Scaling Renewably Powered Transportation through Infrastructure, Policy, and Investment

By Sarah Paper is a recent graduate from Scripps College, where she studied environmental science and economics. She is currently an intern for the Environmental Working Group, focusing on PR and communications. She is also a contributing writer for One Green Thing and the California Map Society.

Globalization has increased the scale of interconnected transportation for industries and individuals, while also causing environmental impacts. Scaling renewable transportation supports the need for a global reduction of greenhouse gas emissions to curb the drastic effects of rising temperatures, pollution, extreme weather, and the degradation of natural environments.

In 2023, the U.S. Energy Information Administration (EIA) found transportation of goods and people accounted for 30% of national energy consumption (EIA). Currently, American transportation systems are highly dependent on petroleum and diesel, with fossil fuels accounting for over 90% of the energy supplying national transportation (EPA).

Recent estimates from the Environmental Protection Agency (EPA) and the World Resources Institute estimate the global transportation sector produces about 15% of annual global greenhouse gas (GHG) emissions (EPA). Within the sector, road vehicles produce the dominant source of emissions, followed by aviation and maritime shipping (EPA).

Pathways for scaling renewable transportation involve multiple modes of changes, including infrastructural developments, investments backing cleaner transportation efforts, and political momentum for electrified transport powered by renewables, as well as a push for a larger overall share of renewables in our national energy mix. 

Key aspects of clean transportation development involve implementing EV systems for concentrated urban environments, amplifying grid resilience to meet new energy demands through local renewable energy and battery storage, and investments in large-scale, electric transport infrastructure projects. Additionally, institutional support for research and development programs to lower emissions in the transportation sector will be key to promoting future energy efficiency innovations. 

Companies invested in transportation can take pledges to increase their EV fleet and investments in new EV production. Municipalities can also increase their pledges to electrify public transit fleets including buses and trains, municipal vehicle fleets such as garbage trucks and police cars, and other ride-sharing and rental options for transportation.

It is important to note that electrifying transportation has barriers to implement, including high upfront costs for EV and EV systems (such as charging infrastructure), as well as range limitations, cultural shifts, and policy barriers. These challenges are amplified for long distance travel and heavy duty vehicles.

Federalism facilitates activity in transportation and energy policy at the state level, with progressive policy initiatives including cap and trade laws, renewable portfolio standards, pollution taxes, mandates for vehicle emissions, EV and solar subsidies (for consumers or users), public ownership of infrastructure, research and development support, and other regulatory and infrastructural policy decisions.

Unfortunately, recent policies in the United States have decreased support for renewable transportation. In October 2025, the Department of Energy (DOE) cancelled over $7.5 billion in funding for over 200 renewable energy projects (DOE). Earlier this year, Trump’s “Big Beautiful Bill” granted $4 billion in new taxpayer subsidies annually towards the fossil fuel industry (Congress.gov).

In January, President Trump signed the “Unleashing American Energy” executive order, which immediately paused funding towards the Inflation Reduction Act, which had provided tax credits, grants, and loans for consumers and businesses, and Infrastructure Investment and Jobs Act (IIJA). The National Electric Vehicle Infrastructure program was paused in 2025 and the IIJA, which had planned to allocate $27 billion towards transportation climate programs, was halted early 2025, with no indication of being resumed (Georgetown Climate Center).

Federal support for clean transportation (in addition to reinstating paused programs) could include issuance of green bonds and investments in clean tech infrastructure, with opportunities for tax incentives, subsidies, rebates or green bond guarantees to mitigate risk through political administrations and ensure prolonged support for an energy transition in transportation systems.

California is a leading state in transitioning their transportation systems. The Californian government has ambitious goals to provide zero-emission rail by 2050, with current projects including high-speed rail and electrified corridors (Gov. Newsom). In 2024, the 51 mile San Francisco Peninsula rail line was electrified (Cal Train). The commuter rail between San Bernardino and Redlands began operating as a hydrogen-battery hybrid in 2022 (San Bernardino County Transport Association).

Additionally, California high-speed rail is developing a photovoltaic and battery storage system to utilize renewable energy and its fluctuating energy production, decreasing large amounts of carbon dioxide emitted by traditional vehicles (CA.gov). Local Californian counties have spent millions of dollars providing zero-emission charging stations and bikeway paths. California is also a leader in solar generation and battery storage capacity. Larger municipalities in California have ambitious goals to curb or zero-out their emissions in the next 25 years - efforts to reduce emissions in the transportation sector will be key in accomplishing these goals.

Globally, China dominates the market for electric transport, particularly in passenger EV’s and buses. Their market share for new electric vehicles is 50% (meaning 1 in every 2 cars purchased in China this year is an EV), emblematic of the wave of EV adoption in China, driven by lower EV prices and concentrated urban EV adoption (IEA).

Europe is rapidly developing their electric public transport, with 54 European cities setting goals for zero emission bus fleets by 2035 (Transportation Research). The markets for electric freight transport in both Asia and Europe is a small percentage, with China pulling ahead implementing electric trucks at scale (IEA). In aviation, the market size in both Asia and China for electric aviation is expected to increase respectively by billions in the next 10 years, and both countries are making investments in fossil fuel alternatives for aviation fuels.

In the U.S., with the current administration revoking billions of dollars in renewable energy funding for new projects, it’s clear that strengthening the permanence of support for renewable generation and electric resilience will be needed to persist through various political administrations. 

Additional support for a system of federalism allowing states to issue more progressive energy legislation may be motivational for other states, however without baseline federal mandates and support for renewables this may not be fully effective to curb emissions.

The path to a more renewable transportation sector in the United States will require significant coordination, including newer technologies, significant investment, and durable policy systems. Asia and Europe are leading the transition through ambitious electrification targets, diversified power integrations, and robust public transport expansion. 

Lacking in consistent federal leadership and long-term green infrastructure commitments, the U.S. will require a combination of public and private investment to scale clean energy technologies and empower civic action from local to regional levels. The opportunities of decarbonizing transportation will not only aid climate change, but will also improve public health, generate jobs, and protect our future. A clean energy future is possible (The Solutions Project, Figure 1).