CLEAN ENERGY INVESTMENT

The Inflation Reduction Act (IRA) is a gamechanger for clean energy investment: creating or increasing long-term federal incentives and funding for nearly every existing asset class — including solar, wind, energy storage, EV and battery production, EV charging infrastructure, RNG, SAF and more — while simultaneously increasing rewards for investing in diverse emerging assets vital to carbon emission reduction, such as carbon capture, clean hydrogen production, and small modular reactors. With more and more companies setting ESG goals and looking for ways to decarbonize, the markets have become super-charged, driving the need for expansion into these new technologies and growth into every aspect of the clean energy supply chain.

However, in such a target-rich environment, investors must understand the interplay between market demand, the pace of the incentive-rich domestic supply chain buildout, and the potential pitfalls in the bill’s many provisions in order to evaluate and profit from the many opportunities now available in the US energy transition.