The Inflation Reduction Act, passed by Congress in 2022, is paving the pro-business environment that can hit our energy goals.
Energy is the engine that drives our society forward — and energy production is key to Utah’s strong economic growth. But we face a power crunch as demand grows, spurred by energy-intensive data centers, and as the older generation is retired. Our state’s “Operation Gigawatt” sets a goal of doubling Utah’s power production over the next 10 years, ensuring our energy is reliable, affordable, secure and clean.
The Inflation Reduction Act, passed by Congress in 2022, is paving the pro-business environment that can hit that goal. Since its passage, Utah has secured more than $12 billion in total announced clean energy and transportation investments, along with 4,200 new announced jobs. Over 50 new clean energy and transportation facilities are under construction and on track to build American-made products and produce homegrown energy.
The IRA includes long-standing, proven policies — like tax credits, grants and loans for cutting-edge carbon-free energy technologies, clean vehicles and grid infrastructure. These are exactly what Utah needs. But they’re at risk right now as Congress considers their future.
Energy projects don’t happen overnight. They take billions in capital investment and years of construction. Strong, consistent energy policy creates the business certainty needed to make those investments. Whiplash policy creates massive uncertainty, stealing jobs from hard-working Utahns. Investments already underway would be wasted, creating major statewide economic losses.
Recent analysis from non-partisan research firm Energy Innovation finds repealing the IRA’s federal funding and tax credits would cut Utah’s GDP by $1.34 billion in 2030. Family-supporting jobs would be cut as companies scale back and shutter operations — repealing IRA policies would cost Utah nearly 7,300 jobs in 2030. And Utah’s households would be forced to pay an extra $289 million in cumulative energy costs through 2035. These economic results are consistent with analysis from financial services company Moody’s.
Repealing these policies would hurt Utahns beyond just economic costs. We’d pay dearly with our lungs and public health — more air pollution, more planet-warming emissions, and more premature deaths and illnesses.
Energy investments are happening statewide. Every congressional district is benefiting, especially rural regions that need economic revitalization. Beaver County is home to Utah’s largest wind, solar, energy storage and geothermal projects, including Fervo’s geothermal energy plant and Clearway Energy Group’s grid-enhancing energy storage project — two of the most cutting-edge projects of their kind.
Beaver County is proof that smart state and federal policy can unlock opportunities, create jobs and boost rural economies.
Standing up for the existing federal funding and tax credits that are charging up our economy and cleaning our air is a vote for our families and our future. Jeremy Harrell, CEO of conservative clean energy organization ClearPath, recently told Sen. John Curtis in a Congressional hearing that Utah is a “great example of where federal, state, and local entities need to be synced up in the right way to drive new economic opportunities.” That’s what the IRA helps us do.
Utah has an opportunity to maintain our leadership in energy development and innovation. Our congressional delegation can join the 21 House Republicans who have already voiced their support for these pro-energy policies, standing with the businesses creating jobs in their districts and supporting the deployment of innovative energy technologies.
Defending these policies will help Utah continue to diversify our economy and attract long-term investments, signaling to the next generation of technology innovators and job creators that Utah remains open for business.
Source: Utah News