Let States Build Power
The Iran war is already hitting Americans where it always does first: the pump. But there's one energy cost we can actually control, if states just cut the red tape.
The Iran war is already hitting Americans where it always does first: the pump. Gas prices are rising as global oil markets tighten, and people are feeling the sticker shock. The New York Times reported this month that gas prices have increased by over 30% in many states across the South and Southwest. That strain isn’t just a one off – it squeezes household budgets across the board, when families are already stretched thin to begin with.
In a moment where gas prices are as volatile as President Trump’s foreign policy decisions, we need to bring down the energy costs we can control. Electricity should be at the top of that list. But while utility bills have been increasing nationwide over the past year, new supply remains nearly impossible to bring online.
Luckily, states can fix that.
Even before this current conflict in the Middle East, U.S. electricity demand was projected to soar in the next few years, growing about 25% by 2030 and roughly 78% by 2050. The Energy Information Administration projects power consumption hitting record levels over the next two years – driven by data centers, AI infrastructure, and the electrification of everything from cars to home heating.
Building more energy supply in the U.S. would not only translate to lower electricity costs for consumers, it would also mean there’s at least one energy cost consumers can count on to stay fair – their electricity bills. Gas prices may rise depending on what’s happening in the Strait of Hormuz, but domestically, we have the power to ensure electricity bills are consistent.
The problem? We’re building it far too slowly – all of it. And one major reason why is buried in the bureaucracy: state siting and permitting rules that make it almost impossible to approve and build new sources of power or transmission lines in a reasonable amount of time. And when trust in government is the lowest it has been in several decades, with just 17% of Americans saying they trust Washington to do what is right, there is a real opportunity for state policymakers to get rid of the red tape and show they can actually deliver action that provides economic relief for their constituents.
The only real question is how fast we can build it, and luckily, states have the answer.
In the U.S., the federal government regulates energy markets, but states decide where and how projects get built. That means every power plant and transmission line has to clear a maze of state and local approvals – multiple agencies, environmental reviews, zoning boards, and years of public comment.
This isn’t a niche issue. Delays raise costs for everyone. Rooftop solar, for example, costs seven times more in the U.S. than in countries like Australia or Germany, largely because of permitting. And when new supply takes a decade to build, utilities can’t keep up with demand – so prices go up.
So what can states actually do?
A lot, actually. Here are some of the most proven approaches:
Create a statewide siting board with real authority. Instead of requiring energy projects to navigate dozens of local approval processes, states can create a single body with the power to override local zoning when it’s “unreasonably burdensome.” New York did this in 2020 with the Office of Renewable Energy Siting (ORES) – a one-stop shop for permits and environmental review. Before ORES, projects over 25 MW routinely took 5–10 years to clear the review process. ORES replaced that with a firm one-year timeline. This idea is popular: 66% of the public support creating a single statewide office to review large energy projects instead of requiring multiple local approvals.1
Set real deadlines. Agencies should be required to approve or deny permits within a fixed window – 12 to 24 months – with automatic approval if they miss it. This isn’t radical; the European Union adopted similar rules in 2022, and some U.S. states are already following the model.
Rein in litigation delay. Opponents of energy projects can use procedural lawsuits to stall construction for years, even when they have no realistic chance of winning. States can shorten statutes of limitations, require lawsuits to be filed within 60 to 90 days, and fast-track energy cases in state courts. California has already created expedited tracks for some projects under the California Environmental Quality Act.
The evidence is clear: when you fix permitting, more supply gets built. Germany gave renewables “overriding public interest” status, cutting legal delays and boosting new onshore wind installations by about 85% in 2024. Poland replaced a restrictive rule that had effectively blocked wind development with a new standard, with analysts projecting up to fourfold growth in capacity by the 2040s.
We’re not suggesting eliminating the permitting processes entirely, just determining if the current system is calibrated correctly. Right now, it isn’t. Processes designed for a different era are being used to block exactly the kinds of projects that communities say they want. The status quo – a system where every new power plant takes the better part of a decade to approve – is a choice, and it’s a choice that’s costing families real money. And Americans agree – 73% support requiring state agencies to issue permit decisions within two years.
Americans are being told their bills will keep rising because demand is going up. That’s true. But what they’re not being told is that the regulatory tangle that makes supply so slow and expensive to build is a policy choice – one that states can change.
At a time when trust in government is low, inflation is unbearable, and global conflicts make the future unclear, our governors and lawmakers who say they want to lower energy costs should explore every option they can to bring bills down. Building more supply can help. All that is needed is the political will to act.
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THE TSF IDEA: Energy prices will keep rising unless states build more supply – and right now, archaic state siting and permitting rules make that nearly impossible. State policymakers should pass legislation to streamline permitting: create statewide siting boards with real authority, set firm permit deadlines, designate pre-approved energy zones, and digitize the application process. An effective government makes it easier to deliver essential services. Right now, ours makes it harder.
Polling data cited from a Data for Progress survey of 1,259 U.S. likely voters conducted March 13–15, 2026. The sample was weighted to be representative of likely voters by age, gender, education, race, geography, and recalled presidential vote. The margin of error is ±3 percentage points. For more information on methodology, visit dataforprogress.org/our-methodology.