Legislation could cut clean energy tax credits

CEDAR RAPIDS, Iowa (KCRG) — Clean energy tax credits could be at risk if the “One Big Beautiful Bill” passes as it’s currently written.

President Trump’s budget reconciliation bill passed out of the U-S House and is now in the Senate.

Those with the Solar Energy Industries Association (SEIA) are speaking out against the bill.

Sean Gallagher with SEIA says if the bill passes as it currently stands, would effectively repeal solar and storage tax credits.

Gallagher says that will have negative impacts on the solar industry and the economy.

He says solar energy manufacturers have been coming back to the U.S., and SEIA believes this bill would halt that.

Gallagher says without tax credits, there will be fewer new energy resources put on the grid, which will result in higher prices for customers.

“The estimates that we have seen and helped produce indicate that customers would see up to $400 a year in higher electricity bills if the bill were to go forward the way it’s written now, and that’s very simply the result of fewer energy resources coming online, and more expensive energy resources replacing them, if they’re able to come online,” said Gallagher.

Gallagher says the demand for new energy is growing, driven by artificial intelligence and data centers like the ones coming to Cedar Rapids.

He says the current bill puts 330,000 jobs across the U.S. at risk, including 1800 jobs in Iowa.

However, a spokesperson for Senator Chuck Grassley’s office says industry estimates from SEIA are “highly speculative forecasting” and says, “Senator Grassley is working with his Senate Finance Committee colleagues to provide wind and solar an appropriate glide path to self-sufficiency, much like he did in 2015 when both industries agreed to a phase-down of their respective credits. Senator Grassley continues to welcome industry feedback on Finance Committee text that incorporates a significantly longer transition period for wind and solar than what was included in the House bill.”

We also reached out to Senator Joni Ernst. A spokesperson for her says, “As the Senate considers the bill, Senator Ernst is continuing to put Iowans first. She has a proven track record of standing up for Iowa’s homegrown energy solutions.”

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