Executive Summary

This report aims to inform state and local policymakers, as well as other stakeholders, about policies the Southern states could adopt to decarbonize and create well-paying jobs. While decarbonizing is front and center, equity is also incorporated throughout; as a more resilient South means not only addressing the climate crisis, but confronting the economic insecurity crisis simultaneously.

Communities in the South are coming to terms with their new reality: life in the era of climate change. The region is highly exposed to climate change impacts given its extreme vulnerability to increased temperatures and rising sea levels, low levels of climate mitigation and adaptation to date, and high level of inequality (GCRP, 2018; Muro et al., 2019). A recent study showed that as global warming intensifies, economic losses will disproportionately affect the South (Hsiang et al., 2017).

While some warming and sea level rise are already locked in, bold action on climate mitigation and adaptation policy now can wean the region off fossil fuels, leading to a healthier, safer, and more resilient South.

The poverty crisis in the South will continue to be amplified by climate change, making it that much more important for the region to act. High levels of poverty and inequality are associated with energy insecurity, increased vulnerability during extreme weather events, and higher levels of pollution. Considerable attention in this report is focused on how to tackle the climate crisis while easing the energy burden for the most vulnerable households.

The South has the opportunity for climate leadership and the economic prosperity it brings. This report equips state and local policymakers, as well as other stakeholders, with actionable policies that reduce emissions, promote employment and economic growth, and provide broad-based health benefits by eliminating deadly co-pollutants. Reducing greenhouse gas emissions will be no small feat. Yet, it is achievable. The South is poised to make up for lost time by passing bold climate policy to protect the environment and propel the economy forward.

To address the climate crisis and make tangible emissions reductions, we recommend the following policies to sectors of the economy be implemented:

Electricity Sector Policy

• Enact Renewable Portfolio Standards and Clean Electricity Standards that set annual benchmarks for the production of clean or renewable electricity state-wide. Reduce the financial burden associated with deep decarbonization by implementing Policies for Stranded Costs, such as power plant debt refinancing mechanisms and funds for workers affected by power plant shutdowns.

• Adopt Distributed Generation Policies, such as net metering, that reduce regulatory barriers and provide incentives to increase deployment of distributed energy resources and technologies such as photovoltaic solar arrays and battery storage.

Building Sector Policy

• Get a head start on deep decarbonization by reducing total energy consumption of residential and commercial buildings via Energy Efficiency Investments, including passing an Energy Efficiency Resource Standard.

• Reduce in-home reliance on polluting fuels by funding Building Electrification programs that target home appliances and heating/cooling systems.

• Strengthen Building Codes and Zoning requirements for new construction that expand energy efficiency requirements and target urban sprawl.

Transportation Sector Policy

• Enact Electric Vehicle (EV) Policies to provide market-based incentives that reduce consumer barriers to EVs and support producers, in tandem with policies that build out city-level EV infrastructure.

• Electrify and expand bus and light rail transit systems through Public Transit Investments to reduce automobile traffic and provide reliable transportation services to residents.

• Prioritize the needs of pedestrians and bicyclists by centering Walk and Bike Mobility goals in urban planning policy.

Carbon Pricing

• Hold polluters accountable for carbon emissions by setting a Carbon Price and directing subsequent revenue to carbon dividends, renewable energy, and community equity investments.

Agricultural and Oceans Policy

• Decarbonize the Agriculture sector by providing financial and technical support to farmers engaged in regenerative agriculture practices that sequester carbon in soil and protect rural lands.

• Expand publicly owned Forests and Wildlands to conserve native biodiversity and maintain carbon sinks.

• Enact and enforce regulation of Coastal Ecosystems to protect the ocean’s natural ability to store carbon long-term.