On the second anniversary of the Inflation Reduction Act, massive coalition urges Congress to dismantle the law’s anti-energy policies
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The Competitive Enterprise Institute today sent a coalition letter signed by more than 50 conservative and free market organizations to Congress urging the dismantling of the “green” subsidies in the Inflation Reduction Act of 2022 (IRA). August 16 marks the two-year anniversary of the legislation becoming law.
“The cost of these subsidies may reach $1 trillion or more, but the tax dollars squandered are only part of the burden,” the letter states. “The IRA forces upon Americans politically favored energy sources too expensive to compete on their own. At the same time, it tilts the balance against conventional and reliable energy sources, especially the fossil fuels that America possesses in great abundance. The unavoidable result is costlier energy bills.”
The letter notes the threats posed to the electricity grid: “The very threats to grid reliability warned about by such entities as PJM and the North American Electric Reliability Corporation are the ones actively encouraged under the statute. Thanks to the IRA, the American people face a greater likelihood of future blackouts – and are being made to pay for the privilege.”
In addition, the IRA will inflict financial pain on drivers regardless of whether they purchase electric vehicles (EVs). “[E]ven those who choose not to buy an EV end up subsidizing others who do. They also pay higher sticker prices for gasoline-powered vehicles that directly and indirectly bear some of the costs of the IRA’s EV agenda.”
“Selective repeal of a few IRA provisions will not suffice,” the signatories tell Congress. “America’s energy future depends on … an end to this failed attempt at government-imposed energy and a return to free markets.”