The Industrial Innovation Initiative (I3) released the following statement today regarding the proposed historic investments in the Inflation Reduction Act of 2022. This statement may be attributed to Gabrielle Habeeb, Project Manager for the Industrial Innovation Initiative:
“Senate Majority Leader Chuck Schumer (D-NY) and Senator Joe Manchin (D-WV) announced an agreement on budget reconciliation legislation on Wednesday night. The inclusion of $369 billion in energy security and climate change provisions in the Inflation Reduction Act of 2022 marks the largest climate investment in U.S. history. Of those provisions, many will help advance critical decarbonization efforts within the industrial sector.
The industrial sector is essential to jobs and prosperity, producing the materials necessary for our everyday lives, from transportation infrastructure to the buildings in which we live and work. Heavy industry is considered one of the most challenging sectors to decarbonize, accounting for approximately one-third of total domestic carbon emissions; however, policies and incentives such as those within the Inflation Reduction Act of 2022 will help mitigate both industry’s climate warming emissions and the pollutants which adversely impact communities.
A primary challenge to decarbonizing industry lies in the variety of industry types, facility sizes, and industrial processes at work. The Inflation Reduction Act of 2022 makes a critical investment in many of the cross-cutting solutions I3 has identified as priorities for realizing widespread decarbonization in the industrial sector. Notably, the inclusion of a Clean Hydrogen Production Tax Credit, essential enhancements to the 45Q Credit for Carbon Oxide Sequestration, an extension of the 48C Advanced Energy Project Credit, funding for the Advanced Industrial Facilities Deployment Program, and investments in Low-Embodied Carbon Materials will help to cut emissions from this vital sector.
These cross-cutting investments, along with those provided by the Bipartisan Infrastructure Law, will serve as down payment on a cleaner and more prosperous industrial sector. The commitment to a safe and livable climate demonstrated by these provisions is in line with the priorities of I3‘s coalition of industry and power companies, environmental and non-governmental organizations, labor unions, and state officials. Time is of the essence for ensuring these critical provisions move forward, and we are eager to continue this work by advancing the solutions necessary to achieve our shared decarbonization goals.”
The Industrial Innovation Initiative (I3) is an ambitious coalition that aims to drive emissions reductions through policy change, supporting quality jobs and investment in key US industrial sectors. I3 builds on years of stakeholder engagement and work with state officials in the Midcontinent region, as well as extensive work advancing decarbonization solutions important to the industrial sector.