Blue Energy Group, a leading national tax and engineering firm, closely monitors activity and developments related to energy tax incentives. This newsletter is to inform you of updates and their impact so you can confidently prepare for your next energy efficiency or renewable energy project.
UPDATES
Yesterday (March 26th), E&E News published an article signaling a shift in Republican attitudes toward clean energy tax incentives.
House Republicans are reconsidering their approach to clean energy tax credits from the Inflation Reduction Act, with some leaders now favoring a gradual phaseout instead of full repeal. This shift is driven in part by the realization that expected budget savings from rescinding climate-related funding are falling short—according to the Congressional Budget Office, much of the IRA funding has already been spent or allocated by the Biden administration. Combined with pressure from GOP members representing districts benefiting from clean energy investment, the party is moving toward a more pragmatic approach.
Republicans mull ‘thoughtful’ phaseout of green credits. (2025, March 26). E&E News. https://www.eenews.net/articles/republicans-mull-thoughtful-phaseout-of-green-credits/
IMPACT
House Republicans’ reconsideration of a full repeal introduces near-term uncertainty for reconciliation negotiations. With a slim majority and growing intra-party disagreement, GOP leaders must now navigate internal divisions over clean energy funding while trying to unify around a broader budget plan—signaling that any major changes to energy tax policy may be delayed or significantly narrowed.
GUIDANCE
(Provided by CEO Josh Howes)
Now is the time to take action. With key lawmakers reconsidering their stance on Inflation Reduction Act tax credits, your voice matters more than ever. Call your House Representative and Senators today to express your support for keeping these clean energy incentives in place. Congressional offices are hearing from lobbyists—make sure they hear from voters, too..