Washington, D.C. – The Business Council for Sustainable Energy (BCSE) and the Clean Energy Business Network (CEBN) released a factsheet today detailing Utah’s investments in demand- and supply-side energy solutions. The factsheet highlights energy projects driving economic growth in Kansas as Congress considers budget reconciliation proposals that would impact jobs and economic development in the state by altering and drastically limiting the timeline of key energy tax credits.
“Companies rely on long-term business certainty in the tax code to plan projects and allocate capital,” said BCSE President Lisa Jacobson. “BCSE recognizes the Utah Congressional delegation’s leadership role in energy policy and thanks Senator Curtis for highlighting the importance of a durable tax code. Utah needs more energy now to keep the lights on for homes and businesses – and these tax incentives are unleashing homegrown energy across the state.”
Utah is already experiencing sharp increases in energy demand coupled with concerns about rising energy costs. The House-passed budget reconciliation bill would increase household energy spending in Utah by an average of nearly $230 per year in 2030 and more than $510 per year in 2035.
Clear, predictable, and long-term tax policy is essential for market confidence that will get projects deployed quickly and urgently. The changes proposed in the House-passed budget reconciliation bill are expected to result in the loss of 9,400 jobs in Utah by 2030 and nearly 2,900 jobs by 2035, due to a decline in new investments in domestic energy and manufacturing. Additionally, annual GDP in Utah would shrink by $1.4 billion in 2030 and another $55 million in 2035.
“Utah is emerging as an attractive place for energy businesses, from startups to manufacturers to project developers, creating good-paying jobs and taxpayer revenue in communities across the state,” said Lynn Abramson, President of the Clean Energy Business Network. “But these growth industries are in jeopardy as Congress considers reopening the existing energy tax code. Policy certainty is essential for fostering a pro-business environment, especially for small companies with limited resources.”
As the Senate now considers changes to the tax code through budget reconciliation, BCSE and CEBN will share industry perspectives with policymakers and urge that the proposals remove burdensome red tape and provide a smoother transition for businesses currently utilizing the energy tax credits. The coalition’s reconciliation bill priorities can be found here.