Inflation Reduction Act Means Business.
The Inflation Reduction Act will drive electrification of transportation forward but won’t be enough to meet the United States’ climate goals under the Paris Agreement, according to a new report from the International Council on Clean Transportation.
The ICCT is best known as the research group that broke the Volkswagen Dieselgate scandal. We recently covered another of its reports showing that plug-in hybrids use more gas than previously thought.
Its new report analyzes the effects that the US Inflation Reduction Act and its new electric car tax credits will have on EV adoption in the US.
The analysis comes to the conclusion that the new tax credits will be a significant driver of electrification, likely resulting in 48-61% EV sales among light duty vehicles in 2030. This would exceed the Biden administration’s goal of 50% EV market share by 2030.