What’s Inside the Inflation Reduction Act
There has been so much back and forth with climate bills in the U.S. Congress that it has been challenging to keep up, so I’m going to break down what got passed on August 16, 2022!
What the bill will do for the climate:
It will decrease greenhouse gas emissions by about 40%.
Sources: The White House, NRDC
What it will do for people:
Reduce Inflation
Create Clean Energy Jobs
Reduce Healthcare Costs
Reduce Utility Costs
Revitalize U.S. Manufacturing
Make the tax code fairer by having the wealthiest pay their fair share.
Also, there are no new taxes on any family making $400,000 or less, and no new taxes on small businesses.
Sources: The White House, Rewiring America
How is it really going to reduce our emissions?
The EPA has stated that there are six primary sources of greenhouse gas emissions in the United States. These are included in the EPA graph below.
The Inflation Reduction Act targets many of these categories through various initiatives, some including:
Improving EV Infrastructure to make consumers more confident in buying electric vehicles, therefore reducing transportation emissions.
Providing Tax Incentives for electric vehicles AND making homes more energy efficient, therefore reducing transportation emissions and residential emissions.
Creating More Green Energy Sources and also creating up to 9 million clean energy jobs in the process. In turn, reducing emissions from electric power, which is mostly sourced from fossil fuels in the U.S. currently.
Sources: The White House, The Bluegreen Alliance, Rewiring America
If you’re still unsure why we need to reduce greenhouse gas emissions, refer to this blog post.
Though not as ambitious as it was initially designed, this is a HUGE win for the climate!