One of President Donald Trump’s Executive Orders from his first week of office asked “release American energy“And make significant changes to the US energy policy.
The document provides an overview of many Biden ERA programs, tries to block the landmark Inflation reduction of the lawAnd among other things, demands new pipelines for fossil fuels.
“There are many words, it is not very specific in certain areas” Louise BedsworthExecutive Director at the Center for Law, Energy and Environment at the University of California Berkeley.
The message shows a clear departure from the renewable energy disc of the bidges. “It is this ping pong” in political priorities, said Bedsworth, which can be very destabilized for an industry.
But what can this executive order actually do and how does it work as a consumer? The experts say that they should look out for.
What does the executive order say about energy policy?
Many, many things. Experts said these elements stabbing:
- The order aims to promote “energy exploration and production in federal areas and water”. In general, “energy exploration” refers to digging and drilling for fossil fuels.
- It raises many executives of President Joe Biden in connection with climate change.
- It ends “all activities, programs and operations that are connected to American Climate Corps. “
- The aim is to allow fossil fuel pipelines faster and easier.
- It immediately makes all federal funds that are sent by the law on inflation reduction.
Many of these measures are based on federal authorities, and for the most part the executive regulation asks the agency heads to return with an action plan in 60 or 90 days. It remains to be seen what will actually change in federal authorities, said Bedsworth.
“It will be very difficult to follow and understand all of these pieces, where did we end up?” she said.
How much of it can an executive order actually do?
Executive commands seem to be powerful documents, but they do not have the authority to change the law. That would require an act of congress. Here you will find a breakdown of what the Energy Executive Order can actually achieve:
What can an executive order do against energy policy?
| What the executive order can do | What the executive order cannot |
|---|---|
| Break some expenses through the inflation reduction law, which supports electric vehicles and other clean energy and electrification technologies | Remove or block the funds from the Inflation Reducation Act or permanently block |
| End the Justice 40 InitiativeWhat the goal set to send 40% of the funds from federal climate programs to disadvantaged communities | Remove or permanently block funds from the infrastructure investment and job law |
| Rescind Bidens Executive Orders in connection with climate and energy policy | Claw money back that has already been distributed by the IRA or IIJA |
Some of these actions are also the line of executive power, said Bedsworth, which means: “We will see a lot of it in court.”
What does that mean for me as a consumer?
“If nothing else, it makes a lot of uncertainty,” said Bedsworth.
In particular, the law to reduce inflation houses many programs at the consumer level, including the EV tax credit as well as Home Energy creditsGive the big discounts on Solar collectors And Heat pumps.
The IRA can be distributed to the executive regulation, but can block it permanently without an act of the congress. In addition, many of the incentives for consumers are structured as tax incentives by the IRS, not as direct funding for the government, so that they are less likely to be influenced.
However, even if the financing flows remain, there will probably be less state public relations and education to make consumers accessible. “Ultimately, you will be cooling, at least, in the news,” said Bedsworth.
Of course, you do not prevent you from going out and going out as a consumer and Buy an eVFor example. “The technology is getting better, the costs are falling so that the ability to own an EV is still there,” says Elaina Farnsworth, CEO of Skillfusion, who trains the workers to build an electrical infrastructure.
And if you already bought Clean Energy Technology, like Solar modules for your homeand hope to assert a tax credit throughout the year Tax seasonYou should be safe: Experts say that it is unlikely that Trump would interfere with the IRS when distributing these tax credits for 2024 purchases.
