Chapter 22
The National Mission for the Fossil Fuel Transition
Managing a decisive, coordinated 10-year wind-down of the fossil fuel industry through RFC-led buyouts, ensuring stable energy supply while supporting workers and communities through the transition.
The "Mission for America" is a plan for a decisive transition away from fossil fuels over a period of 10 years. According to some estimates, up to one in 10 jobs in the U.S. are directly or indirectly attached to the fossil fuel industry. The transition away from fossil fuels is coming whether the U.S. achieves the Mission for America or clings to climate denial. We believe that the best results for fossil fuel workers and communities will be accomplished by a decisive and coordinated transition rather than a slow process that allows communities to atrophy without the rest of the country even noticing.
As with all the other national missions, the fossil fuel industry phase out will be the responsibility of a team at the RFC. The RFC will employ various mechanisms such as negotiated buyouts, or utilization of government stakes to assume control over significant fossil fuel assets. This can be financed by treasury bonds that will be repaid from industry revenues and the sale of repurposed assets.
For this transition to work, the president must make a good case to the American people that a carefully managed transition is necessary to avoid sudden overwhelming job losses, economic distress, and dangerous health consequences from a chaotic decline of the fossil fuel industry.
The RFC will ensure a stable fossil fuel supply during its demand decline to prevent market disruptions and price spikes. Profits from these operations will be used for several critical activities:
- Environmental remediation: Plugging wells, decommissioning rigs, and other forms of environmental cleanup to minimize long-term ecological damage.
- Worker transition: Supporting workers displaced by industry changes with retraining and financial aid to facilitate movement into sustainable energy sectors.
- Community resilience: Directing investments toward infrastructure enhancement, economic diversification, and social programs to aid communities transitioning from fossil fuel dependency.
- Innovative repurposing and asset management: Reusing fossil fuel assets for renewable energy and other sectors—for example, the same companies that build and service offshore oil rigs can work on offshore wind.
Strategically, the RFC will either sell off assets to the private sector under favorable market conditions or retain them to continue generating revenue. This approach not only fosters market stability but also ensures ongoing financial support for the transition.
The managed decline orchestrated by the RFC will stabilize markets, secure jobs, and ensure community and environmental health. This strategy not only mitigates the immediate impacts of the industry's contraction but also catalyzes a broader shift toward a fully clean and sustainable economy.