Senate Passes Climate Bill. The Rush to Renewable Energy Is On.

The climate and tax package passed by the Senate on Sunday will unlock around $400 billion in funding for clean energy and accelerate a historic shift in how the world is powered. Along with a parallel initiative in Europe, the bill could trigger private investments that reach into the trillions.

The transition to renewable energy already is well under way. Sources of energy like solar panels that seemed like anachronistic tree-hugger technology less than a decade ago have become key parts of base-load electricity generation. Wind turbines now produce more power in the U.S. than the entire country used in 1950. Electric vehicles account for 5% of new-car sales, a tipping point that in other countries has led to 25% adoption within four years. Renewables are now the dominant source of power generation in Europe, and expanded their share of global power generation to 29% in 2020 from 20% in 2010.