing to a resurgence in nuclear power and an expansion of the electric transmission grid. This article describes some of the projects, initiatives and other developments that are emerging from the energy and utilities sector due to climate change regulation.