Electricity

If inflation feels virtually nonexistent to some, that may soon change. The May CPI release showed a much slower pace of price increases than expected. Some of that reflects lagged effects to housing components of inflation relative to events that transpired 2-3 years ago. And it is also true that

Executive Summary Congress is considering raising the tax burden on electricity investment and production supported through tax credits (ITC & PTC) enacted in the Inflation Reduction Act of 2022 (IRA). These provisions support building generation capacity across a range of sources, including nuclear, geothermal, energy storage, wind, solar, and hydro,

Many thanks to Pavan Venkatakrishnan, James Hewett, and Alex Turnbull for their thoughtful contributions to this piece. Introduction The House Ways and Means Committee has proposed rescinding hundreds of billions of dollars in energy tax credits established by the Inflation Reduction Act (IRA). One critical — and largely overlooked — casualty of