Nearly $45B for climate and clean energy included in Biden’s proposed budget

Biden has proposed a budget with nearly $45B for climate and clean energy

• President Joe Biden on Monday proposed a budget for the year 2023. This budget includes $44.9 billion for clean energy, electrification, and other programs to help reduce greenhouse gas emissions and prepare the US for the effects of climate change.
• Biden's budget request includes a placeholder for clean energy tax credits and other energy provisions in the Build Back Better legislation. These tax credits and provisions are still being negotiated.
• Biden proposed increasing the Department of Energy's budget by 7.1% to $48.2 billion. This increase would be partly to reflect spending required by the bipartisan infrastructure bill. The proposal would also include $200 million for a new Solar Manufacturing Accelerator program in order to help spur domestic solar equipment production.

On Monday, Biden said that his budget request would help reduce the federal deficit, fight crime and increase spending on national security while also providing benefits for energy. "My budget lowers family energy costs with tax credits to help people make their homes more efficient, research and development to broaden the reach of solar and build a clean energy future," Biden said.

The budget proposal will allow the House of Representatives and the Senate to create a new federal spending plan. This new plan will be created in the months before a midterm election. The proposed budget is missing some things that were in the Build Back Better bill. This bill includes about $550 billion for energy-related measures such as tax credits, supply chain incentives, and electric vehicle spending. The bill passed in the House of Representatives but it stalled in the Senate. One person who was against it was Joe Manchin from West Virginia.

The Biden administration did not include measures to help Americans reduce costs and the deficit in the proposed budget. This was because they didn't want to get ahead of Congressional negotiations. The proposed budget does have a 'deficit-neutral reserve fund' which will give Congressional negotiators time to develop legislation that helps Americans and reduces the deficit.

Biden has proposed increasing the federal corporate tax rate to 28% from 21%. This proposal was made in Biden's last budget cycle, but it wasn't included in the omnibus spending bill he signed on March 15. Biden has also requested $9.2 billion for clean energy research, development, and deployment at the Department of Energy, as well as $90 million for a new Grid Deployment Office.

The proposed budget calls for increasing the budget for Advanced Research Projects Agency-Energy, called ARPA-E, to $700 million from $450 million. The agency helps develop new energy technologies that are too early for private sector investment.

Biden's budget request for the Department of Interior calls for spending $254 million to speed up the deployment of clean energy on public lands and offshore waters. This would include money for leasing, planning and permitting solar, wind and geothermal energy projects, as well as related transmission infrastructure.

The budget proposal asks for $502 million in order to weatherize and retrofit low-income homes. This would include $100 million for a pilot program to electrify low-income homes. There is also money set aside for electrifying tribal homes and transitioning tribal colleges and universities to renewable energy sources. Another part of the proposal is $757 million for zero-emission vehicles and charging or fueling infrastructure. This would provide a stable demand for clean vehicles and components, according to the budget request summary.

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