By MATTHEW DALY
WASHINGTON (AP) — With electrical energy costs rising at greater than twice the speed of inflation, President Donald Trump has lashed out at renewable vitality sources comparable to wind and solar energy, blaming them for skyrocketing vitality prices.
Trump referred to as wind and solar energy “THE SCAM OF THE CENTURY!” in a social media submit and vowed to not approve wind or “farmer destroying Photo voltaic” tasks. “The times of stupidity are over within the USA!!!” he wrote on his Fact Social website.
Power analysts say renewable sources have little to do with latest worth hikes, that are based mostly on elevated demand, getting old infrastructure and more and more excessive climate occasions comparable to wildfires which are exacerbated by local weather change.
The fast development of cloud computing and synthetic intelligence has fueled demand for energy-hungry information facilities that want energy to run servers, storage programs, networking gear and cooling programs. Elevated use of electrical autos additionally has boosted demand, even because the Trump administration and congressional Republicans transfer to prohibit tax credit and different incentives for EV purchases accredited below the Biden administration.
Pure gasoline costs, in the meantime, are rising sharply amid elevated exports to Europe and different worldwide prospects. Greater than 40% of U.S. electrical energy is generated by pure gasoline.
Trump promised in the course of the 2024 marketing campaign to decrease Individuals’ electrical payments by 50%. Democrats have been fast accountable him for the value hikes, citing actions to hamstring clear vitality within the sprawling tax-and-spending lower invoice accredited final month, in addition to laws since then to additional prohibit wind and solar energy.
Advocates say renewables present the additional vitality wanted
“Now greater than ever, we want extra vitality, not much less, to fulfill our elevated vitality demand and energy our grid. As a substitute of accelerating our vitality provide Donald Trump is taking a sledgehammer to the clear vitality sector, killing jobs and tasks,” stated New Mexico Sen. Martin Heinrich, the highest Democrat on the Senate Power and Pure Assets Committee.
The GOP invoice will price hundreds of jobs and impose increased vitality prices nationwide, Heinrich and different critics stated.
A report from Power Innovation, a non-partisan suppose tank, discovered the GOP tax regulation will improve the common household’s vitality invoice by $130 yearly by 2030. “By shortly phasing out technology-neutral clear vitality tax credit and including advanced materials sourcing necessities,” the tax regulation will “considerably hamper the event of home electrical energy era capability,” the report stated.
Renewable advocates have been extra blunt.
“The true rip-off is blaming photo voltaic for fossil gas worth spikes,” the Photo voltaic Power Industries Affiliation stated in response to Trump’s submit.
“Farmers, households, and companies select photo voltaic to save cash, protect land, and escape excessive prices of the outdated, soiled fuels being compelled on them by this administration,” the group added.
Wind and photo voltaic supply among the least expensive and quickest methods to offer electrical energy, stated Jason Grumet, CEO of the American Clear Energy Affiliation, one other business group. Greater than 90% of latest vitality capability that got here on-line within the U.S. in 2024 was clear vitality, he stated.
“Blocking low cost, clear vitality whereas doubling down on outdated fossil fuels makes no financial or environmental sense,” added Ted Kelly, director of U.S. clear vitality for the Environmental Protection Fund, a nonprofit advocacy group.
Partisanship anchors debate on rising vitality costs
Power Secretary Chris Wright blamed rising costs on “momentum” from Biden-era insurance policies that backed renewable energy over fossil gas sources comparable to oil, coal and pure gasoline.
“That momentum is pushing costs up proper now. And who’s going to get blamed for it? We’re going to get blamed as a result of we’re in workplace,” Wright advised POLITICO throughout a go to to Iowa final week. About 60 p.c of the state’s electrical energy comes from wind.
Not all of the pushback comes from Democrats.
Iowa Sen. Chuck Grassley, a Republican who backs wind energy, has positioned a maintain on three Treasury nominees to make sure wind and photo voltaic have “an acceptable glidepath for the orderly phase-out of the tax credit” accredited within the 2022 local weather regulation below former President Joe Biden.
Grassley stated he was inspired by new Treasury steerage that limits tax credit for wind and photo voltaic tasks however doesn’t get rid of them. The steerage “appears to supply a viable path ahead for the wind and photo voltaic industries to proceed to fulfill elevated vitality demand,” Grassley stated in an announcement.
John Quigley, senior fellow on the Kleinman Heart for Power Coverage on the College of Pennsylvania, stated the Republican tax regulation will improve U.S. energy payments by slowing development of photo voltaic, wind, and battery tasks and will get rid of as many as 45,000 jobs by 2030.
Trump administration polices that emphasize fossil fuels are “an especially backward drive on this dialog,” Quigley stated. “Moreover ceding the clear vitality future to different nations, we’re paying for fossil foolishness with greater than cash — with our well being and with our security. And our kids pays an excellent increased worth.”
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