By Ben Geman

New and extended clean energy tax subsidies in the stalled Build Back Better legislation would slash power sector emissions and provide big net benefits, a new analysis argues.

Driving the news: The University of Chicago’s Energy Policy Institute and the Rhodium Group modeled the House-approved version under two tech cost scenarios and three estimates of the social cost of carbon.

Why it matters: Cumulative U.S. power sector CO2 emissions are 13%-22% lower in 2050 compared to estimates absent the credits, they conclude.

“This corresponds to a 64-73% reduction in 2031 electric power emissions below 2005 levels,” it states.
“Cumulatively, the benefits from the policies range from $335 billion to $1.8 trillion, while the costs range from $130 billion to $309 billion.”

Continue Reading at Axios…

Areas of Focus: Energy Markets
Definition
Energy Markets
Well-functioning markets are essential for providing access to reliable, affordable energy. EPIC research is uncovering the policies, prices and information needed to help energy markets work efficiently.
Renewable Energy
Definition
Renewable Energy
Lower technology costs and supportive public policies are driving an increase in renewable energy in markets around the world. EPIC research is assessing the costs, benefits, and efficiency of policies...
Climate Change
Definition
Climate Change
Climate change is an urgent global challenge. EPIC research is helping to assess its impacts, quantify its costs, and identify an efficient set of policies to reduce emissions and adapt...
Climate Law & Policy
Definition
Climate Law & Policy
As countries around the world implement policies to confront climate change, EPIC research is calculating which policies will have the most impact for the least cost.
Assessing the Costs and Benefits of Clean Electricity Tax Credits
Definition
Assessing the Costs and Benefits of Clean Electricity Tax Credits
EPIC and Rhodium Group measure the costs and benefits of clean energy tax incentives and find the benefits are about four times greater than the costs and would lead to...