U.S. Administration Announces Interagency Commitment to Decarbonize Transportation

The U.S. Transportation Department, U.S. Environmental Protection Agency, Housing and Urban Development, and U.S. Energy Department have entered into a memorandum of understanding to coordinate efforts to advance innovative solutions and technologies towards achieving a decarbonized transportation sector, according to a Sept. 16 press release.

The transportation sector is a major source of greenhouse gas emissions but also a major contributor to the U.S. economy. The U.S. transportation sector accounted for 33 percent of U.S. emissions in 2019, generated over 70 percent of total petroleum demand in the U.S., and is a major cause of poor air quality, particularly affecting low-income populations and overburdened communities. Therefore, a comprehensive and coordinated approach is essential across all modes of passenger and freight transportation, infrastructure, and energy supplies to achieve climate, economic, and equity goals.

In addition to expanding lower-carbon transportation options, including passenger rail and bicycles, the initiative aims to reduce consumer costs for electric vehicles. Furthermore, the plan will also ensure a coordinated government approach to upgrading the grid to accommodate the increasing demand for electric vehicles and reduce emissions from the entire transportation lifecycle, including construction emissions. The proposal will also seek to accelerate utility, automotive, truck, fleet, and electrical equipment manufacturer collaboration on smart electric vehicle charging to leverage the synergies between the transportation and power systems.

The 2021 Infrastructure Investment and Jobs Act and the recently enacted Inflation Reduction Act provide significant investments to support clean transportation aimed at transforming the clean transportation.

The agreement sets a 90-day deadline to draft a decarbonization strategy that will cover policy, research, development, and deployment. An executive-level team will be established to oversee the initiative, gather feedback, and report back to the heads of each agency within 45 days.