During a House Oversight Committee hearing before the congressional recess, Rep. Yassamin Ansari (D-AZ) questioned experts about the Inflation Reduction Act funding and job creation.
00:00Thank you. It is so funny to me. My colleagues across the aisle love to vote against their
00:06districts and their constituents' interests. They're sitting here railing against the Inflation
00:11Reduction Act, legislation that has launched $130 billion in private investments and created
00:19400,000 jobs in Republican-held districts since it was passed. If the planned investments
00:27are kept in place, it would create 90,000 more jobs and bring in $70 billion more in
00:33planned investments. When we're talking about these jobs as well, when I have spoken to pretty
00:38much every single labor union, working class people who very much actually are majority
00:45Republican, sheet metal workers, electricians, plumbers, and pipe fitters, they are thrilled
00:51about the investments in the Inflation Reduction Act because of the jobs they have created.
00:5518 of the 20 districts who have received the most funding from the IRA are in Republican-held
01:01districts, accounting for 78% of the total IRA spending to date. But I guess I don't want those
01:08investments in their districts anymore, although I know they love attending the groundbreakings
01:12and the ribbon cuttings. In Mr. Gosar's district, which borders mine in Arizona, a project was
01:18announced that would bring in $1.25 billion in investment and created an estimated 6,400
01:25jobs thanks to the funding opportunities and the tax credits made possible by the IRA. That
01:32project has since been canceled due to financial uncertainty because of President Trump's attacks
01:37on the IRA and House Republicans promised to repeal it. Dr. Gee, question for you. How would the repeal of these tax credits stifle innovation? I want to talk about innovation because
01:46in so many of the committees I'm on in Congress, we talk about energy dominance and wanting to be at the forefront of innovation and the threat of China, but we are actively deciding to stifle that. Can you talk about what kind of risk that would pose to companies here in the U.S. and the threat that they may move out of the country?
02:04Dr. So the investments that the Inflation Reduction Act is making in manufacturing and new technology really is key to us being able to compete with China on high-tech manufacturing and also breaking the stranglehold that China has on mineral processing, which is critical for batteries and other technologies. Repealing these investments would create an estimated $80 billion of energy investment opportunities that goes to other countries, not the U.S., including China, the EU, Japan,
02:34South Korea, South Korea, and Mexico. We've already seen investments canceled because of the policy uncertainty created by discussions over the spill, as well as the Trump administration's efforts and cancellations of projects. And so this investment, as well as in things like the National Science Foundation, are key to improving science and also investing the application of technology.
02:56Dr. So $80 billion in missed investments, that is devastating. It's not just about that. The effects of the IRA repeal will also have an impact on hardworking, everyday Americans in this country. We know that Rhodium, a nonpartisan independent research group, found that a repeal of the IRA would increase the average household's energy expenses by over 7% over the next 10 years. This means higher energy bills and higher gas prices for everyone. So Dr. Gee, how will Republicans
03:26plan to repeal the IRA's tax credits and energy subsidies raise costs for American families?
03:31So the tax credits go to the clean energy economy, which lowers energy prices and benefits everybody. If these provisions were to be repealed, as you know, Rhodium group estimates about $70 more per year is what Americans would pay for the electricity bills. It also means that oil and gas will need to fill the gap, which will be an increase in gas prices that we could see in the future.
03:53Dr. So in my district, I represent Phoenix, Arizona. Many of my constituents already experienced disproportionately high energy costs because keeping your AC on in the summertime is incredibly expensive. Can you talk to us about how the IRA's investments in clean energy help in the face of growing energy demands?
04:11Dr. Yes, so we are facing increased energy demand. Luckily, 90% of what's coming online these days is clean energy. And the IRA is not just about energy production. It's also about energy storage. Let me give one example.
04:22Let me give one example of energy storage actually from Arizona, which is the scatter wash battery storage complex in Phoenix. That is a one that involves $559 million in financing. Thanks to the IRA for making those investments possible. And it will be able to store enough electricity to power 50,000 Arizona homes during peak summer conditions for 20 years.
04:48Thank you. I yield back to our ranking member. Thank you.
