Trump’s Plan: Rescind Unspent Funds From The Inflation Reduction Act

Trump promised to stop the allocation of any Inflation Reduction Act money that has gone unspent. Here’s what this executive action would mean for Americans and the clean energy economy. 

Trump’s Promises:

• Trump promised he would “rescind all unspent funds” under the Inflation Reduction Act.

The Impacts:

• Rescinding unspent Inflation Reduction Act funds threatens the clean energy economy, American jobs, and investments in communities across the nation:
  • The IRA has “encouraged the onshoring of clean energy industries” and has created over 400,000 jobs across 48 states and Puerto Rico. Rescinding unspent funds would threaten this progress.
  • A majority of the 400,000 announced clean energy jobs are in congressional districts represented by Republicans.
  • Rescinding unspent IRA funds would threaten the $1 trillion in private sector clean energy and manufacturing investments in the U.S. announced since the start of the Biden administration.
  • Clean energy jobs are growing at double the rate of overall jobs. Gutting the IRA would halt job creation and threaten existing jobs. 
  • Since the IRA passed, 84% of announced clean energy investments have gone to counties with college graduation rates below the national average, while the rate of investment in energy communities has more than doubled.
• Rescinding unspent Inflation Reduction Act funds threatens to raise costs for Americans.
  • Rescinding unspent IRA funds would threaten investments in wind and solar, which have lowered the cost of producing each by 55% and 40%, respectively, lowering costs for families.
  • Rescinding unspent IRA funds threatens the 3.4 million Americans who have benefited from $8.4 billion in tax credits to lower the cost of clean energy and energy efficiency upgrades.
  • Rescinding unspent IRA funds would threaten the households that project to save more than $1,000 annually on energy costs and save $38 billion on energy costs overall.
• Rescinding unspent IRA funds would be disastrous for our climate progress, worsening the climate crisis that is already impacting all Americans.
  • The IRA’s investments in clean energy are expected to reduce U.S. emissions by about 40 percent by 2030 and by 43 to 48 percent by 2035. However, revoking unspent funds jeopardizes this anticipated progress.
  • The IRA includes $280 billion for clean energy tax incentives and $60 billion for environmental justice priorities like environmental health and air quality. Rescinding unspent IRA funds threatens these programs and protections for vulnerable communities on the frontlines of fossil fuel pollution and the climate crisis. 

See our most recent Clean Energy Boom Report for more on the impact of the clean energy plan and the threats posed by rescinding unspent money.