Megabills elimination of tax credits for clean energy projects could cost WA 8.7 billion

Washington officials warn that a federal megabill could raise electricity costs for households and eliminate thousands of jobs in the clean energy sector. The legislation modifies tax credits for renewable energy projects, requiring new developments to start construction by the end of the year to qualify for incentives. This change risks $8. 75 billion in outstanding investments across 27 facilities in Washington, according to the U. S.

Climate Alliance. Governor Bob Ferguson labeled the law a "disastrous step" that threatens energy security at a time of rising electricity demand, predicting a loss of 21,800 jobs in clean energy and manufacturing by 2030. Clean energy projects can continue if construction begins by the deadline, but many may face delays as developers seek alternative funding sources. James Hove from Climate Solutions emphasized the importance of clean energy over fossil fuels, citing long-term sustainability. The U.

S. Climate Alliance estimates that the decline in clean energy projects will lead to a $115 annual increase in electricity costs for Washington households by 2029. A controversial excise tax on renewable energy was excluded from the final bill, which continues to favor fossil fuel subsidies.