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Fedorchak says bill cutting wind, solar subsidies sends 'the right signals' to power companies

Grand Forks Herald · last updated

GRAND FORKS – U.S. Rep. Julie Fedorchak says her plan to cut federal subsidies to wind and solar power will “send the right signals” to energy companies as the state plans for a ramp-up in power demand.

The Ending Intermittent Energy Subsidies Act would phase out the Inflation Reduction Act’s solar and wind power production and investment tax credits over the next five years.

Fedorchak, a Republican in her first term representing North Dakota in Congress, discussed the bill with the Grand Forks Herald in a Friday morning meeting.

In 2023, wind power generated 36% of North Dakota’s power, its second-largest energy source next to the 55% generated by coal-fired plants, according to the U.S. Energy Information Administration. Wind power generation more than doubled in the state between 2015 and 2023.

“They’re very generous subsidies. They’ve been extremely effective,” Fedorchak said. “Quite frankly, they aren’t needed anymore.”

Fedorchak, who serves on the House Energy and Commerce Committee, introduced the bill Thursday with backing from several Republican committee members.

She says the bill draws on her 12 years as a member of the state’s Public Service Commission and her time on the advisory board for the Midcontinent Independent System Operator, the Midwestern regional grid.

Fedorchak said her bill was a market correction so energy producers would focus more on “dispatchable” power sources capable of generating power at will, like oil and gas and nuclear energy, as opposed to intermittent power generation from wind and solar.

Existing projects receiving these subsidies should not be affected, she said.

Fedorchak said the state needs to respond rapidly to increased electricity demand from new artificial intelligence data centers the state has sought to draw to North Dakota, as well as concerns about the reliability of the MISO grid amid increased weather events and the transition to renewable energy.

“I think that means everything, whatever can be brought on – the speed of need,” Fedorchak said. “We have a huge opportunity to be one of the solutions to the power needs of AI, and I hope we seize the opportunity to do that.”

Fedorchak said that means more energy generation from fossil fuels but said the U.S. also has to continue work developing batteries capable of restoring renewable energy. She pointed out her bill does not remove subsidies for those projects.

Funding for companies working on long-duration battery storage have been earmarked for cuts by the U.S. Department of Energy, according to an April 4 Reuters report.

The Herald reached out to Fedorchak’s office after the interview to ask about the possible cuts, after which the office released a statement attributed to the representative.

“Battery storage is an emerging technology that can justify targeted tax credits to stimulate private investment,” the statement read. “The DOE grants are a separate issue, one that’s being reviewed and managed by DOE, and at least at this point while that process is underway, I will withhold judgment about their pending decision.”

Fedorchak indicated she continues to support President Donald Trump’s imposition of tariffs on U.S. trade partners, saying it is a “long-term policy issue” and she is unlikely to change her stance.

Trump has imposed tariffs of at least 10% on almost all goods imported to the U.S. as of Friday, though he placed a 90-day pause on a set of higher rates announced earlier in the month.

Fedorchak called the pause “welcome news” but said Trump’s views about tariffs were long-established and well-known and pointed to his broad support by North Dakota voters.

“I believe that people know that President Trump does what he says he’s going to do. He’s not a politician that makes empty promises,” she said.

She also touted the administration’s claim that more than 70 countries have reached out to negotiate their trade agreements, saying executing new deals with half of those countries in the next 90 days would be a “huge success” in a short amount of time.

“The North Dakotans I’ve talked to understand there will be disruptions and want to see it out,” Fedorchak said.

Julie Fedorchak

Julie Fedorchak

Joshua Irvine covers K-12 and higher education for the Grand Forks Herald. He can be reached at jirvine@gfherald.com.