North Carolina Governor Josh Stein warned that a proposed repeal of the Inflation Reduction Act (IRA) could jeopardize the state’s economic progress—-threatening jobs, local businesses, and families.
Last week, Gov. Stein urged Senate Majority Leader John Thune, Senate Finance Committee Chair Mike Crapo, and state Senators Ted Budd and Thom Tillis to reconsider the efforts to end the energy and manufacturing tax credits that the Inflation Reduction Act created.
The Inflation Reduction Act (IRA), signed into law by President Joe Biden in 2022, is a landmark piece of legislation that provided significant tax credits to businesses and homeowners. The credits supported Americans who purchased clean-energy vehicles, made energy-efficient improvements to their homes, built energy-efficient homes, or manufactured and sold clean-energy components.
For North Carolina, the tax credits helped the state emerge as a top place for clean energy business investments.
“Our state’s clean energy economy is booming, and companies’ decisions to locate their clean energy advanced manufacturing facilities in North Carolina have brought jobs and opportunities to our state,” Governor Stein stated in a press release.
“H.R. 1’s abrupt changes to these credits would jeopardize much of this investment, stifle the demand that many companies were counting on, and conflict with the goals of reshoring manufacturing that the Trump Administration has championed. H.R. 1 would weaken our economy, raise utility prices on consumers, and undermine our national security.”
According to Governor Stein’s office, since the Inflation Reduction Act of 2022 passed, over $24 billion in clean energy technology investments have been announced across North Carolina. These investments include batteries for storage and vehicle applications, solar panels, cells, and wafers, electric vehicle charging stations, transformers, and critical minerals, among others.
In an interview with The News & Observer, Will Scott, southeast director of climate and clean energy at the Environmental Defense Fund, stated North Carolina is ninth in the nation for clean energy jobs, with over 100,000 people working in the clean energy sector.
If these tax credits were repealed, an average North Carolina family could expect to pay more per year to power their homes, according to Governor Stein’s office.
“Congress’ proposed repeal of the Inflation Reduction Act could cost North Carolina tens of thousands of jobs by 2030, along with billions in clean energy investments spurred by clean energy and manufacturing tax credits,” Gov. Stein stated in a news release in May. “Repealing the credits could also raise electricity costs for North Carolina families by $200 per year.”
