FOR IMMEDIATE RELEASE
July 1, 2025
CONTACT:
John Neurohr, [email protected], 717-364-6452
APPALACHIA – ReImagine Appalachia co-director Stephen Herzenberg made the below statement following Senate passage of the Republican Reconciliation bill:
“Today’s passage of the reconciliation bill by the U.S. Senate represents a devastating setback for Appalachian communities and our region’s economic future. This legislation guts critical programs and tax credits that have been driving job creation, manufacturing growth, and environmental restoration throughout our region.
“The phase out of clean energy tax credits and vital federal programs will have immediate and long-lasting negative impacts on our communities. These investments have been instrumental in creating union jobs, attracting private investment, and positioning Appalachia as a hub for clean and efficient manufacturing. This bill threatens to undo years of progress in diversifying our economy and creating sustainable opportunities for workers hit hard by the downturn of the coal industry.
“Despite overwhelming evidence that these investments are working — with business and consumer investment increasing by 71% in the law’s first two years — Senate Republicans have chosen to prioritize special interests over the economic well-being of Appalachian communities.
“The consequences will be felt directly by families and businesses across our region through:
- Higher electricity bills for households (over $110 per year) and at least a 10% increase in energy costs for businesses
- Loss of good-paying manufacturing and construction jobs
- Reduced competitiveness as manufacturing opportunities move overseas
- Decreased funding for critical programs that help communities diversify their economies
“Members of the House should reject these attacks on federal climate infrastructure investments by voting against this reconciliation package.”
ReImagine Appalachia and Keystone Research Center partnered back in April to create a report that examined how federal investments into manufacturing and deployment of clean energy technologies led to an increase in private sector investments and an enormous growth of these sectors in the region.
That report, titled “If You Fund It, They Will Come,” found that the Inflation Reduction Act spurred tremendous growth for the region’s manufacturing and energy diversification potential. Thanks to the Inflation Reduction Act:
- Federal clean energy investments in Appalachia grew 17-fold between 2022 and 2024, totaling $11.5 billion across Kentucky, Ohio, Pennsylvania, and West Virginia.
- These investments triggered a doubling of public and private clean energy spending in the region, increasing from $7.7 billion in 2022 to nearly $15.9 billion in 2023 and continued increases in 2024.
Unfortunately, that progress is under threat due to the reconciliation bill.
Additionally, state-level impacts for the following states have been summarized into four sheets: Pennsylvania, Kentucky, Ohio, and West Virginia.
Individual district factsheets include even more examples of projects made possible by the funding Congress is proposing to eliminate: