United StatesA recent report, funded by the BlueGreen Alliance and conducted by researchers from Dartmouth and Princeton, sheds light on the anticipated impact of the Inflation Reduction Act (IRA) on the wind and solar industry in the U.S. The report delves into crucial topics such as changes in wind and solar manufacturing, labor standards for clean energy workers, job creation and demand for materials. Specifically, the report explores the impacts of the law's renewable electricity production and investment tax credits (PTC and ITC) and the 45x advanced manufacturing production tax credit (MPTC).
The report finds that wind and solar developers will reap great cost savings by using U.S.-manufactured components and paying workers fair wages due to the investments in the Inflation Reduction Act.
"Using U.S.-manufactured parts and materials for clean energy development and paying workers a fair wage has always been the right thing to do. Now it's also the most economical thing to do," said Jason Walsh, Executive Director of BlueGreen Alliance.
"This report shows that the Inflation Reduction Act successfully creates an air-tight business case for supporting U.S. workers and manufacturers," added Walsh.
Another marked finding is that the implementation of the renewable energy tax credits and the 45X manufacturing tax credit will yield a demand for more than 4 million additional solar and wind jobs compared to projected employment levels if the Inflation Reduction Act had not passed. Specifically, 3.7 million of these jobs will be related to utility-scale solar, marking a remarkable milestone in the solar industry.
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