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In Georgia, a fight against credit for its clean energy boom

If the presidency of Joe Biden had a realization of CAP stones, it was the law on the reduction of inflation, and if the IRA reindustrialisation project in America by climate action has a poster child, it is Georgia. Peach’s state is home to more jobs that should result from clean energy projects that have been announced since the law in August 2022 than any other state.

These jobs – some 42,000, according to a report, shared with Griset First, by the senator from Georgia, Raphael Warnock – are now in danger while the Congress Republicans plan to repeal a part or all of the IRA tax credits to pay the tax reductions proposed by President Donald Trump. The report argues that the possibility that the incentives will be interrupted have already had an impact. In February, two battery manufacturers, Freyr Battery and Aspen Aerogels, canceled the plans of new factories in Georgia. These projects would have gathered 1,400 jobs in the state and invested nearly $ 3 billion.

The Republicans weigh if I will have to kill the IRA must face the politically embarrassing fact that it benefits in a disproportionate way to their voters. “Although this legislation was adopted by reconciliation – a only democratic bill, ironically – 3 out of 4 of all the projects funded by IRA have gone to the House of districts held by the Republicans,” Warnock told Grist. “This is particularly true in Georgia: 80% of projects, 94% of total investment and 75% of jobs are in republican districts. I think that is the reason why you see a large number of room republicans – and I suspect that you will see more – get up and say: “ we love these jobs. ”

Just as the IRA was born from the dream legislative package of a president – the build back Better Plan – its destruction can come from the “Big and Beautiful Bill” from its successor. This is Trump’s nickname for a list of wishes of billions of dollars in tax reductions and other policies which he hopes to go through budgetary reconciliation, a procedure by which the congress can bypass the Senate filibusier and adopt the laws by majority vote. The reconciliation bill must follow the self-imposed plan carried out by the Republicans of the Congress in April, according to which they must find at least 1.5 billion of savings to compensate for the new expenses.

The disagreement in the Republican ranks took place in a series of delegate letters pleading for the preservation of various tax credits will go. A republican of the house, Mark Amodei of Nevada (which shelters the only lithium Mine), recently went so far as to suggest that it would not vote for a reconciliation bill which repeals one or the other of the two tax credits will go key: the advanced manufacturing credit 45x, which encourages the production of components, batteries and criteria solar and wind minerals; And the 30D tax credit, which grants $ 7,500 credit to people who buy electric vehicles built in the United States

The present situation of the Democrats elected with the strategic question of the way in which, in the absence of voting power, to persuade their republican colleagues to keep dollars flowing towards their own districts. The Warnock solution is simply to argue for IRA in public. Considering a repeal of the bill, “what they offer is a job killer, pure and simple,” Warnock told Grist. “And the economy of job death in Georgia in order to give tax reductions to billionaires in the name of job creation is silly at first glance.”

The persuasion of voters to worry about the boom in clean energy manufacturing was a difficult battle, partly because in Georgia, like many other states, many jobs promised by IRA have not yet materialized. The survey of a year ago revealed that 4 out of 10 voters of the country had not even heard of IRA. According to data shared with Grist by the Plaidyer Climate Power Plaidoyer group, which has taken into account public jobs and hiring data from companies, post-IRA Clean Energy jobs in the state include 21,391 jobs for projects currently under construction; 4,510 job openings for projects that have started to hire; 3,630 jobs for projects currently completed operational; and 12,207 other jobs in facilities that have only been announced for future construction.

The Warnock report says that “the overall post-IRA investment in the manufacture of clean energy in Georgia has totaled nearly $ 16.4 billion, which is more than 10 times higher than the investment of clean energy manufacturing in the previous two years.”

However, two of the Georgia electric vehicle manufacturing factories were announced the year preceding the passage of IRA. The December 2021 announcement of a $ 5 billion Rivian electric car factory and the Hyundai EV factory of May 2022 and $ 5.5 billion was presented as the largest economic development in state history. The fact that the two giant factories of electric vehicles – which would bring together 15,600 new Georgia jobs together according to the estimates included in their initial ads – are immediately prior to IRA remains an annoying political fact for the Democrats and that the Warnock report seems to ignore.

Invited to clarify the figures, a Warnock spokesperson said that Rivian was “not included” in the figure of $ 16.4 billion, but did not clarify more, and that Hyundai’s investment was counted as Pré or Post-Ira was “clear” data from clean investment monitor.

But the Warnock report fulfills a polemical function as well as Georgia Democrats are in competition for the recognition of state employment growth with its popular republican governor, Brian Kemp, who claims credit for having used tax loss to attract Hyundai and Rivian plants to the State and argued that IRA injured the Georgia that it helped.

If IRA is repealed in whole or in part, the effects will not only be felt by manufacturers or their future employees, although industrial subsidies are the part of the bill which attracts the most attention, but also, perhaps more immediately, by the communities, the owners and the small organizations which already receive money thanks to the law.

“It may seem that everything I will have done in $ 1 billion flashy factories and it is a large part of this,” said Julian Harden, responsible for the policies of Georgia conservation voters. But, Harden continued: “IRA also helps people who are generally excluded from the own energy transition.”

Subsidies to low -income citizens to install solar energy on the roof in investments in a USDA program which pays farmers to invest in energy efficiency in domestic energy discounts which help to affect the installation costs of heat pumps and electrified cooking devices, and these are not programs through which Ira are already directly affecting ordinary people – Point of the Warnock report, they can also play a role in a role in the support of Jeoptards for the Warnock report, they can also play a role in the support of Jeoptards for Jeoptards for the Warnock report, they can also play a role in the support of Jeoptards for Jeoperdiseds The Warnock report, they can also play a role in the support of Jeoptards Jeoptards, law.


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