President Biden signed the Inflation Reduction Act yesterday, which has some of the most progressive climate action ever, will provide jobs, and lower costs for Coloradans.
From Morgan Carroll, Chair, Democratic Party of Colorado:
“I want to thank our Democratic Delegation for rolling up their sleeves and doing the work to deliver a meaningful and historic package of reforms to save Americans money by addressing inflation, the cost of prescription drugs, bringing tech jobs back to America, and addressing climate change in a way that will also create good-paying jobs in Colorado. This is good news for Colorado and the country."
Here are the key ways the White House says the Inflation Reduction Act will specifically help Colorado:
LOWER ENERGY COSTS: In Colorado, millions of low - and moderate-income households are eligible for rebates on energy-efficient appliances through the Inflation Reduction Act. The bill also provides tax credits covering 30% of costs to install solar panels and battery storage systems. There will also be grants to help state and local governments adopt the latest building energy codes, which would save the average new homeowner in Colorado 19.9% on their utility bills—$423 annually.
GOOD-PAYING JOBS: In 2021, there were already 61,179 Colorado workers employed in clean energy jobs. The Inflation Reduction Act will expand these opportunities, bringing an estimated $13.2 billion of investment in large-scale clean power generation and storage to Colorado between now and 2030. It provides a historic set of tax credits to create jobs across solar, wind, storage, and other clean energy industries. These credits include bonuses for businesses that pay a prevailing wage so that Colorado workers earn a good paycheck as we build the clean energy future in America.
DOMESTIC MANUFACTURING: Manufacturers employ 148,700 workers in Colorado, and the Inflation Reduction Act will help us make the technologies of the future at home— supporting local economies and strengthening supply chains. The Inflation Reduction Act will boost U.S. manufacturing of clean energy and transportation technologies and investments in a new Advanced Industrial Facilities Deployment Program to position America to lead the growing global market for clean steel, aluminum, cement, and more.
SMALL BUSINESSES: Colorado is home to 674,741 small businesses, representing 99.5% of all businesses in the state, and the Inflation Reduction Act will help them save money. Commercial building owners can receive a tax credit of up to $5 per square foot to support energy efficiency improvements that deliver lower utility bills. Other programs that will benefit small businesses include tax credits covering 30% of the costs of installing low-cost solar power and of purchasing clean trucks and vans for commercial fleets.
ELECTRIC VEHICLES: The Inflation Reduction Act will make it easier and cheaper to purchase an electric vehicle, with upfront discounts up to $7,500 for new EVs and $4,000 for used EVs, helping middle-class Americans skip the gas pump and save on fuel costs. In Colorado, millions of people will be eligible for these discounts. Colorado recently submitted a state plan for using funds from President Biden’s Bipartisan Infrastructure Law to build out EV charging stations along highways.
CLEANER AIR: The Inflation Reduction Act will significantly reduce pollution, resulting in 100,000 fewer asthma attacks in America in 2030, and position the U.S. to achieve President Biden’s climate goals. Lowering greenhouse gas emissions will avoid not only costly climate impacts from more extreme weather but also improve local air quality— preventing premature deaths and reducing air pollution. In addition to reducing pollution across the economy, the Act will benefit communities most in need of cleaner air, through environmental justice block grants, investments for cleaner buses and trucks, and a Clean Energy and Sustainability Accelerator that will prioritize emissions-reducing projects in disadvantaged communities and fund state and local green banks like the Colorado Clean Energy Fund.
RURAL OPPORTUNITIES: The Inflation Reduction Act supports climate-smart agriculture practices, which will help Colorado’s 39,000 farms lead on climate solutions and reward their stewardship. Electric cooperatives, which serve 680,000 homes, businesses, and other customers in Colorado, will for the first time be eligible for direct-pay clean energy tax credits. And this legislation dedicates investments for rural electric cooperatives to boost resiliency, reliability, and affordability through clean energy and energy efficiency upgrades.
RESILIENT COMMUNITIES: The Inflation Reduction Act will upgrade affordable housing, including projects that boost resilience in the face of intensifying extreme weather. In Colorado, tens of thousands of people live in affordable housing units that are eligible for upgrades like flood-proofing and storm resistance, as well as clean energy and electrification. A new Neighborhood Access and Equity Grant Program includes support for transportation projects and planning to protect against flooding, extreme heat, and more. The Inflation Reduction Act also invests in strengthening America’s forests, including programs focused on preventing wildfires and for tree planting projects that help protect communities from extreme heat, as well as over $4.5 billion for drought preparedness and response.
