Clean energy tax credits likely to stay, says Brainard

On May 10, 2024

TL/DR –

Joe Biden’s clean energy tax credits, part of the 2022 Inflation Reduction Act (IRA), are now law and are not expected to be reversed even if Donald Trump wins the next presidential elections, according to a senior administration official. The IRA, containing tax credits, subsidies, and grants worth hundreds of billions of dollars, aims to accelerate the US’s energy transition. White House National Economic Advisor, Lael Brainard, stated that 21 of the 24 credits are currently in operation, with 100,000 Americans having already utilized Biden’s electric vehicle tax credit.

Joe Biden’s Clean Energy Tax Credits Unlikely to be Reversed Even in Case of Trump Win

Most of President Joe Biden’s clean energy tax credits have become law and are unlikely to be overturned by Donald Trump, should he win the upcoming presidential election, according to a senior administration official.

As part of Biden’s significant policy achievement, the 2022 Inflation Reduction Act (IRA) includes tax credits, subsidies, and grants aimed at accelerating America’s energy transition. Despite opposition from some Republicans, including Trump, who is reportedly considering ways to dismantle the IRA, should he win the election, White House national economic advisor Lael Brainard maintains that key elements of the IRA would be challenging to reverse.

“The Inflation Reduction Act’s clean energy tax credits are now lawful,” Brainard stated in an online event. “Under any circumstances, I anticipate the law being faithfully implemented.”

According to Brainard, 100,000 Americans have already benefitted from Biden’s electric vehicle tax credit. 21 out of 24 credits are currently operative, with the remaining set to become effective next year. “These rules are intricate and lengthy to compose or modify,” she added.

Brainard also mentioned the strong support these projects have received from the investor community, business community, and labor community. “Even the Republican members who initially opposed the IRA are now enthusiastically endorsing the investments in their districts,” she noted.

—
Read More US Economic News