Biden’s Act Cuts Home Energy Costs, Reduces Inflation
TL/DR –
The Biden-Harris administration’s Inflation Reduction Act has spurred a clean energy boom in the US, contributing to over $360 billion in private sector clean energy announcements since President Biden took office. It is projected to cut electricity rates by up to 9% by 2030. The Act also introduces consumer-focused programs, including tax credits and rebates, to further reduce home energy bills, with 65% of Americans supporting tax credits to install solar panels and 54% supporting tax credits to buy heat pumps, according to a 2023 poll.
Americans Support Clean Energy Expansion to Lower Energy Bills
As part of President Biden’s Investing in America agenda, efforts are being made to cut costs for American families through reductions in home energy bills, one of the largest expenses for many households. The lowest-income families spend over 30% of their income on energy bills.
Inflation Reduction Act Spurs Clean Energy Boom
Thanks to the Inflation Reduction Act, over $360 billion has been invested in clean energy since President Biden took office. It’s predicted that electricity rates could drop by up to 9 percent by 2030 thanks to this Act and the Bipartisan Infrastructure Law. The Act also introduces consumer-focused programs such as tax credits and rebates to aid families in lowering their home energy costs.
Public Support for Clean Energy Programs
According to an August 2023 poll, 65% of Americans support tax credits for solar panel installation while 54% back tax credits for heat pump purchases. Nevertheless, Republicans consistently oppose these provisions, risking increased costs for Americans and exacerbating the climate crisis.
Biden Administration Expands Consumer Education and Outreach
Today, the Biden-Harris Administration is collaborating with federal partners and non-profit organizations to increase public awareness of these programs across the country. They’re also releasing resources about Inflation Reduction Act home energy programs for consumers, local officials, and advocates.
Lowering Home Energy Costs Through the Inflation Reduction Act
Americans who installed certain home energy technologies in 2023 can claim tax credits as part of the Inflation Reduction Act. The Department of Energy (DOE) has also opened applications for states to implement $8.8 billion in home energy rebate programs. This will offer rebates for cost-saving electric appliances and energy efficiency improvements for low- and middle-income families.
Federal Resources for Consumers
The Biden-Harris Administration has made several online resources available to educate consumers about the Act’s home energy savings programs. The ENERGY STAR program is launching an Incentive Finder, energy.gov/save details saving opportunities, and the Treasury Department debuted a new Tax Resource Hub.
Nonprofits Announce New Efforts
Several nonprofits have announced new initiatives to educate consumers on the Act’s consumer home energy programs. These programs aim to encourage the use of clean energy, lower energy costs, create good-paying jobs, and protect communities from harmful pollution.
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