The United States is the world's largest source of greenhouse gases. Its emissions of carbon dioxide currently amount to nearly one-fourth of the world total, and these emissions in recent years have been steadily rising at a rate of about 1.8 percent per annum. U.S. negotiations played a large part in writing the Kyoto Protocol but with the change of administrations in 2001, the government reversed its position and refused to accept regulation of emissions. The incoming administration cited two reasons: the prospect of damage to economic growth, and Kyoto's failure to address rising emissions from the big developing countries, particularly China.           

Instead, the federal government is following a climate policy that relies on voluntary cooperation by industry to reduce emissions and technical research and development to find ways to use energy without throwing carbon dioxide into the atmosphere. So far this policy has not shown any significant impact on the rising trend of carbon emissions.

But the federal government is far from the only player in U.S. climate policy. California has set dramatically low emissions goals for the long term and is in litigation over its right to impose emissions limits on cars. Seven northeastern states have formed the Regional Greenhouse Gas Initiative to reduce emissions from power plants. Some 20 states have enacted rules requiring sources of emissions, usually power plants, to rely more heavily on renewable fuels. Meanwhile a number of business firms, as they make long-term investments in energy plant and equipment, are pressing for greater clarity in future emissions rules.        

Even at the federal level, the administration is being challenged by a variety of legislative attempts to force faster progress in the development of a federal climate policy. In June 2005 the Senate passed a resolution declaring that the time had come to take action. All of this suggests that the pace of U.S. domestic policy development may accelerate.

Federal Approach
The federal government is investing heavily in climate research and in the development of clean energy technologies. RFF researchers follow Executive Branch initiatives and proposed and enacted federal legislation and regulation.

Regional Greenhouse Gas Initiative
Under the leadership of New York, seven northeastern states have formed a compact, the Regional Greenhouse Gas Initiative, to impose cuts on the greenhouse emissions from power plants. RFF researchers have investigated ways to construct the rules to ensure the greatest emissions reduction at least cost to the economy.

Fuel Efficiency
US policymakers continue to explore Corporate Average Fuel Economy (CAFE) standards and other efforts to reduce emissions from transportation fuels. RFF researchers have analyzed and evaluated these efforts.

Electricity Generation
Production of electric power contributes about 40 per cent of all carbon dioxide emissions in this country, and one issue is how to reduce those emissions without disrupting a vital service. RFF researchers have closely studied the electric utility industry and the possibilities for new emissions rules.

Renewables
Renewable sources of energy (not including hydropower from dams) provide about 2.3 per cent of America's electricity, and that proportion has changed little in recent years. RFF researchers have written extensively about the prospects for renewables and analyzed policies for increasing the use of them, such as renewable portfolio standards.

Energy Efficiency
Over the past three decades, American fuel consumption has dropped nearly in half in relation to the size of the national economy. RFF researchers have examined the reasons for this decline and the possibilities for speeding it up.