i’Inflation Act It is the most important step taken by the United States in the fight against climate change. According to the US Environmental Protection Agency (EPA), this is expected to reduce US annual CO2 emissions from 5,600 million tonnes per year in 2021 to 3,800 by 2035.
Since its approval in August 2022, several companies have unveiled dozens of new investment plans in the United States. In a report released in February, the American NGO identified more than 90 clean energy generation projects (such as solar, wind, electric vehicles and batteries) spread across 31 states.
- Most of these are concentrated in 7 states: Arizona, Georgia, Michigan, Ohio, South Carolina, Tennessee and Texas.
- Among the 8 projects announced in Georgia between August 2022 and January 2023, Korean car manufacturer Hyundai and SK On (a Korean battery manufacturer) announced a joint investment of 9 billion in the state to develop electric batteries. Factory.
- The latter will power electric vehicles from Korean-designed Hyundai and Kia cars produced in the United States.
At this time mainly manufacturers of electric batteries have expressed interest in tax benefits and various provisions in the Act. Due to the IRA geographical criteria (50% of the value of manufactured battery components must be manufactured or assembled in North America this year, then 100% from 2029), demand for US-made batteries is expected to increase significantly in the next few years.
The IRA contributes to the Biden administration’s overall positive record on the economy and job creation. Climate Power lists more than 100,000 jobs already announced (electricians, mechanics, technicians, construction workers, etc.) thanks to these 90 new investment projects.
- According to the Blue Green Alliance, more than 9 million jobs could be created by 2030 through energy, climate and environmental investments in ERI.
- In January, the U.S. unemployment rate fell to 3.4%, the lowest level since 1969.
At the same timeInflation Act Voted on and approved by Joe Biden in August 2022 — unlocking $370 billion in investment through 2031 — Republican elected officials have filed several bills aimed at repealing certain provisions of the text, including:
- The Natural Gas Tax Repeal ActIt seeks to cancel Methane Emissions Reduction Program (imposing a federal tax on methane emissions from oil and gas operations);
- The The Conservation of American Energy Production Act, It would prevent the president from declaring a federal ban breaking ;
- The Promoting Transboundary Energy Infrastructure LegislationIt will be required Central Energy Regulatory Commission Approves gas pipeline projects to Canada or Mexico within 30 days.
- Tennessee Republican elected official Andy Ogles filed a bill in early February titled the “Inflation Reduction Act of 2023” that aims to repeal it.Inflation Act 2022 in full.
While these laws have almost no chance in the Senate (in the hands of Democrats), they testify to the distaste of a significant number of elected Republicans for the IRA and federal spending that the law authorizes. Committee for a Responsible Central Budget The latter is estimated to “reduce the budget deficit by more than $300 billion in its first nine years.”
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