Pew Report Urges Policy Overhaul to Accelerate US Distributed Energy Adoption
Event summary
- The Pew Charitable Trusts released a 'DER policy playbook' outlining six policies to accelerate distributed energy resource (DER) adoption in the US.
- The playbook, developed over 18 months with a bipartisan advisory council, aims to lower electricity bills, strengthen grid reliability, and defer utility investments.
- The number of adopted DER policies in the US increased by 79% in 2025 compared to 2024.
- US DER adoption lags behind countries like Australia, which derives 14% of its electricity from rooftop solar.
- The report highlights policy as the primary barrier to DER adoption, not technological limitations.
The big picture
The Pew report underscores a critical bottleneck in the US energy transition: policy inertia. While DER technologies are increasingly cost-competitive, regulatory barriers and utility resistance are hindering their widespread adoption. This report signals a renewed push for policy reforms that could significantly reshape the US electricity landscape and accelerate the shift towards a more decentralized and resilient grid, but faces significant political and economic headwinds.
What we're watching
- Regulatory Response
- State and federal regulators will likely face pressure to implement the playbook's recommendations, potentially leading to legislative battles and utility pushback.
- International Comparison
- The disparity in DER adoption between the US and countries like Australia will continue to draw scrutiny and may influence policy debates.
- Utility Adaptation
- How utilities adapt their business models and infrastructure to accommodate increasing DER penetration will be crucial for grid stability and cost management.
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