Repealing Federal Energy Tax Credits Will Directly Harm American Households. Here’s How 

In communities across America, there is no question that families are struggling to make ends meet as the cost-of-living skyrockets. Rising prices confront families everywhere they turn — at the grocery store, at the gas pump, and on the housing market.  

The good news is that solar and storage, the lowest-cost sources of electricity in most of the country, are now the fastest-growing technologies on the grid today.  

Solar and storage prices have declined substantially, making these technologies an attractive option for grid operators and utilities, as well as individual households and businesses.  

Federal energy incentives passed by Congress in 2022 have been central to lowering costs for clean energy technologies, and they’ve empowered millions of households with the freedom to choose solar and storage to directly reduce their electricity bills. 

The fact of the matter is these federal energy incentives have been an economic engine for the United States. And if these incentives are repealed, Americans’ utility bills will increase the very next day. 

Don’t just take our word for it – study after study has shown that getting rid of federal energy incentives will drive up costs for American families and businesses alike.  

According to a report released last week by Energy Innovation, repealing federal energy incentives could increase household energy costs by $32 billion over the next ten years.  

A study from the Clean Energy Buyers Association (CEBA) estimates a family’s electric bill could increase by an average of $110 per year if energy incentives are nixed. Another report from ConservAmerica estimates residential electric bills could rise as much as $152 per year in America’s heartland.  

Simply put, without federal energy incentives the cost of generating electricity will go up, and as a result, consumers’ electric bills will go up.  

Rescinding these tax incentives would derail President Trump’s vision for bolstering America’s energy dominance and lowering energy costs for the American people. And a growing coalition of bipartisan lawmakers and energy industry leaders agree.  

21 House Republicans wrote to House Ways & Means Chairman Jason Smith (R-Mo.) earlier this month warning that a repeal of energy incentives would increase Americans’ utility bills immediately, stating: “any modifications that inhibit our ability to deploy new energy production risk sparking an energy crisis in our country, resulting in drastically higher power bills for American families.” 

At CERAWeek in Houston, NextEra CEO John Ketchum told the New York Times that “if you take renewables and storage off the table, we’re going to force electricity prices to the moon.” 

Clean Energy Buyers Association CEO Rich Powell remarked that “weakening or repealing [energy incentives] would unequivocally mean higher electricity costs for U.S. households and businesses, especially in America’s heartland.” 

And Todd Brickhouse, CEO and general manager of Basin Electric Power Cooperative, told a room full of lawmakers on the House Energy and Commerce Committee that “immediate removal of [tax credits] will not allow utilities to plan for and avoid increased costs, and this will also immediately harm rate payers.” 

Solar and storage are a critical part of an all-of-the-above energy agenda that keeps utility bills low for Americans, creates jobs, and brings billions of dollars in new investments to our country.  

To keep energy costs from skyrocketing for American families, the choice is clear: Congress must protect federal energy incentives.  

Contact your representative and tell them to protect American clean energy today.