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Trump’s ‘big, beautiful bill’ could threaten $1 billion in Pa. clean energy projects, critics warn

President Donald Trump campaigned against what he called the “Green New Scam” — a catchall for Democrats’ climate spending.

But as Congressional Republicans race to pass their massive tax-and-spending legislation — what the president calls the “big, beautiful bill” — some business groups and companies are warning that eliminating or quickly phasing out clean energy tax credits could hurt the economy and consumers in states like Pennsylvania that helped deliver Trump last year’s election.

Pennsylvania risks losing some $1.3 billion in private investment and thousands of jobs if lawmakers repeal tax credits for energy manufacturing, according to the Business Council for Sustainable Energy , a Washington, D.C.-based coalition that includes utilities, power companies, developers, and equipment manufacturers.

Without incentives for wind, solar, and other renewable sources, the state won’t be able to meet rising energy demand, including from new data centers like the $20 billion investment announced last week by Amazon , industry executives said.

“As developers planning for these projects over a multi-year timeline, if we have a very disruptive transition associated with these energy tax credits, that’s going to throw a major wrench into the planning,” said Scott Seier, senior vice president of development at energy firm Tenaska, which has seven natural gas generation plants in the Keystone State.

“Projects that we thought were going to get built, they won’t be built, and that is going to drive (electricity) prices up,” Seier said Wednesday on a call with reporters that was organized by the business council.

As businesses lobby against the changes, a Republican-led political group called Built for America is running ads urging GOP senators — including Pennsylvania Sen. Dave McCormick — not to “repeal energy tax credits.”

“Energy tax credits put America first, building new factories in our communities, bringing manufacturing jobs home, and creating a stronger middle class,” the narrator says in the spot, part of a $1.5 million buy in six states.

It’s running on Fox News and other conservative media, according to a spokesperson. The group is backed by renewable energy interests, Axios reported.

A spokesperson for McCormick didn’t immediately respond to a request for comment.

Republicans uniformly opposed the tax credits when the Democratic-led Congress passed them in 2022, and many maintain that the incentives amount to hundreds of billions of dollars in wasteful spending on energy sources they see as unreliable.

The lobbying comes as the House last month narrowly passed its version of the domestic policy bill, which would extend some of Trump’s first-term tax cuts, exempt certain income like tips from taxation, and boost funding for border security, among other priorities.

To help pay for that lost revenue and new spending, the bill would reduce spending on Medicaid, food assistance, and clean energy tax credits that were included or expanded in President Joe Biden’s Inflation Reduction Act.

On Monday, the GOP-led Senate Finance Committee released draft legislation that would extend the phaseout of some credits beyond the House’s timeline but still scaled them back. The bill “achieves significant savings by slashing Green New Deal spending and targeting waste, fraud and abuse in spending programs while preserving and protecting them for the most vulnerable,” Committee Chairman Sen. Mike Crapo, R.-Idaho, said Monday.

But if green energy is often associated with left-wing causes, industry executives said solar companies offer good-paying jobs that don’t require advanced degrees — a line of argument that might resonate with Trump’s base.

“Across Pennsylvania, there’s hundreds of jobs at solar companies. These jobs are at risk with this current bill, small businesses are at risk,” said Bob Delullo, general manager of Greentech Renewables, a wholesale supplier of solar equipment with distribution centers in Pittsburgh and Stroudsburg.

“Solar installers will go out of business if Congress doesn’t create a glide path for the solar energy tax credits,” he said.

Also at risk is the viability of the Mid-Atlantic Clean Hydrogen Hub, the Philadelphia-area project announced by Biden in 2023 that aims to use hydrogen fuel to power industrial processes and other things, said Frank Wolak, CEO of Fuel Cell & Hydrogen Energy Association.

“We’re talking about new activities, new technologies, and it’s expensive to start,” he said. “The tax credit is that sort of stimulus that gets the investment going.”

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