Sen. Joe Manchin to propose $8 billion in clean energy tax credits
Senior Democratic lawmakers in both chambers are unveiling climate and clean energy proposals this week.
Driving the news: Sen. Joe Manchin (W.Va), who chairs the energy committee, is proposing $8 billion in new tax credits to spur domestic manufacturing of climate-friendly technologies.
Why it matters: Manchin's vote is coveted for Democratic priorities in the narrowly divided Senate, which gives him lots of leverage.
- E&E News points out that he's likely to use his bill as a "bargaining chip when Democratic leaders seek his support for broad climate action."
- The bill would steer $4 billion of the incentives toward regions where coal mines or coal-fired power plants have closed — a priority for Manchin, whose state is a major coal producer.
How it works: The bill would support new or retooled factories to build carbon capture equipment, renewables and advanced grid components, electric cars and more.
- The incentives are also available for upgrading factories to cut emissions, a summary notes.
- The bill aims to revive an advanced manufacturing tax credit program first created in the 2009 economic recovery package.
- Tax bills are under the jurisdiction of the Senate's finance committee. Co-sponsor Sen. Debbie Stabenow (D-Mich.) is on that panel.
What's next: Over in the House, leaders of the Energy and Commerce Committee will unveil sweeping climate legislation later today.
- Watch for provisions that could move under the budget reconciliation process, which protects certain spending and tax measures from Senate filibusters.