- Nov 24, 2022, 2:00 PM CST
As the Democrats control the Senate and Presidency, there is a high likelihood of stalemate when it comes to significant energy policies in 2023.Republicans will take over control of the House of Representatives in 2023. What does this mean for energy policy? Let’s discuss. Renewable energy projects are similar. Over the years, Congress has granted tax credits for renewable energy, and allowed them to expire. This process has been repeated several times, which creates long-term uncertainty for project developers.
Nevertheless, the IRA is a large, complex piece of legislation. There are provisions in the bill that are attractive to Republican constituents. That, in part, is why many experts believe a repeal — at least within the next Congressional session — is unlikely. Further, the IRA provides a rallying cry for Republicans, upset with high inflation. If they can’t repeal it, they can still campaign against it, while blaming the bill for high energy costs. The second major thrust of Republican efforts will revolve around American energy independence. Current Minority Leader Kevin McCarthy has indicated that ensuring American energy independence and reducing energy prices would be among the first acts by the next Congress.