H.R.3291 - Certainty for Our Energy Future Act (119th Congress)
Summary
H.R.3291, the "Certainty for Our Energy Future Act," proposes amendments to the Internal Revenue Code of 1986, specifically targeting clean energy tax credits. The bill aims to terminate the clean electricity production credit and clean electricity investment credit for wind and solar energy facilities where construction begins after December 31, 2030. It also seeks to deny clean energy tax benefits to companies connected to countries of concern, such as China and Russia.
Expected Effects
The bill, if enacted, would likely reduce incentives for new wind and solar energy projects after 2030. It would also impact companies with ties to specific foreign nations by removing their eligibility for certain clean energy tax benefits. This could shift investment away from wind and solar and towards other energy sources, while also affecting international collaborations in the clean energy sector.
Potential Benefits
- Potentially reduces reliance on foreign entities for clean energy technology.
- May encourage diversification of energy sources beyond wind and solar.
- Could lead to increased investment in alternative clean energy technologies.
- May provide greater certainty for energy investors by clarifying future tax credit availability (or lack thereof).
- Could incentivize domestic production and innovation within the energy sector.
Most Benefited Areas:
Potential Disadvantages
- May slow down the growth of wind and solar energy production after 2030.
- Could increase the cost of electricity if alternative energy sources are more expensive.
- May negatively impact efforts to combat climate change by reducing incentives for renewable energy.
- Could harm companies and projects already planning for wind and solar development beyond 2030.
- May strain international relations if the "countries of concern" provision is perceived as discriminatory.
Most Disadvantaged Areas:
Constitutional Alignment
The bill's provisions related to taxation fall under the purview of Congress's power to lay and collect taxes, as outlined in Article I, Section 8, Clause 1 of the Constitution. The Commerce Clause (Article I, Section 8, Clause 3) could be relevant if the denial of tax benefits to companies connected to certain countries affects international trade. The bill does not appear to infringe upon any individual rights or liberties protected by the Bill of Rights.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).