The utilities sector in the U.S. is facing growing headwinds, including government regulations, public pressure, and shareholder expectations to reduce carbon emissions. The Biden Administration and federal government, as well as state governments, are advocating for clean energy and funding. The Infrastructure Investment and Jobs Act, which includes $550 billion in new funding for transportation, broadband, and utilities, is expected to be the most significant federal infrastructure investment in 40 years. The investment will be welcomed as the industry ramps up to build new supply chains and alter production to decarbonize operations. Utilities are investing heavily in renewable energy projects, with a record $55.5 billion invested last year and a higher number expected this year. However, increased investment equals greater risk and a greater desire and need for cost controls. Should-cost management and technology will play a central role in ensuring efficiency and protecting investments, as well as maintaining budgets and profit margins.
