Top trade group says House bill will choke off US solar investment
A top solar trade association warned that legislation advanced by Republicans last week in the U.S. House of Representatives could threaten 300 solar and energy storage plants and destroy nearly 300,000 American jobs.
Why it's important
The Solar Energy Industries Association's analysis comes during a lobbying campaign aimed at convincing U.S. legislators to protect clean energy tax credit, which under the Republican plan will be phased out faster and have new restrictions on using Chinese-made components.
KEY QUOTE
Abigail Ross Hopper, SEIA's President, said that if this proposal became law, "nearly 300 U.S. plants -- most of them in red states -- would have to close or never open. We simply wouldn't be able to provide the energy needed for American innovation in AI, data centers, and other areas," she added.
CONTEXT
The legislation targets the Inflation Reduction Act of former president Joe Biden, which provides subsidies for wind, solar, hydrogen and other climate-friendly technologies. The majority of solar and storage facilities that receive IRA tax credits are located in Republican states which voted for Donald Trump.
By the Numbers
SEIA estimates that the budget proposal will result in a loss of $220 Billion in solar and battery storage investments by 2030.
Solar jobs would be lost in 292, including 86,000 manufacturing jobs.
Under existing policies, solar and storage are expected to represent 73% of U.S. electrical capacity additions from 2025 to 2030. This sector is critical for meeting the soaring U.S. demand for power.
What's Next?
SEIA urges Congress to revise legislation that still faces several obstacles before becoming law. (Reporting and editing by Edward Tobin; Nichola Groom)
(source: Reuters)
