Update by Allie Miner, 2024 Jan Schori Summer Fellow, BCSE

The passage of the Inflation Reduction Act (IRA) celebrates its two-year anniversary this week, and already, the legislation’s energy efficiency and clean energy incentives have spurred significant private and public investment in the energy transition.

As policymakers, climate advocates, and the energy industry work to understand the impact of the IRA’s policies, up-to-data statistics and analysis are crucial. This blog provides a sampling of trackers from clean energy industries, federal agencies, NGOs, and BCSE members that catalogue clean energy project announcements, job creation, and carbon emissions reductions since the enactment of the IRA.

Since August 2022, these resources have tracked:

• $8.4 billion in total taxpayer claims from the IRA’s energy efficiency home improvement and residential clean energy tax credits.
• 334,565 new clean energy jobs across 47 states and Puerto Rico.
• 160+ new or expanded utility-scale clean energy manufacturing facilities.
• $124 billion invested in private sector solar, wind, storage, clean vehicle, and grid/electrification projects.

 

New Resources

Capitol Climate Guide – This guidebook from the White House provides an overview of federal funding programs for companies focused on clean energy and climate solutions. In total, the guidebook provides overviews of 24 different funding opportunities including programs funded by the IRA, the 2021 Infrastructure Investment and Jobs Act (IIJA), and annual appropriations packages.

DOE Tracker: Investment Announced Under Biden Administration – The U.S. Department of Energy (DOE)’s new interactive investment map shows the communities nationwide that have received investments from the IRA and the Infrastructure Investment and Jobs Act (IIJA). In total, 59 communities have received over $1 billion each in investments from the IRA and IIJA, while hundreds more have received smaller investments.

Financial Times Analysis of Announced Large Manufacturing Projects’ Progress – In August 2024, the Financial Times released research on the progress of U.S. manufacturing projects (of at least $100 million) spurred by the IRA. According to the FT’s reporting, about 40% of 114 large projects announced post-IRA have been delayed or paused.

Politico Analysis of Climate Funding Implementation Progress – In April 2024, Politico released an investigation on the status of planned investments under the 2021 American Rescue Plan, the IIJA, the 2022 CHIPS and Science Act, and the IRA. At the time of publication, Politico’s estimates showed that less than 17% of the $1.1 trillion appropriated for the four pieces of legislation had been spent.

State Fact Sheets – This list of White House fact sheets, updated as of April 2024, provides an overview of the specific public and private investments in clean energy, infrastructure, and manufacturing in each state. Currently, Texas has the highest clean energy investment by the private sector at $150 billion, followed by Arizona at $120 billion.

Treasury and IRS Inflation Reduction Act Clean Energy Statistics – The Internal Revenue Service (IRS) and the U.S. Department of Treasury released new statistics about the number of claims for IRA tax credits for fiscal year 2023. In the report, the IRS finds that taxpayers claimed $8.4 billion in renewable energy tax credits.

 

IRA Implementation Progress

Federal Funding Tracker for Buildings – In partnership with the U.S. Environmental Protection Agency (EPA), the National Association of State Energy Officials (NASEO) created the Federal Funding Tracker for Buildings. This database captures the ongoing key funding opportunities provided by the IRA and IIJA, including 29 active programs totaling $50 billion in funding.

The Inflation Reduction Act: A Place-Based Analysis – An analysis from the U.S. Department of Treasury highlights that the IRA is driving clean energy investments to underserved communities and energy communities at the forefront of fossil production. Using data from MIT and Rhodium Group’s Clean Investment Monitor, this study concluded over 80% of post-IRA clean investments have gone to counties with below-average wages and more than 85% have gone to counties with below-average college graduation rates.

Inflation Reduction Act Tracker – The IRA Tracker is a collaboration between the Columbia Law School’s Sabin Center for Climate Change Law and the Environmental Defense Fund. The tracker highlights the 347 actions taken by 12 government agencies to implement climate change-related provisions of the IRA.

 

Tracking Clean Energy Announcements

Clean Economy Tracker – Developed by Atlas Public Policy and Utah State University, the Clean Economy Tracker is a highly filterable tool tracking investment and job growth in clean energy manufacturing and development across the country. An analysis of the manufacturing overview reveals that 76% of the $160 billion in announced investments in manufacturing facilities since 2022 are in Republican congressional districts.

Clean Economy Works – Created and maintained by E2, this interactive tool provides a live map illustrating 325 newly announced large-scale clean energy projects covering 41 states since the passage of the IRA. Broken down by project type and sector, the map can be filtered by state or announcement date.

Clean Energy Investing in America – The American Clean Power Association, a BCSE member, tracks announcements of new or expanded utility-scale manufacturing facilities since the passage of the IRA through their interactive Clean Energy Investing in America report. Included in these 160 announcements is 300 GW provided by projects.

Clean Investment Monitor – Maintained by the Rhodium Group and the MIT Center for Energy and Environmental Policy Research, the Clean Investment Monitor updates every quarter with crucial data tracking clean energy investments in manufacturing, industry, and retail. Of note was a 36% increase in new investment in the manufacturing and deployment of clean energy, clean vehicle, building electrification, and carbon management tech from 2023 to 2024, totaling $284 billion in investment.

Clean Technology Tracker – Dig into the investment and deployment trends of five emerging clean energy technologies with Cipher’s Clean Technology Tracker. Driven by IRA-funded tax credits, companies have invested approximately $19 million in U.S. lithium processing projects since 2021.

Impact of the Inflation Reduction Act – This factsheet from the Solar Energy Industries Association, a BCSE member, summarizes the rapid growth the solar industry has seen since the passage of the IRA and charts anticipated future growth, spurred by the IRA’s clean energy investments. Over the next 10 years, the IRA is expected to drive “48% more solar deployment” and “increase CO2 emissions offsets from 169 million metric tons (MMT) today to more than 459 MMT by 2033.”

White House Investing in America Tracker – This interactive map provides a snapshot of the thousands of clean energy, infrastructure, manufacturing, and electricity projects that have been introduced across the United States since the passage of the IRA and IIJA. To date, $79.5 billion has been “announced for grants, rebates, and other initiatives to accelerate the deployment of clean energy, clean buildings, and clean manufacturing.”

 

Industry-Specific Data

2024 Sustainable Energy in America Factbook – The 2024 Sustainable Energy in America Factbook, published annually by the Business Council for Sustainable Energy and BloombergNEF, reports on macroeconomic trends that are occurring across the clean energy industry. The 2024 edition features sector-by-sector market responses to the IRA, signaling the positive impact that the legislation has had on energy storage, hydrogen, private sector investment, and manufacturing, to name a few. While industry-wide growth occurred, emerging technologies lead the charge as the fastest growing sectors, including a 68% increase in new carbon capture and storage investments, 82% jump in hydrogen-producing project investments, and an 81% rise in supply of renewable jet fuel since 2022.

 

Clean Energy Jobs Growth

Clean Economy Works Report – Taken from E2’s clean energy projects tracker, this report summarizes the economic benefits resulting from new major clean energy projects induced by the IRA over the next five years. Of note are more than 400,000 jobs created or supported each year across the solar, wind, EV, electric transmission and distribution, battery storage, and clean fuels sectors and $106.4 billion in total private investment.

Clean Energy Boom – Provided by Climate Power and updated every two months, the Clean Energy Boom report tracks new jobs stemming from clean energy project announcements made since the passage of the IRA. Between August 2022 and August 2024, “companies have announced or advanced 646 new clean energy projects, creating 334,565 new jobs and driving $372 billion in new investments across 47 states and Puerto Rico”.

 

Measuring Emissions Reductions

Electric Sector Emissions Impacts of the Inflation Reduction Act – Released in September 2023, the U.S. Environmental Protection Agency’s Electric Sector Emissions Impacts of the Inflation Reduction Act report tracks and projects sector-by-sector improvements – attributable to the IRA – in limiting direct and indirect emissions. By comparing two scenarios – no IRA vs. IRA – the report offers a comprehensive look at economy-wide emissions trends and identifies key IRA provisions contributing to these positive results.

Investing in American Energy – Similarly, the Investing in American Energy (Aug. 2023) report from the U.S. Department of Energy examines three scenarios of potential long-term impacts of the IRA – no IRA, moderate IRA implementation, and advanced IRA implementation. In an advanced scenario, the analysis predicts GHG emissions to decline to 35%-41% below 2005 levels by 2030.

 

As BCSE works with industry leaders and policymakers to advance the clean energy transition, ensuring the efficient and effective implementation of the IRA is a top priority. Since August 2022, BCSE has made numerous submissions to shape the design and implementation of the incentives funded by legislation. Click here to learn more about BCSE’s work to guide IRA implementation.

About the author: Allie Miner is BCSE’s 2024 Jan Schori Summer Fellow. Allie is a rising senior at American University majoring in political science, with an interest in a career in energy policy.