State climate fights to watch in the new year

By Adam Aton | 01/02/2025 06:11 AM EST

Three interrelated trends — growing energy demand, rising costs and worsening climate impacts — will shape statehouse action in 2025.

Maryland Gov. Wes Moore (D) speaks at a podium.

Maryland is among the states mulling a "climate superfund" and cap-and-trade system. But the administration of Democratic Gov. Wes Moore has been reluctant to embrace policies that could raise consumer costs. Mark Schiefelbein/AP

State capitals face a turbulent year for climate policy, as growing energy demand collides with worsening climate impacts and the all-but-certain decline of federal clean energy investments.

Donald Trump’s return to the White House promises to upend the federal subsidies and regulations that undergird recent state climate action. That will come as artificial intelligence and data centers drive a spike in electricity demand, exacerbating cost-of-living concerns as utilities seek to build new generation infrastructure and prolong the life of coal and gas plants.

Those trends will shape this year’s legislative sessions from Albany, New York, to Austin, Texas, experts say.

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“Everybody’s talking about data centers and load growth,” said Justin Balik, senior state program director for Evergreen Action. “There is going to be a need to really confront electricity costs in a significant way.”

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