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The recent Inflation Reduction Act (IRA), along with the Infrastructure Investment and Jobs Act (IIJA) from 2021, fund multiple programs and tax incentives to improve the energy efficiency of new and existing commercial and public buildings. The 179D tax deduction is revamped and now includes a new pathway for retrofits. Even larger broad greenhouse gas emission reduction programs under the IRA could be used to reduce emissions from commercial buildings. But the programs use a variety of mechanisms to offer varying incentives with varying goals and criteria.

A new ACEEE policy brief written by Lowell Ungar, Director of Federal Policy and Steven Nadel, Executive Director, summarizes programs that will or could provide significant resources for energy efficiency in commercial and public buildings.

The brief, Commercial Building Incentives: Programs for new construction and upgrades in the Inflation Reduction Act and other recent federal laws is available for download from ACEEE here.

Click here for more ACEEE news and insights about energy topics.

Lowell Ungar
Lowell Ungar, Director of Federal Policy

Steven Nadel
Steven Nadel, Executive Director

Clean Energy Industry Sees Massive Investments

Between August 16 and November 30, 2022, over $40 billion of new grid-scale clean energy investments were announced, the same amount as the total investment estimated for all clean energy projects installed in 2021, according to the Clean Energy Investing in America report, released in December by the American Clean Power Association (ACP). In addition, 20 new grid-scale clean energy manufacturing facilities were announced in the U.S., creating an expected 7,000 new American jobs.

Clean Energy Investing in America
(Source: ACP, Clean Energy Investing in America report)

“As a new era dawns in clean energy, America is laying the foundation to become a manufacturing powerhouse. This growing sector will create thousands of good paying jobs in communities across the U.S. and will help reduce dependence on foreign energy sources to meet our domestic needs,” said ACP Interim CEO and Chief Advocacy Officer JC Sandberg.

ACP’s Clean Energy Investing in America report demonstrates that incentives approved by Congress are being felt across the country as the clean energy industry builds utility scale projects and manufacturing facilities that put America on a path to a clean energy future.

Highlights from the report:

  • 20 new clean energy manufacturing facilities were publicly announced:
  • 12 new solar manufacturing facilities
    • Over 300% increase in solar module manufacturing capacity
    • 22 gigawatts (GW) in new solar module or cell manufacturing capacity
      • Six new grid-scale battery storage manufacturing facilities
      • One reopening and one expansion of wind power manufacturing facilities
      • 6,850 new jobs publicly announced
      • States that will see new or expanded facilities include Alabama, Arizona, Colorado, Georgia, Iowa, Michigan, Minnesota, New York, Ohio, Tennessee, and Texas, while other locations remain undetermined.
  • Over $40 billion in capital investment announced, split evenly between utilities and independent power producers
  • $2.5 billion in consumer savings announced
  • Over 13 gigawatts of new clean energy capacity announced

The full Clean Energy Investing in America report is available for download here.

Read the full article "A New Landscape: Energy Efficiency In The U.S." on Facility Executive Magazine.

Facility Executive Magazine