North Dakota Republican Rep. Julie Fedorchak is introducing legislation Thursday that would completely exclude wind and solar from signature Inflation Reduction Act tax credits by the end of the decade.
The “Ending Intermittent Energy Subsidies Act” would phase out two production and investment credits, known as 45Y and 48E for their places in the tax code, over the course of five years for wind and solar energy generation while maintaining the incentives for other climate-friendly technologies like nuclear and geothermal.
The legislation is one of the first bills developed this year designed to roll back a key component of the Democrats’ 2022 climate law, as Republican leaders consider repealing parts of the IRA through the budget reconciliation process.
At a hearing earlier this year, Fedorchak told the House Ways and Means Committee, which has jurisdiction over tax policy, that IRA credits for wind and solar pose unprecedented reliability risks to the nation’s electric grid due to their intermittent nature. She also cited grid reliability concerns caused by “market distortions” in a summary of the legislation.
