US bill on climate passes Senate

The Inflation Reduction Act contains a series of measures to stimulate the low-carbon economy in the US

The US Senate has narrowly voted to pass a bill containing landmark measures to reduce emissions and promote low-carbon technologies. The Inflation Reduction Act (IRA) passed over the weekend with a 51-50 majority and is expected to pass in the House of Representatives later this week. Key measures in the bill include $30bn in production tax credits for manufacturers of solar panels, wind turbines, batteries and processors of critical minerals, and $10bn in investment tax credits to build manufacturing facilities that make electric vehicles, wind turbines and solar panels. An investment tax credit is an upfront credit that reduces the capex of a project. A production tax credit provides a ta