Electrification to maximize positive climate impacts: A narrative review of the U.S. Inflation Reduction Act
DOI:
https://doi.org/10.65746/jelp107Keywords:
Inflation Reduction Act (IRA); renewable energy; electrification; electric vehicle (EV); transmission planning; Federal Energy Regulatory CommissionAbstract
Background: Before passage of the 2022 Inflation Reduction Act (IRA), the U.S. was projected to reduce its greenhouse gas emissions by 24%–35% below 2005 levels by 2030. The IRA put the U.S. on track to reduce its emissions by 35%–41% below 2005 levels by 2030, depending on the assumptions. However, recent federal policy reversals put these goals in serious doubt. Most of the important climate change provisions of the IRA attempt to accelerate the renewable energy transition and increasingly electrify the nation’s energy system, which includes a significant expansion of the nation’s transmission capacity and electric vehicle (EV) fleet. Methods: A narrative review is conducted of the major elements of the IRA that pertain to climate change mitigation, integrating analyses and insights from legal, economic, policy, and technical literatures. Results: Several challenges are identified that should be addressed in order to help lower emissions. Policy recommendations proposed include giving significantly more attention and support to the role played by the Federal Energy Regulatory Commission and state public utility commissions in catalyzing the clean energy transition, mining reform focused on energy critical elements, and promoting EV charging and heat pump usage to maximize their greenhouse gas emissions benefits. Also important is enabling state governments to increase their partnership with federal policy makers in the clean energy transition. Conclusion: While the IRA is a landmark law that will help the U.S. meet any climate change goals, additional policies will be needed for the full potential of the IRA to be realized.
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