Renewable Energy Transition Stalled by Fossil Fuel Subsidies

Columnist argues U.S. government's continued support for fossil fuels has made the country more vulnerable to global energy shocks.

Mar. 29, 2026 at 10:05pm

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An abstract illustration composed of bold geometric shapes in primary colors, conceptually representing the imbalance of government subsidies favoring the fossil fuel industry over renewable energy alternatives.Graphic illustration depicting the imbalance of government subsidies favoring fossil fuels over renewable energy, a key factor stalling the U.S. transition to clean power.Washington Today

In a column for the Chicago Tribune, Elizabeth Shackelford argues that the U.S. government's long-standing subsidies for the fossil fuel industry have stalled the country's transition to renewable energy, leaving it more vulnerable to global energy crises. She contrasts this with the ambitious solar energy initiatives introduced by President Jimmy Carter in the 1970s, which were later abandoned by the Reagan administration under pressure from the oil and gas lobby.

Why it matters

Shackelford's column highlights how the U.S. government's financial support for fossil fuels, totaling billions of dollars annually, has hindered the development of renewable energy alternatives and made the country more reliant on volatile global oil markets. This has geopolitical and economic implications, as it allows China to take the lead in the global renewable energy transition.

The details

Shackelford outlines how the oil shocks of the 1970s prompted President Carter to install solar panels on the White House and introduce an ambitious solar energy strategy, which aimed to reduce the country's "crippling dependence on foreign oil." However, when President Reagan took office, he removed the solar panels and slashed funding for renewable energy research and development, stalling the energy transition for decades. Meanwhile, the U.S. government has continued to subsidize the fossil fuel industry, with the Trump administration increasing existing subsidies by $4 billion per year. This has allowed China to surpass the U.S. in the global renewable energy market, supplying the equipment for the transition that the U.S. has failed to lead.

  • In 1979, President Jimmy Carter installed solar panels on the White House and introduced an ambitious solar strategy to Congress.
  • In the 1980s, President Ronald Reagan removed the White House solar panels and slashed funding for renewable energy research and development.
  • In 2021, the Trump administration increased existing fossil fuel subsidies by $4 billion per year, to a total of $34.8 billion annually.

The players

Jimmy Carter

The 39th President of the United States, who installed solar panels on the White House and introduced an ambitious solar energy strategy in the late 1970s.

Ronald Reagan

The 40th President of the United States, who removed the White House solar panels and slashed funding for renewable energy research and development after taking office in the 1980s.

Donald Trump

The 45th President of the United States, who increased existing fossil fuel subsidies by $4 billion per year during his administration.

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What they’re saying

“A generation from now, this solar heater can either be a curiosity, a museum piece, an example of a road not taken, or it can be just a small part of one of the greatest and most exciting adventures ever undertaken by the American people: harnessing the power of the sun to enrich our lives as we move away from our crippling dependence on foreign oil.”

— Jimmy Carter, President of the United States

What’s next

The Biden administration has pledged to boost investment in renewable energy and reduce fossil fuel subsidies, but it remains to be seen whether they will be able to overcome the political influence of the oil and gas industry and put the U.S. back on a path toward energy independence and climate resilience.

The takeaway

The U.S. government's long-standing subsidies for the fossil fuel industry have stalled the country's transition to renewable energy, leaving it more vulnerable to global energy shocks and ceding leadership in the renewable energy market to countries like China. Overcoming the political influence of the oil and gas lobby will be crucial for the U.S. to regain its footing in the clean energy revolution.