The clean energy tax credits in the Inflation Reduction Act served as a green light for companies to invest billions in clean energy technologies across the country. These investments can lead to millions of jobs and billions of dollars for local and state economies, all while helping the United States cut emissions and fight climate change.

The Republicans’ Default on America Act (DOA) would roll back these tax credits, directly undercutting this recent wave of investment and threatening already announced jobs across the country. It would also repeal key programs that fight pollution and cut spending on the environment across the board. This bill threatens American jobs and the health of our environment.

Rolling back green energy credits jeopardizes jobs and investments across the country

Removing support for clean energy technologies would threaten the already announced 142,000 jobs in green energy tied to the $243 billion in new investments in manufacturing sites for wind, solar, batteries, electric vehicles, and energy storage. These projects already support thousands of jobs spanning electricians, mechanics, and construction workers, and will generate more than 9 million jobs over the next decade.

The following table shows the already announced investments and jobs in green energy by state as reported by Climate Power. The Republicans’ Default on America Act would undercut these jobs and investments as well as jeopardize future projects that would boost local economies across the country. 

The impacts of the Default on America Act on the climate wouldn’t stop there. The bill goes out of its way to undo the significant climate progress made under the Biden administration, while forcing across-the-board cuts on a range of government programs that help guarantee clean air and water.

Repealing the IRA’s climate provisions would lead to an additional 6.3 billion tons of green house gas emissions entering earth’s atmosphere over the next decade

• The United States is expected to reduce emissions by 50% below 2005 levels by 2030, and the Inflation Reduction Act will help close two-thirds of the remaining emissions gap.
• Independent analysis shows that the IRA is expected to cut annual emissions by 1 billion metric tons and reduce emissions by 42% below 2005 levels by 2030.
• Without the Inflation Reduction Act, an additional 6.3 billion tons of emissions would enter our atmosphere over the next decade.

The DOA would cut energy programs by 22% across the board, eliminating federal funding for green energy, clean water, and environmental conservation

• Instead of investing in green energy to lower costs for consumers, Republicans plan to cut federal spending by 22%, which would end $4.3 billion in funding to increase the supply of clean energy.
• This rollback includes $17 million for Tribal communities and $11 million for rural areas—and an additional $777 million would be cut from energy conservation programs that support supply chains, manufacturers, and innovation.
• As Western states face chronic droughts, the DOA would eliminate $3.4 billion in funding for water resource programs that reclaim water and build dams and reservoirs.
• The DOA would also slash conservation and land management programs by $3.9 billion.
• Rolling back programs aimed at curbing pollution and investments in communities threatens climate progress and provides dirty industries with a license to polluteThe DOA would end the Methane Emission Reduction Program’s (MERP) waste charge, reversing an expected 35% decrease in methane emissions from industrial polluters.
• The bill would also cut the Greenhouse Gas Reduction Fund (GHGRF) that invests $27 billion in clean energy deployment and emissions reduction projects that help low-income communities who are affected by toxic pollution and other environmental harms.
• Introducing programs like the MERP and the GHGRP would also help reduce particulate emissions, which could help avoid up to 3,900 premature deaths and up to 100,000 asthma attacks annually by 2030.

The DOA rolls back programs that protect people from toxic pollution

• The DOA would worsen air and water quality for Americans across the country by cutting funding for pollution control programs by $5.4 billion.
• Additionally, the DOA gives companies the ability to skirt the Clean Air Act and the Toxic Substances Control Act, which removes pollution and emissions requirements and puts Americans at risk of being exposed to toxic chemicals.