Following Donald Trump’s election, many U.S. corporations quickly reduced or eliminated mentions of climate change from their websites. Breakthrough Energy, a collaboration between Bill Gates and other environmentally concerned billionaires, recently reduced its staff. Additionally, some U.S. pledges to the U.N. Climate Fund have been withdrawn. The general consensus is that these actions are detrimental to the climate. Trump’s administration has indeed reversed several environmental regulations, increased logging in national forests, boosted oil and gas production, and weakened the Endangered Species Act.
However, Trump isn’t the sole issue; he represents voter frustration and disappointment. We must recognize that global climate policy has been characterized more by rhetoric than action. Skepticism towards grand promises, elaborate plans, subsidy programs, and frequent climate conferences is understandable.
Regardless of Trump’s personal views on the climate crisis, he may inadvertently contribute to its solution through “creative destruction.” His election might signal the end of superficial climate policies, paving the way for more effective, practical approaches at both national and global levels. This could mean less greenwashing, less bureaucracy, and a greater focus on measurable results. It could also involve more independent oversight of companies’ actual environmental impact. Appealing to companies’ self-interest to adopt new emissions measurement technologies is one example. The new approach to climate policy should focus on identifying the fastest, largest, and most cost-effective gains within specific markets and using available tools.
For example, AXA XL, an insurance company in Connecticut, is using AI to predict and mitigate the climate, human, and financial impacts of natural disasters like wildfires through early warnings.
The biggest danger isn’t Trump alone but continuing to invest in technologies that lack scalability or have limited applicability, while ignoring smarter, data-driven solutions to address the most pressing issues. Electric vehicles (EVs) are important, but their mass adoption is not a panacea. The climate impact of EVs depends on their power source, battery production methods, and available alternatives. EVs reduce emissions and offer other benefits when used in low-carbon power environments. However, a complete rethinking of transportation could yield even greater gains. Trump is unlikely to provide the necessary leadership or investment, but moving beyond incremental progress and greenwashing allows us to envision more innovative and sustainable solutions.
Conversely, consider methane, one of the easiest climate wins available, yet largely ignored. The Biden administration attempted a methane fee, a data-supported regulation, which was later weakened by Congress. However, even that policy was overly complex, and oil and gas companies were hesitant to be transparent. Satellite imagery, combined with AI, enables real-time tracking of leaks. Data indicates that half of all methane reductions in oil and gas could be achieved at little to no cost, as stopping leaks increases revenue through the sale of the recovered gas.
Effective regulation could include penalties for excessive methane emissions, particularly for those with the financial means and moral obligation to eliminate externalities. If Trump hinders domestic progress, major trading partners like the EU, Korea, and Japan could implement climate-friendly trade policies such as carbon border adjustments or import standards. This could indirectly encourage U.S. market compliance, even under the current administration.
Meanwhile, private capital is increasingly pursuing green initiatives. One investor described decarbonization efforts in Europe as “a bigger opportunity than the internet.” Businesses in the U.S., Canada, and Europe are leveraging AI and satellite data to improve emissions monitoring. They are also investing in innovative low-carbon technologies like advanced battery storage, small modular reactors, and next-generation carbon capture. With growing availability of clean technologies like wind, solar, and battery power, and increasing demand for sustainability, companies that fail to adapt risk falling behind. It’s important to remember that many major breakthroughs in recent decades have come from private actors responding to favorable conditions, such as the shift from coal to cheap gas through fracking, the decreasing cost of solar panels, and real-time monitoring of wildfires and deforestation, rather than government mandates.
A second Trump administration should not lead to abandoning climate goals but rather embracing realism. This means that foreign powers should concentrate on making polluters pay in ways that are straightforward and enforceable. This means investing in transformative technologies that reduce emissions and benefit businesses. Indeed, long-term investors understand that natural disasters hurt business—and that they can’t stop hurricanes at the border. This means prioritizing effective solutions over idealistic ones. And it means discarding policies that frustrate consumers, burden businesses, and make little impact on the climate. People are tired of slogans; they want results. And those results won’t come from crossing our fingers or making five-year plans. They will come from doing what works. And that is the task for those pragmatic, climate-conscious people keen to make sure that environmental action happens—no matter who is in office.
“`
