Senate bill At the last minute, a new ended with the agenda of President Trump’s domestic policy excise tax This would have attracted the renewable energy industry, a step that ensured Alaska’s Republican Sen Lisa Murkovsky, he would return the remedy.
Excise tax would have been levied on wind and solar power projects manufactured with a certain percentage of materials received from prohibited foreign countries like China. Consumers will see an increase of about 8% to 10% in their energy prices, and in this provision clean energy businesses will cost $ 4- $ 7 billion as per 2036. Analysis by American Clean Power Association,
The tax was designed to promote domestic manufacturing, but the cost of developing these projects by working around Chinese components was likely to be prohibitive.
Senate bill Also gave another important concession: It will phase the wind and solar tax credit for clean energy development at a slower time compared to the basically proposed, ensuring that the projects that have already been planned, financed and approved, they will still get the tax credits, until they start construction before June 2026, or are on to 2027.
But it is still a major modification from the original timeline for wind and solar tax credits – which was not due to expiry by 2032 – and it still, according to the environmental groups, crisis the clean energy developers.
“Political and government affairs vice -presidents for the environment protection fund, Joana Slani, told CBS News in an email,” By making it very difficult for the creation of new clean energy projects, the bill is effectively cutting the supply of affordable energy when America needs the most. “
Environmental groups said that some benefits were to be found in the bill.
“If there is a bright place, the Senate Bill will preserve the tax credit for new techniques such as advanced atoms, battery storage, geothermal energy, and carbon capture, as well as advanced manufacturing,” Nathanial Caon, president of the Center for Climate and Energy Solutions Center, said in a statement.
The final bill passed by the Senate will eliminate several tax incentives for clean energy, electric vehicles and energy efficiency programs from the increase in inflation of 2022 on a large scale that benefit consumers. It will end the tax credit for new and used electric vehicles, home EV charging equipment and insulation or energy efficient heating and cooling system. The bill also eliminates the greenhouse gas reduction fund, which funds non -profit organizations that provide funding for projects that reduce pollution and greenhouse gas emissions in communities.
A new analysis by Climate and Energy Solution Center It was predicted that the change in the Senate Bill would eliminate more than 1.6 million jobs, lost more than $ 290 billion in lost GDP, US greenhouse gas emissions would increase 8% by 2035 and increase in energy cost 4% per megawatt.
Climate and environmental groups expressed concern about how the public would affect the public with a major tax incentive for clean energy production and energy efficiency.
“Bill will increase the cost of energy and make it difficult to maintain light,” said Steven Nadel, Executive Director of the American Council for an energy-skilled economy. “No one asked the Congress to make its energy bills even more. Removing the incentive to improve energy will increase the monthly bills for families and businesses. This will only increase the increasing tension on the electric grid.”
Bill returns now HomeWhere speaker Mike Johnson intends to meet Republican’s self-looked July 4 deadline to get a bill at the desk of President Trump. To do this, the House must pass the Senate version unchanged. Any change would mean that the bill will have to consider the differences by a conference committee. This will prefer Murkovsky. “We have an ideal bill from any stretch of imagination,” he told reporters on Tuesday. “I hope that the house is going to look at it and is going to recognize that we are not there yet.”
