About the author: Katie Mehnert is CEO and founder of ALLY Energy, an ambassador to the U.S. Department of Energy’s Equity in Energy Initiative, and a member of the National Petroleum Council.
In the coming days, I’ll be joining a team of leaders from across the energy sector who are coming together to take part in two major events, ringing the closing bell at the New York Stock Exchange and running the TCS New York City Marathon. Both of these are aimed at sending a crucial message: The private sector can and must lead the energy transition to an era of net-zero carbon emissions through innovation and talent.
New forms of energy are becoming more widely adopted. There’s a great deal of international competition in these industries. For the U.S. to come out on top, we must put the free-market system to use—making sure that the best, most efficient projects become success stories, fueling the future.
A powerful reminder of this came just days ago, when the Biden administration announced it is deploying $7 billion in funding for hydrogen projects. Hydrogen is promising because it can be consumed without producing emissions. The new funding should drive more than $40 billion in private investment and create thousands of jobs, Time reported.
The U.S. has strong natural advantages in building up hydrogen. China, a close competitor, has also been developing and investing in its hydrogen capabilities. If the U.S. trails behind China, huge amounts of global funding will flow abroad, and our markets will feel the loss.
To help the U.S. economy win as the worldwide leader in energy, investments must keep flowing into climate-focused industries, including the U.S. climate tech sector. This includes investments not only from stockholders, but also from large companies. For example, while
Chevron’s
deal to buy
Hess
made news in recent days, it has also been stepping up its investments in alternative fuels.
Time for a Team Mentality
Over the last few years, there’s been vocal pushback against the idea of investing in ways that benefit the climate, especially when it involves environmental, social, and governance factors. Some people insist that ESG strategies oppose free market principles. But the opposite is true. Strategic investing with a focus on advancing climate goals is good for the markets and for the world.
Leaders from the energy sector know this. And we are in a unique position to show the nation that it’s possible to work together and increase profitability while transitioning the world into a new era of cleaner energy.
That’s why we’ve assembled our marathon team, filled with leaders from renewable energy businesses and oil giants, startups, and government agencies. Together, we’re showing that cooperation is possible—and that it’s downright necessary for the journey to net zero.
We’re also demonstrating that people of all backgrounds can work together as a team. Our pack is filled with women and members of minority groups who are often underrepresented in the energy sector. To create new solutions and deliver results, efforts need as much diversity as possible—including diversity of experiences and perspectives. To meet these ambitious climate goals, the energy workforce of the future needs diversity, equity and inclusion.
Crossing Bridges Together
A marathon is the perfect metaphor for the effort to change how the world produces and consumes energy. It’s a monumental task. With energy demands on the rise, the end goal is far off. But that doesn’t mean giving up. It means persisting with grit until the goal is met.
The marathon course includes five bridges. People need to “bridge” their differences in order to advance the country along this path. And the economy will need bridge technologies such as natural gas as the capacity of renewable alternatives grows.
The more than 40 members of our team have invested a lot in preparing for this race. We’ve poured in time, energy, and money as we get ready. And while we each need to run at our own pace, we’ll also be supporting each other the whole way.
Everyone can support the run toward net zero by investing in companies that are helping get us there, supporting efforts to build and train the energy workforce, or contributing toward energy literacy for the next generation. In this sense, everyone committed to strengthening the environment and the economy is on the same team.
Our message to the markets: Join us on this vital journey. Getting to the finish line is vital to our shared future.
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