Two Years In, The IRA Has Benefitted GOP Districts & Red States The Most – CleanTechnica

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The Inflation Reduction Act was signed into law on August 16, 2022, and in the two years since then, it has been a prime mover for progress in clean tech industries in the US, such as the manufacturing of electric vehicles and their components as well as wind and solar manufacturing and deployment, despite a variety of attempts by Republicans in the US House of Representatives to reduce or repeal the Act.

What’s interesting about that tactic from GOP representatives is that the IRA has actually benefitted red states and Republican congressional districts the most, as illustrated in a new report from E2.

According to its website, E2, which is a partner of the NRDC, “is a national, nonpartisan group of business leaders, investors and others who advocate for smart policies that are good for the economy and good for the environment,” and it has managed some impressive policy victories over the last 24 years.

One of the ways that E2 helps to influence policy is through bringing the receipts, in the form of reports that analyze the economic impacts of policies on clean technologies, such as its recent Clean Economy Works: Inflation Reduction Act Two-Year Analysis.

In its summary, the E2 report states the following:

“Forty states and two out of three congressional districts are home to at least one announcement. Growth from post-IRA projects tracked by E2 is particularly pronounced in Republican-led districts and states in the South.

Nearly 60% of the announced projects — representing 85% of the investments and 68% of the jobs — are in Republican congressional districts. This despite the fact that no Republican voted for the legislation.” 

The summary goes on to lay out a few damning examples of how the IRA has massively benefitted GOP-led states and districts:

• Red states and Republican congressional districts are benefitting the most from the IRA. In its full two-year history, more than half of all projects were in Republican districts, and 19 of the top 20 congressional districts for clean energy investments are held by Republicans. Nearly 40% of all 435 U.S. congressional districts are home to at least one announced project.
• The top congressional districts for clean energy investments are North Carolina’s 9th district with nearly $9.9 billion, represented by Republican Rep. Richard Hudson; Georgia’s 11th congressional district with $6.6 billion, represented by Republican Rep. Barry Loudermilk; and Nevada’s 2nd congressional district with $6.6 billion, represented by Republican Rep. Mark Amodei.
• The top congressional districts that would see the largest clean energy employment growth from new clean energy projects are North Carolina’s 9th district with 5,660 estimated jobs, represented by Republican Rep. Barry Loudermilk; Nevada’s 2nd congressional district with $5,050 jobs, represented by Republican Rep. Mark Amodei; and South Carolina’s 2nd congressional district, represented by Republican Rep. Joe Wilson.
• The congressional districts that are home to the most projects announced are: Ohio’s 9th congressional district with eight projects, represented by Democratic Rep. Marcy Kaptur; Georgia’s 1st congressional district with six projects, represented by Republican Rep. Earl Carter; North Carolina’s 9th congressional district with six projects, represented by Republican Rep. Richard Hudson; and South Carolina’s 5th congressional district with six projects, represented by Republican Rep. Ralph Norman.

Ouch. This is a prime example of how politicians often choose to walk the party line instead of working in the best interests of their constituents, because agreeing with the other party at any time and in any way often results in being shamed and shunned, perhaps even ostracized. It’s silly, but that’s the state of US politics. In any case, if you’d like to get your hands on some actual data on the positive economic impact of the IRA, grab the E2 report Clean Economy Works: Inflation Reduction Act Two-Year Analysis here.