25 Greenest Small Towns in America

Published on September 11, 2024 at 6:03 am by Meerub Anjum in Business, Economy, News

In this article, we will look at the 25 greenest small towns in America. If you want to skip our detailed analysis, you can go directly to the 5 Greenest Small Towns in America.

Pollution in America

A report by the American Lungs Association states that 39% of the total American population, 131.2 million people live in places with high ozone and particulate matter pollution levels adversely affecting health effects, as of 2024. This records an increase of 11.7 million people living in polluted air compared to the previous year. 4 out of 10 people in the continent are based in locations with unhealthy levels of air pollution. The increase in air quality deterioration in the region can be attributed to extreme heat, drought, wildfires, and heightened greenhouse gas emissions.

Since 1970, the United States has made substantial efforts to reduce air pollution emissions. Despite the increase in gross domestic product, population, energy consumption, and vehicle miles traveled, total emissions of the six primary pollutants have drastically declined by 78% compared to the 1970 levels, according to the Environment Protection Agency. This decline was driven by effective government policies in place, advancements in green technology, and higher renewable energy adoption in the country.

Boom in the Clean Energy Sector in the US

Renewable energy can help decarbonize 90% of the power sector by 2050, drastically cutting carbon emissions. The clean energy sector in the United States is booming with over 142,000 clean energy jobs added in 2023, representing over 50% of the total new jobs created in the energy sector. Electric power generation from sources such as wind and solar experienced a significant growth of 4%. Solar alone added more than 18,400 jobs in 2023, an increase of 5.3% year-over-year. This growth stems from incentives from the Inflation Reduction Act and the Bipartisan Infrastructure Law.

In 2023, the United States generated 4.017 trillion kilowatt-hours of electric power, out of which renewable sources including wind, solar, hydropower, biomass, and geothermal accounted for 22%. Constellation Energy (NASDAQ:CEG) is one of the top producers of clean energy in the US, providing renewable power to over 16 million households and businesses across the country. It boasts a robust fleet of nuclear, hydro, wind, and solar generation facilities, with a total capacity of 32,400 megawatts. It supplies 10% of the total clean energy on the grid in the United States. In 2023, it produced 178 terawatt hours of clean electricity, enough to power 16 million homes and avoid 125 million metric tonnes of emissions.

Constellation Energy (NASDAQ:CEG) is poised to benefit from AI-driven power demand supported by its nuclear energy generation assets. It has purchasing power agreements with multiple tech companies including Microsoft, Google, and Nucor Steel, providing a reliable and long-term stream of revenue. The company is heavily investing in its nuclear assets as the demand for renewable nuclear power surges. It plans to invest $900 million in two of its nuclear plants in Illinois.

CEG has gained 63% over the past year and is also popular among elite investors. At the end of Q2 2024, 71 hedge funds were long CEG with positions worth $2.7 billion. Among those, Coatue Management held the highest shares in the company, worth $982.90 million. You can also look at the 10 Cheap Clean Energy Stocks To Buy According to Hedge Funds.

ClearBridge Global Infrastructure Value Strategy said the following about Constellation Energy Corporation (NASDAQ:CEG) in its Q1 2024 investor letter:

“On a regional basis, the U.S. and Canada was the top contributor for quarter, with U.S. electric utility Constellation Energy Corporation (NASDAQ:CEG) and U.S. rail operator CSX the lead performers. Constellation Energy is primarily a nuclear generation company and is the largest producer of carbon-free electricity in the U.S., serving states including New York, Illinois, Maryland, Pennsylvania, and New Jersey. The company’s combined generation capacity is more than 32 GW and 90% of annual output is carbon-free. Constellation has been a beneficiary of AI and subsequent power demand as its 24/7 base load nuclear generation can get premium contracts.”

While we acknowledge the potential of CEG as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than NVDA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

Now, let’s take a look at the 25 greenest small towns in America. You can also read our piece on 20 Least Green Cities in the US.

Pixabay/Public Domain

Methodology

To compile our list of the 25 greenest small towns in America, we consulted IQ Air’s Air Quality Index to source pollution data. We utilized fine particulate matter (PM2.5) concentration to rank the towns on our list. Moreover, we established a population threshold of 5,000 residents or fewer to define a “small town.” Our list ranks the 25 greenest small towns in America in descending order of their PM2.5 concentration in micrograms per cubic meter (µg/m³).

Please note that we excluded the towns with a population of less than a hundred residents.

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25 Greenest Small Towns in America

25. Wolf Creek, Utah

Average PM2.5 Concentration (2023): 3.0 µg/m³

Wolf Creek is a census-designated place in Utah. In 2023, its average fine particulate matter concentration reached 3 micrograms per cubic meter. Wolf Creek is ranked 25th among the greenest small towns in America.

24. Palisade, Colorado

Average PM2.5 Concentration (2023): 3.0 µg/m³

Palisade is a town in Mesa County, Colorado. The major pollutants in the town are fine particulate matter and ozone. In 2023, it had an average PM2.5 concentration of 3 µg/m³. It is ranked 24th on our list.

23. Keystone, Colorado

Average PM2.5 Concentration (2023): 3.0 µg/m³

Keystone is a small town located in the Summit County of Colorado. Fine particulate matter is the primary air pollutant in the town. It recorded an average PM2.5 concentration well within the World Health Organization standard.

22. Crested Butte, Colorado

Average PM2.5 Concentration (2023): 2.9 µg/m³

Crested Butte is a town in the mountainous region of Colorado. It is an attraction spot for travelers due to its scenic mountains and high air quality. It is ranked 22nd among the greenest small towns in America, with an average PM2.5 concentration of 2.9 micrograms per cubic meter.