With the Inflation Reduction Act now the law of the land, it’s essential Texas...
The Inflation Reduction Act offers a tax credit for solar installations as the nation takes the lead in reducing climate changing greenhouse gas emissions. But the world must follow.The details are massive. Known as the IRA, the act combines programs, fees and tax credits to increase the speed at which the U.S. adopts clean energy, including solar, wind, nuclear and hydrogen.
Here in Texas, the benefits for residents include more, not fewer, jobs. In 2021, 238,884 Texas workers already were employed in clean energy. The IRA expands this. Clearly, the emphasis now is on low-carbon technologies, and the IRA is expected to help reduce greenhouse gas emissions 40 percent below 2005 levels by 2030.
Of course, we still need to fix the problems the IRA does not address — specifically, other countries that continue to release heat-trapping gases into the atmosphere. One way to do this, and it’s already being done by the EU and Canada, is to move to a carbon border adjustment mechanism, or CBAM. This would force countries, via trade, to produce products with a lower carbon footprint or pay a fee.
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