US Senate Democrats Chuck Schumer and Joe Manchin reached a compromise on the fiscal year 2022 budget reconciliation that includes $369 billion in new spending to spur clean energy and technology over the next decade. The bump in spending would be off-set by corporate tax changes and other revenue-raising measures.
The compromise was announced on July 27 as the “Inflation Reduction Act of 2022.” Although the compromise is projected to reduce the deficit overall, the proposed legislation authorizes significant spending targeted to renewable energy, cutting edge technology, reducing greenhouse gas (GHG) impact from manufacturing, and promoting less carbon intensive buildings by expanding existing programs and creating new ones. Priorities include:
Energy Security: Over $60 billion in proposed spending in the bill is designed to increase domestic production of clean energy…