The Inflation Reduction Act's tax-credit approach to climate policy is getting a warm reception from some state GOP legislators, Jael and Nick write.

Why it matters: The IRA is an all-carrot, no-stick approach to cutting emissions — a method favored by moderates that may help it withstand repeal pushes from the hard right.

Driving the news: GOP state lawmakers from across the country flew in this week for the annual Leadership Alliance for a More Perfect Union (LAMP) conference, hosted by the Joseph Rainey Center for Public Policy.

• We got exclusive access to the gathering, which served as a forum for Republicans to discuss climate and energy, among other topics.

Here's what some attendees said about the IRA's tax-credit approach...

• Montana Rep. Courtenay Sprunger is "excited" about the federal subsidies for lower-carbon energy projects because the government is "looking at it as a way to incentivize innovation."
• "As a legislator, in general, I prefer the carrot to the stick," Sprunger said.
• Jason Saine, a senior chair of the North Carolina House Appropriations Committee, said his goal now is to "take the most advantage" from the law: "This is where we'll beat California, where we'll beat Colorado."
• Daniel Linville, chair of the Technology and Infrastructure Committee in the West Virginia House, said he seeks to avoid being "hostile" to coal and other existing industries.
• But he told Nick, "We want to make sure that as people are looking to deploy capital and invest that we are the most welcoming place we can possibly be."
• Some lawmakers — such as Wendy Horman, chair of the Idaho House Appropriations Committee — emphasized that new regulations are a big concern, as opposed to tax credits like those created by the IRA.

Between the lines: The lawmakers talked a lot about permits, tax policy, and minimizing pain in local economies that rely on producing fossil fuels.

• At the federal level, they want to see Congress pursue additional changes to the environmental review process.
• Already, private capital in the renewables and EV space is flowing to Southern states with business-friendly labor laws, low taxes and fewer permitting requirements.
• Plus, Republican states tend to be fertile territory for renewables, given their abundance of wind, sun and open space.

The bottom line: Republican states want to position themselves to capitalize on all of the money flowing from the IRA, which managed to survive its first threat from the far right during the debt ceiling debate.

• Rep. Patrick McHenry — who spoke at LAMP today — told Nick future repeal efforts will depend on "how the presidential election goes" and whether or not the IRA "works."

Chris Coons and Kevin Cramer have unveiled the CBAM data bill we told you about Tuesday, Nick writes.

Why it matters: The legislation aims to lay the political and informational groundwork for a carbon border adjustment mechanism in the U.S.

Details: The PROVE IT Act, rolled out yesterday, would direct the Energy Department and other agencies to comprehensively study industrial greenhouse gas emissions.

• That means determining the emissions intensity of goods like steel and cement produced in the U.S. and around the world.
• The study would also look at challenges to verifying emissions data from other countries.

Of note: The bill has a sizable group of cosponsors, including Angus King, Lisa Murkowski, Martin Heinrich, Lindsey Graham, Sheldon Whitehouse, Bill Cassidy and John Hickenlooper.

• "I think you'll find support for it among lawmakers who have diverse interests on trade policy, diverse interests on climate policy," said Greg Bertelsen, CEO of the Climate Leadership Council.
• Supporters think the bill would give the U.S. an advantage as the EU implements its own CBAM in the coming months.
• They hope to get it attached to larger legislation this year.

What they're saying: Cassidy, who is leading an effort to develop a GOP carbon tariff bill, called it "an essential step."

• "It also is bringing the issue to the forefront for people [politically]," he told Nick.

Nevada Rep. Mark Amodei is raging at a mining ban that NASA wanted, Jael writes.

Why it matters: Nevada's desert sprawl is mostly undeveloped and chock-full of lithium needed for EVs and battery storage projects.

Driving the news: Amodei yesterday released a bill to undo an Interior Department order banning new mining on roughly 23,000 acres in Nevada.

• Nevada-based 3 Proton Lithium is trying to develop the area for mining lithium used in batteries. 3PL is one of several firms that want to mine in that region, known as Railroad Valley.
• NASA is seeking the land where 3PL wants to mine for a satellite calibration site. Interior implemented the space agency's wishes, withdrawing the acres in April.
• The Railroad Valley region is a dry lake bed, home to an imperiled toad species and natural springs crucial to nearby farmland.

Yes, but: NASA has said the spot is only one of a few available in the U.S. to do this work. It requested this withdrawal in 2019 under President Trump.

• No matter — conservatives call it an anti-mining chess move.
• "It is supposedly a goal of the Biden administration to boost the development of renewable energy technology.... This is a prime example of this administration saying one thing and then doing the exact opposite," Amodei said in a news release.

What's next: A House Natural Resources subcommittee will discuss the bill at a hearing next week.

⚔️ 1. Indo-Pacific push: There's a new bipartisan House task force on China's hold on the resource-heavy Indo-Pacific region focused on U.S. territories.

🚰 2. Mississippi money moves: The EPA has unveiled the first tranche of congressionally mandated money for water troubles in Jackson, Mississippi.

💰 3. Rural cost-cutting: Rep. James Clyburn and Sen. Peter Welch introduced a bill to reauthorize the USDA's Rural Energy Savings Program.