Red states face steep rise in energy bills as renewable tax cuts take effect
Electricity costs are set to rise nationwide after Republican-backed legislation eliminated federal support for renewable energy, with Republican-leaning states likely to see the sharpest increases, according to a new analysis.
Oliver Milman reports for The Guardian.
In short:
- A new Republican law, signed by President Trump, ends tax credits for wind and solar projects, pushing utilities to rely more on fossil fuels and raising electricity prices.
- Households in Republican-leaning states such as Missouri, Kentucky, and Texas are projected to face the largest spikes in energy costs, with annual increases reaching over $600 by 2035.
- The law also cuts federal assistance programs like LIHEAP, which help low-income families pay utility bills, leaving millions more vulnerable to energy insecurity during extreme heat.
Key quote:
“Lower-income folks in rural areas in red states will have compounding impacts from this bill – their states voted to pass this but it will really harm them in the long term.”
— Dan O’Brien, senior analyst at Energy Innovation and author of the study
Why this matters:
Access to affordable electricity is essential for survival, especially as extreme heat intensifies across the United States. Cutting support for renewable energy while dismantling programs that help families keep the lights on risks deepening existing health and economic disparities. Lower-income households, communities of color, and the elderly are most exposed to energy insecurity, and many live in homes ill-equipped to handle heat. Rising energy costs may force families to make dangerous trade-offs, such as skipping medication or going without air conditioning in record temperatures.
Related: Democrats shift strategy to blame Republicans for rising energy bills and power shortages
