White House senior adviser on clean energy John Podesta said Wednesday it was worth irking European allies over President Biden’s tax-and-climate spending law because it motivated other nations to more aggressively lean into the green energy transition.
The Inflation Reduction Act and its $370 billion in clean energy tax credits infuriated some of America’s closest economic partners over its incentives for domestic manufacturing for things like electric vehicles and other climate-friendly energy technologies.
“Like, yeah, there’s a certain amount of bitching,” Mr. Podesta said during a Brookings Institution event on the law’s implementation, which he helps oversee. “But I think in reality, what it’s done is spurred action.”
He cited the European Union’s Green Deal Industrial Plan unveiled earlier this year that’s designed to counter U.S. subsidies and promote clean energy in Europe, arguing that it “wouldn’t happen without the inflation Reduction Act passing.”
“With the bitching comes a little bit more shoulder to the wheel,” Mr. Podesta said. “That’s a good thing.”
Unique Perspective:
It’s interesting to hear John Podesta’s view on the Inflation Reduction Act and its impact on international relations. While the tax-and-climate spending law may have caused discontent among some European allies, Podesta argues that it has ultimately encouraged global action towards a greener future. According to him, the law’s incentives for clean energy technology manufacturing have spurred nations like the European Union to develop their own plans and initiatives. Podesta believes that the resulting competition can be beneficial in driving further progress and innovation in the pursuit of a sustainable energy transition.
