Where the market meets regulation.
- The companies in this region show diversity in their performance but little true climate action leadership.
- Based on the trends assessed, 70% are expected to decline in their performance in the near term.
- The median for Northern America is 9.5D- (excluding Comision Federal de Electricidad, grouped in Latin America); for the overall ranking it is 7.1D-.
- Nearly all of the US-based companies are members of the Chamber of Commerce or the American Gas Association, both with negative climate positions.
As the IEA notes, “the United States has a complex electricity system with a mix of competitive markets, vertically integrated markets, and private and publicly owned assets, [so] regulatory responses to ensure a smooth transition of the power sector will vary across US regions.”
In light of this and moving forward, the benchmark will support the WBA and our ally organisations and governments explore regulatory and investment related actions. For example, what impact can be achieved when investors tap into these competitive markets to accelerate decarbonisation in the electric utilities sector? And, how can state regulation – such as the California Renewables Portfolio Standard 2030 that PG&E appears on track to meet – bolster companies’ ambition?