Michelle Carr

Illinois’ Residents and Nature Win with Passage of Inflation Reduction Act

August 12, 2022

We are face-to-face with the climate crisis. Illinois is experiencing conditions that are already significantly warmer and wetter than at any time in the last 120 years. However, the momentum toward impactful and equitable climate action is gaining speed. With Congress’ recent approval of the Inflation Reduction Act, a $369 billion investment in clean energy and climate action, we have entered a new era of opportunity in tackling the climate crisis—a major win for people and nature.

Last year, Illinois took the stage as a national leader in state climate policy, passing the landmark Climate and Equitable Jobs Act. The Climate and Equitable Jobs Act puts Illinois on a path to 100% clean energy by 2050 while also providing historic funding for workforce and economic development. The Inflation Reduction Act will build upon this momentum, estimated to reduce national carbon emissions by approximately 40% by 2030. Especially when coupled together, these two pieces of legislation are critical in meeting 2030 emissions reductions goals and simultaneously growing Illinois’ economy.   

The Inflation Reduction Act contains multiple provisions, and some that we’re especially heartened by include: 

• Direct investments to improve local air quality, lower energy costs and expand access to clean energy in communities that are most affected by climate change.

• Incentives that give farmers, ranchers and land managers the support they need to implement sustainable practices, like cover crops and improved fertilizer management. It also provides support to improve forest health and reduce wildfire risk.

• Policies to clean up and repurpose degraded lands to expand clean energy while supporting economic growth and stewarding Illinois’ incredible nature. For example, enhanced tax credits in the bill could accelerate development of renewable energy on former mine lands and brownfields. 

• Investments to support new and existing technologies that expand the availability of clean electricity, decrease air pollution, and promote the use of zero-emissions cars and trucks. These provisions will also help bolster the United States’ role in leading the production of advanced energy technologies and cleaner manufacturing practices.

State-specific analysis commissioned by The Nature Conservancy in partnership with BW Research indicates the Inflation Reduction Act is projected to invest $15.9 billion in Illinois. This will contribute to 21,000 jobs each year for the next ten years and generate over $343 million in annual state, local, and federal tax revenue. This will equate to a $2.4 billion value-add to Illinois’ economy.  

The passage of this milestone legislation is a landmark step forward to address the climate crisis and put our nation on the path to a brighter, more sustainable future. Thank you to our leaders in Congress who voted in support of protecting our environment and creating more resilient communities. 

Michelle Carr
Illinois Director