Briefing Series: IRA and IIJA Progress Report

Want to learn more about climate policy? But not sure where to start? We have you covered. The Environmental and Energy Study Institute (EESI) invites you to join us for our start-of-the-new Congress briefing series, Climate Camp. We went over the basics of the legislative process, highlighting key areas and opportunities for climate mitigation and adaptation policy. 

Our fourth session in EESI’s Congressional Climate Camp series was also the first briefing in our IRA and IIJA Progress Report series, which was on implementing the Inflation Reduction Act and Infrastructure Investment and Jobs Act. These laws provide billions of dollars to confront the climate crisis and strengthen critical infrastructure. Panelists provided an update on the status of their implementation, described how state and local governments and organizations are accessing funds, and explained the oversight role Congress must play to maximize these investments.

Key Takeaways

• The Infrastructure Investment and Jobs Act (IIJA) (P.L. 117-58), also referred to as the Bipartisan Infrastructure Law, provides $1.2 trillion for infrastructure across a variety of sectors, including transportation, energy, broadband, and water. More than half of IIJA funding—$660 billion—flows by formula, meaning that the law itself specifies who is going to get the funds and how much they will receive. In addition to formula funds, there are over 100 competitive grant programs in IIJA.

• The Inflation Reduction Act (IRA) (P.L. 117-169) provides a market environment that strongly favors the deployment of new clean electricity generation.

• The IRA focuses on bringing funds down to the community level. Community-based organizations, such as green banks, community development financial institutions, and credit unions, will have a role in facilitating the flow of these funds from state and federal agencies to communities.

• The IRA contains numerous consumer rebate provisions and tax credits for residential energy efficiency and electrification. All consumers are eligible for these rebates and low-to-moderate income households may receive enhanced benefits.

• As implementation gets underway, it is important to consider what measures should be tracked to understand the outcomes of investments made through the IIJA and IRA.