Republicans clash over keeping green subsidies from 2022 climate law

Republicans are divided on whether to keep the Inflation Reduction Act’s green energy tax credits, with growing support within the party to preserve these incentives despite opposition from conservatives.

Emma Dumain and Kelsey Brugger report for POLITICO.

In short:

• 18 House Republicans signed a letter asking Speaker Mike Johnson to keep energy tax credits from the Inflation Reduction Act.
• Some Republicans argue that the subsidies benefit their districts and support economic development, while others see them as wasteful spending.
• GOP leaders face pressure to decide on the future of these credits, particularly if they win the 2024 elections.

Key quote:

“We’ve seen industries that were against the Inflation Reduction Act now lobbying to keep the tax credits."

— John Podesta, White House climate adviser

Why this matters:

This debate highlights internal GOP conflicts over climate policy and the political balancing act between economic benefits and ideological opposition to government spending. The outcome may significantly impact the future of U.S. climate initiatives.

Related EHN coverage:

• Red states reap most benefits from climate law they oppose
• Opinion: House Speaker Mike Johnson’s climate change playbook — deny the science, take the funding
• Exploring the impact of the Inflation Reduction Act on America's energy communities