Clean energy innovation is essential to foster economic growth, enhance energy security, and protect the environment. It is also a key component of U.S. competitiveness in a rapidly growing global market, which was estimated to be at least $300 billion in 2015. The federal government, in partnership with the private sector and academia, has a crucial role to play in encouraging and accelerating clean energy innovation. It uses a variety of tools, such as R&D spending, tax incentives, and regulatory authority, to this end. However, these tools have not necessarily been wielded effectively nor with sufficient coordination to achieve national policy goals. A clearer vision and more concerted effort on the part of the federal government is needed to ensure that the U.S. meets the competitive challenge from China and other nations and modernizes its energy system to better serve America in the 21st century.
