Republican lawmakers could soon kill clean energy jobs in their home states
1 min read
Summary
Republican-controlled Congress is proposing ending tax incentives for the renewable energy sector, which has led to a boom in US manufacturing of solar, wind and battery components.
The measures would phase out the advanced manufacturing tax credit, which was created as part of the Inflation Reduction Act (IRA) passed in August 2022, and place restrictions that would make it difficult for projects to qualify for tax credits.
If the proposals are enacted, this would lead to the loss of jobs in the US clean energy industry.
Tax incentives have led to announcements from solar, wind and battery manufacturers since the IRA was passed that 250 new manufacturing facilities will be built or existing plants expanded.
These plants, if operating by 2030, would create 575,000 new jobs and contribute $86bn annually to GDP, according to a report by the American Clean Power Association.
However, red states are home to 73% of active facilities, which employ 122,000 full-time US workers, with the largest number (75,400) in solar energy.