A recently report, funded by the BlueGreen Alliance and conducted by researchers from Dartmouth and Princeton, highlights the expected impact of the Inflation Reduction Act (IRA) on the US wind and solar industries. The report addresses critical issues such as changes in wind and solar manufacturing, labor standards for clean energy workers, job creation and demand for materials. In particular, the report examines the impact of the legislation renewable power generation and Investment Tax Credits (PTC and ITC) and the 45x Advanced Manufacturing Production Tax Credit (MPTC).

The report finds that wind and solar developers will realize large cost savings by using US-made components and paying workers fair wages as a result of investments in the Inflation Reduction Act.

“Using American-made parts and materials to develop clean energy and paying workers a fair wage has always been the right thing to do. Now it’s also the most economical,” said Jason Walsh, Managing Director of the BlueGreen Alliance.

“This report shows that the Inflation Reduction Act is successfully creating a valid business model for supporting US workers and manufacturers,” Walsh added.

Another notable finding is that the implementation of the renewable energy tax credit and the 45-fold manufacturing tax credit will entail a need for more than 4 million additional solar and wind jobs compared to projected employment levels without passage of the Inflation Reduction Act becomes. Specifically, 3.7 million of these jobs will be solar-related, marking a notable milestone in the solar industry.

Click here to read the report and learn about other findings and/or share your findings in the comments form below.