The role of energy in shaping global power

As demand from manufacturing and Artificial Intelligence accelerates, the US risks falling behind in the race for abundant, affordable, clean energy.

Energy production is fundamental to a nation´s influence and economic might, underpinning everything from manufacturing and military capability to technological leadership. Countries like Russia, Saudi Arabia, China, and the US have continually leveraged their energy resources to solidify their positions on the world stage. Energy wealth, even in nations with small populations such as Qatar, can drive significant global impact. For the United States, this foundation has long supported both industrial advancement and wartime success, with abundant coal and oil fueling growth and victory in key moments throughout the twentieth century.

However, the US now faces a critical juncture as its clean-energy strategy regresses, risking long-term national prosperity and competitiveness. While energy demand, particularly from commercial and industrial sectors, is surging alongside a rising need for data processing and Artificial Intelligence, policymakers are considering budget proposals that would scale back incentives for renewable power and energy efficiency. Reducing or eliminating tax credits for wind, solar, rooftop panels, and advanced manufacturing, as well as loosening efficiency standards for appliances, threatens to both increase electricity costs and reduce the availability of sustainable energy sources.

This retreat comes as China accelerates its investment in renewables, exceeding its clean energy targets well ahead of schedule and beginning to see a decline in carbon emissions. Such progress highlights the global stakes: energy abundance directly translates to economic and geopolitical power. The article argues that US prosperity depends not on choosing among energy sources but embracing a comprehensive mix—including nuclear, renewables, hydrocarbons, and aggressive efficiency measures. Only by expanding and diversifying its energy portfolio can the US maintain prosperity, lower costs, address climate change, and ensure its position in a rapidly shifting global landscape.

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