Clean Energy Cuts Threaten U.S. Economy 

Today, the U.S. House of Representatives passed H.R.1, the Republican budget bill, by a vote of 218 to 214 following the U.S. Senate’s 51 to 50 vote passage earlier this week. 

The new law turns back the clock on America’s clean energy leadership, with provisions such as the rapid phaseout of critical wind and solar tax credits and introduction of onerous Foreign Entity of Concern restrictions, rendering many clean energy investments unworkable or uncertain at best.

Taken together, these provisions will raise Americans’ electricity bills, eliminate hundreds of thousands of jobs, decimate investments in U.S. manufacturing and undermine the ability to meet rapidly growing demand for electricity. 

“While other countries are benefiting from accelerated investment in the clean energy economy, the U.S. is taking a step backwards,” said WRI U.S. Director David Widawsky. “H.R.1 will undercut the administration’s stated goal of ‘unleashing American energy’ and sends a chilling signal to families, businesses and investors alike. Abruptly phasing out clean energy tax credits will raise costs, slow innovation and jeopardize America’s energy security.” 

Widawsky continued: “Electricity demand is growing everywhere — and growing fast. The clean energy cuts in this bill will increase costs and constrain supply at a time when demand for electricity is surging. Working families, business owners and local governments will bear the brunt through higher electricity bills, fewer jobs and reduced energy resilience to extreme weather.” 

For more on what this new law will mean for the U.S. economy and a clean energy future, read our statement.