Abundant coal and oil allowed consumers and producers alike to take advantage of cheap prices and a plentiful supply for much of the 20th century. Increased scrutiny, recent federal legislation, and a greater demand from consumers and private industry for green energy have all made energy a bigger part of the consumer conscience. The federal government’s recent investments in energy through the Infrastructure Invest and Jobs Act (IIJA) and the Inflation Reduction Act (IRA) have increased the pace and scope of the change happening across the globe. This legislation has also raised the prospect of industry-changing projects like multibillion-dollar hydrogen hubs currently in the application process.  

The ways that consumers and private businesses are now considering, interacting with, and outright consuming their energy have also significantly shifted in a way not seen in over a century. Today’s emerging technologies, price strains, and geopolitics, have put energy in the news spotlight. In the last few years, energy policies and technologies have become a common discussion topic at dinner tables, over coffee, and with strangers at the dog park. These conversations range from friendly chats about the future of small modular reactions to tense discussions about grid investments and the strain of dealing with higher energy costs.

 

Indiana hasn’t been insulated from these changes. Historically, Indiana has always been a coal state. However, Indiana has made impressive strides in reducing not only greenhouse gas emissions, but also overall reliance on coal as its primary energy source. In 2010, 90% of the state’s electricity sector’s greenhouse gas emissions came from coal. In 2021, that was down to 58%. Indiana is often considered a primarily agricultural state. But our state’s intensive manufacturing sector is one of the most impressive in the country, also making it one of the most energy intensive. In 2020, Indiana ranked twelfth among US states in energy use per capita, driven in part by our industrial sector. From 2005-2020, though, statewide greenhouse gas emissions declined 32%, driven by a 49% drop in the electric power sector and a 23% reduction in industrial sector emissions. Economics and federal environmental regulations were the primary drivers of this decrease, as well as a shift from coal to natural gas.

It’s also worth stating that significant coal retirements are expected over the next decade, with utility providers’ plans detailing a mix of solar, storage, wind, and gas power. Through public and private investment, Indiana is making great strides in greener sources of electricity. For example, the Mammoth Solar project in Northern Indiana is the largest solar installation in the US. And it makes economic sense. More than 80% of businesses that seek to operate in Indiana are requesting either a portion or all their energy come from renewable sources.

The state of Indiana is strategically pursuing an agenda that will align with public and private needs and at the forefront of the energy transition. In the IEDC’s newsletter over the next several months, we are going to explore energy in Indiana We will share advances in carbon capture and sequestration, the role of hydrogen, how electric vehicles could change the power grid, and fact-driven coverage of other related topics to provide a global and Hoosier-specific perspective.