With House Passage, the Inflation Reduction Act Is a Massive Win for the Climate and the U.S. Economy
August 12, 2022 /3BL Media/ - Ceres Director of Federal Policy Zach Friedman issued the following statement after the U.S. House of Representatives passed the Inflation Reduction Act of 2022, sending the groundbreaking package featuring more than $370 billion in climate, energy, and environmental justice investments to President Biden’s desk to be signed into law:
"At last, the U.S. is poised to take full advantage of the many benefits of the clean energy economy with ambitious legislation that has been decades in the making. The Inflation Reduction Act is not just the most ambitious piece of climate legislation in our nation's history. It is also a major advancement in American economic development and industrial policy. It promises to bolster U.S. competitiveness now and in the coming decades, foster domestic supply chains and advanced manufacturing capabilities, reduce and stabilize costs for companies and families, invest in the communities that have too often been left behind, and combat the climate-related risks facing businesses, investors, and our economy.
“Throughout the year-plus of negotiations that culminated in the Inflation Reduction Act, companies and investors have been among the strongest champions of its climate provisions. It is telling that, over a period of more than a year, the climate, clean energy, and environmental justice investments remained central to a package that otherwise shifted dramatically over time. That’s because these measures are necessary to support sustained and equitable growth to our nation’s economy. It’s also because leading companies and investors never gave up on this deal. Even when things looked dark and that a deal may not be possible, they continued to advocate for it—and businesses and families alike will be rewarded with its benefits.
“As we celebrate the bill’s passage in the House following last weekend’s approval in the Senate, we are thankful to those business advocates—and the many others who have long called for strong federal climate action—for their persistence and determination. We are also grateful to the many lawmakers and staff members who have put countless hours into shaping and passing this monumental deal, and now eagerly anticipate seeing it signed into law by President Biden soon.”
More than 2,900 companies with over $5.1 trillion in annual revenue and more than 400 million global employees have participated in corporate America’s year-long push for federal legislation to invest in clean energy, clean transportation, advanced manufacturing, domestic supply chains, climate resilience, environmental justice, and resilient agriculture. These efforts have included:
- A letter signed last December by 437 companies, investors, trade groups, and employers calling on the U.S. Senate to pass a package of climate investments that were previously passed by the House of Representatives;
- February meetings with dozens of senior leaders from influential companies and key Congressional offices to urge swift passage of a federal reconciliation bill that includes the historic climate, clean energy, and environmental justice investments;
- Participation by Siemens USA CEO Barbara Humpton in a March Punchbowl News event highlighting the substantial corporate advocacy for robust climate policy:
- A letter from nearly 50 large companies, each generating more than $200 million in annual revenue, calling for the climate package to advance as Congress returned to session in April;
- Meetings between more than 100 major companies and lawmakers of both parties in May, as part of LEAD on Climate 2022, pushing for Congressional climate action;
- A June letter from more than 1,000 companies of all sizes, representing every state in the country and industry in the economy, pressing the economic case for these investments;
- A letter from seven CEOs at some of the nation’s largest companies, injecting their personal calls for climate provisions in a reconciliation deal at a critical point in the Senate negotiations;
- A business roundtable with President Biden on Aug. 4 focused on the IRA, that featured leaders from Ameren, Carrier, Cummins, General Motors, and Kaiser Permanente;
- Individual statements from many large companies and trade associations in support of these climate provisions over the last year, including a surge of support for the IRA after Sens. Schumer and Manchin announced the deal in late July.
- A letter released days ahead of the Senate vote signed by dozens of large companies, urging approval of the Inflation Reduction Act.
Ceres is a nonprofit organization working with the most influential capital market leaders to solve the world’s greatest sustainability challenges. Through our powerful networks and global collaborations of investors, companies and nonprofits, we drive action and inspire equitable market-based and policy solutions throughout the economy to build a just and sustainable future. For more information, visit ceres.org and follow @CeresNews.
Media Contact: Helen Booth-Tobin