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Aug. 16 (UPI) -- On the one year anniversary of the Inflation Reduction Act on Wednesday, President Joe Biden called the act transformative for the climate and the economy, and he said it is working, with inflation down and wages up. Biden signed the bill into law Aug. 16, 2022.
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"It's one of the most significant laws ever enacted, talking on the special interests and winning," Biden said, speaking from the White House Wednesday afternoon. "This law is transformative."
Biden said it's part of a much broader vision for our country, growing the economy form the middle out and the bottom up.
"It's working," he said. " Our economic plan created more than 13.4 million new jobs since I took office, nearly 800K manufacturing jobs. Where is it written that America can't create the world's most innovative economy and grow manufacturing?"
Biden said the IRA is supercharging the economic transition in key ways, taking the most aggressive climate change action ever.
Because of this, Biden said, when he thinks climate, he thinks jobs.
Biden touted both the climate and economic impacts of the law. The IRA directs an estimated $369 billion toward clean energy initiatives.
He said it will result in $27 billion in electric bill savings for consumers through 2030. Biden said the IRA by 2025 will cap drug costs for senior on Medicare to $2,000 a year.
He said the law has resulted in $240 billion in private sector investment and is the largest-ever investment in clean energy and climate action.
By 2030, Biden said, the IRA is set to triple solar energy projects. By 2040, Biden said the U.S. economy will be 81% powered by clean energy. He said it cut will cut carbon pollution in half by 2023.
Referencing the auto industry labor talks between the UAW and the Detroit Three automakers Biden said a clean energy economy should also be a win-win for auto companies and unions.
He called on the companies and the unions to forge a fair new labor agreement without closing auto factories. And he urged the auto companies to respect union organizing, including in the EV plants.
In remarks prior to Biden's, former House Speaker Nancy Pelosi said, "Together we have enacted a law that is forging America's clean energy future. This is such a remarkable accomplishment for our country.The biggest climate action in history."
Senate Majority Leader Chuck Schumer, D-N.Y., said, "It's amazing how much was done in this piece of legislation. As the great things from this bill roll out, when it comes to the IRA, great as it has been, the best is yet to come."
Biden said the IRA was passed on Democratic votes alone.
"All we hear from the other side of the aisle is what's wrong with America. America isn't failing America is winning," Biden said.
Biden said after a full year the law is already having a real impact on American workers and families, creating 170,000 clean energy jobs according to estimates.
The White House estimates that the law will create more than 1.5 million additional jobs over ten years.
Department of Energy estimates say that the IRA along with the Bipartisan Infrastructure Law will cut U.S. greenhouse emissions by up to 41 percent below 2005 levels by 2030
Private companies have also announced over $110 billion in clean energy manufacturing investments within the last year alone.
"The Inflation Reduction Act includes the largest investment in rural electrification since the New Deal-nearly $11 billion for rural electric co-ops," a White House statement said. "The Department of Agriculture has also made available more than $1.3 billion in additional funding from the Inflation Reduction Act to provide agricultural producers and small rural businesses with the financing and funding they need to invest in clean energy and make energy efficiency improvements."
One impact it has on inflation, according to the White House, is cutting electricity and gas prices.The IRA and infrastructure law together will cut electricity rates by an estimated 9% while lowering gas prices by as much as 13% by 2030, according to the Department of Energy.
Those savings are achieved by things like tax credits that allow companies like Florida Light and Power to refund its 5.8 million customers an estimated $400 million.
The White House said using those tax credits, Minnesota's Xcel estimated it could lead to $1.4 billion in consumer savings through 2034.
The law includes tax credits for families who make energy efficiency improvements - a total of $1200 per year in tax credits for households.
The law also includes cost-lowering for prescription drugs, giving Medicare negotiating power on drug prices, starting with ten drugs. It caps insulin costs at $35 for Medicare beneficiaries and gives all recommended vaccines for free to seniors on Medicare and adults with Medicaid coverage.
The IRA raises $300 billion in tax revenue over ten years by requiring large corporations to pay a 15% minimum tax on their profits and by enacting a 1% tax on stock buybacks and redemptions.
