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Climate costs are rising–but could rolling back clean energy tax credits make it worse?

RALEIGH, N.C. (WPTF) - As electric bills and insurance premiums spike across North Carolina, climate experts warn that proposed rollbacks to solar and storage tax credits could raise costs even higher—threatening jobs, economic growth, and the environment all at once. (Photo by Sean Gallup/Getty Images)

Climate costs are rising–but could rolling back clean energy tax credits make it worse?

RALEIGH, N.C. (WPTF) — Climate change is already taking a toll on North Carolinians’ wallets, and some worry policy shifts could make the strain even worse. From rising utility bills to surging insurance premiums, the financial fallout of a warming planet is becoming harder to ignore. Now, with lawmakers pushing to roll back solar and storage tax credits, the question is: are we reversing real progress?

David Kieve, President of EDF Action, says clean energy incentives have been a game changer for the state.

“North Carolina ranks number three in the nation in terms of states that have drawn new investments thanks to clean energy tax credits–over $20.2 billion dollars. It’s number four in terms of the jobs that those investments are expected to bring with them–over 15,000 jobs,” said Kieve.

But recent efforts to roll back those credits, Kieve says, threaten that progress. He describes the current political climate as one in which clean energy is being left behind in favor of older, dirtier methods.

“Part of my worry as it relates to North Carolinians is that this will hurt them and their pocketbooks,” said Kieve. “It’s no longer just a question of ‘well you could do this thing that’s better for the environment or you could choose to do this thing that’s better for the economy.'”

As summer temperatures climb, many households are already feeling the sting. And Kieve warns that walking back clean energy policies could not only cost jobs—but drive bills even higher.

“The way that this process works is typically you get the policies in place–like these tax credits–and then companies choose to locate their facilities anywhere in the world,–they look around they decide on the best place for them–and then there tends to be a flashy announcement with an oversized check,” said Kieve.

It’s not just employment on the line. Kieve says losing these tax credits would result in a loss of jobs but an increase in prices of things such as electricity.

“A study by our friends at Energy Innovation have found that taking away these tax credits and eliminating these policies would reduce North Carolina’s Gross Domestic Product by $4.1 billion over the next six years or so,” said Kieve. “They would also lead to $1.4 billion in higher energy costs.”

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