Appalachian organizations implore Congress to defend “transformative” energy tax incentives

FOR IMMEDIATE RELEASE
May 5, 2025

CONTACT
Dan Radmacher, Media Specialist, (276) 289-1018, dan@appvoices.org 

APPALACHIA — Today, 20 organizations from across the Appalachian region including businesses, faith institutions, farms, schools and nonprofits, delivered a letter to members of Congress urging continuation of the federal energy tax credits that support their own completed or in-development energy projects.

The letter, sent to the House Ways and Means and Senate Finance committees charged with writing tax policy as part of the budget reconciliation process, describes the benefits that the tax credits are having in the region that has powered the country for generations.

“The benefits of the tax credits extend beyond our organizations. For example, solar installations support energy and construction jobs in our communities, and tax revenue for our localities. Battery back up installations provide our communities power during severe storms and power outages. Recent studies have shown that the [Inflation Reduction Act] tax incentives support a growing economy, including in Appalachian states, and are keeping electricity prices lower across the country,” the letter reads.

See the full letter and list of signatories here.

Many of the signatories to the letter were also highlighted in an Appalachian Voices report published in April. The report highlights solar energy projects across six Appalachian states made possible by the tax incentives, details the economic benefits the tax incentives have had, and describes the risks if Congress repeals the tax incentives.

“We recognize that repealing these tax credits now would be a massive blow to the clean energy industry that is growing across our region — creating new jobs, lowering electricity rates and giving our communities hope for a better future,” the letter states.

The letter comes as House Republicans are drafting legislation to amend the federal tax code, and after some Republican members of the House and Senate have urged their colleagues to leave the clean energy tax credit laws intact. 

The letter describes several specific provisions within the IRA that are particularly helping Appalachian organizations, including:

• new bonuses for creating jobs and lowering electricity costs in “energy communities” and low-income areas, of which there are many throughout Appalachia. 
• a “direct pay” option to allow tax-exempt entities like local governments and churches to take advantage of the federal tax credits. 
• incentives that promote domestic manufacturing of energy technology components and allow organizations to use American-made technology to unleash domestic energy resources and create new jobs.