Energy development and use affects the nation’s economy, environment and national security. In the United States, energy expenditures account for about nine percent of GDP, and the U.S. imports 65 percent of crude oil supplies – an amount that comprises the largest component of the trade deficit. Fossil fuel combustion is also the largest source of greenhouse gas emissions.
States play an important role in shaping our energy choices through a range of policy, regulatory and budgetary actions including: prioritizing resource use; setting prices; permitting generation, production and transmission; funding and performing research and technology development; providing financing and incentives; developing refueling infrastructure; sponsoring demonstration projects; and promoting economic development initiatives.