Overview

• The draft phases out the investment and production tax credits for wind and solar projects entering service after 2027, cutting incentives years ahead of schedule.
• It imposes a punitive tax on renewable energy projects that source key components from China or other designated foreign entities.
• Analysts warn the measures could raise industry costs by $4 billion to $7 billion, jeopardize roughly 300 gigawatts of planned capacity and strain the electric grid.
• Trade unions project nearly 2 million building trades jobs and millions more positions across the clean energy sector are at risk if the credits are eliminated.
• Pushback from Elon Musk and union leaders underscores mounting opposition as Senate Republicans prepare amendment votes ahead of a July 4 deadline.