Celebrating Earth Day earlier this week and experiencing the recent solar eclipse reminds us of the beauty and fragility of our planet. It helped underscore the importance of protecting our environment through accelerating the energy transition and enabling resiliency.

State and local governments can have an important role to play in leading the energy transition, including setting ambitious renewable energy targets, investing in grid modernization, and promoting energy efficiency and affordability. States have an opportunity to leverage momentum from energy transition-related funding to build the systems and infrastructure that could sustain long-term energy transition strategies. Additionally, state governments are at the center of increasing resilience and will be pivotal to implementing systematic responses.

As we enjoy the vibrant colors of spring, we invite you to share your feedback, questions, and topics you would like us to cover.

Thank you for your service,
Tim Ward and Jess Kahn from McKinsey’s US State & Local Government Practice

• How can US states and local governments advance a successful clean-energy transition? There are three "no-regrets" actions state leaders can take to catalyze their energy transition journey, including 1) determining an initial baseline of in-state emissions and setting targets or refreshing existing targets to reflect ongoing factors 2) leveraging scenario analysis to ensure an optimal approach 3) developing a strategy for bringing in the right expertise and resources (e.g., fed funds)
• How could public sector take the lead in designing and implementing climate adaptation plans? Our experience shows that responding to these challenges at a state and municipal level can provide an important first step and at the same time highlights the need for central coordination and funding
• How to harness federal infrastructure funds to deliver sustainable, inclusive economic growth? Consider three actions: engaging a broad range of stakeholders, including representations of marginalized groups; providing support for competitive grant seekers; and providing transparency at each stage
  

• 2024 will be the year of government implementation. Although we are already a third into the year, government leaders can turn potential to performance and drive confidence in the government’s capacity to deliver for its people
• Mapping the road to prosperity and parity for Black and Latino residents across America. Unfortunately, the US is behind in eliminating overall disparities for either Black or Latino residents over the next century
  

Power-full planning
US government leaders can play a key role in accelerating the energy transition. Planning for power demand under various scenarios is one way leaders can potentially stay a step ahead

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