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Trump’s plan to repeal IRA could raise energy bills across the Mountain West, analysis finds

This is an image of a giant wind turbine being lowered by a crane. A man is standing in a bucket truck that's raised up to the turbine.
Dennis Schroeder
/
National Renewable Energy Lab
Engineers and technicians lower the blades off of a wind turbine in order to install new blades at the National Renewable Energy Lab’s wind technology center in Golden, Colorado.

A new report shows the Trump administration’s plans to repeal clean energy tax credits could increase energy bills for households. Some of the highest anticipated increases are in the Mountain West.

U.S. households could see their annual energy costs rise significantly by the end of the decade if Congress repeals the Inflation Reduction Act’s tax credits. That’s according to independent research firm Rhodium Group, which estimated price changes in electricity, gasoline, and natural gas.

The group found these cost increases happen for a few reasons. Removing the clean energy tax credits would raise the taxes and costs for building new power plants and buying electric vehicles. More gasoline vehicles on the road and more natural gas generation on the grid will also lead to increases in prices for those fuels. What’s more, America’s demand for electricity is surging, and meeting that demand drives up costs.

In many parts of the Mountain West, household energy bills could jump $250 or more, which is higher than the anticipated national average. That includes Nevada, Colorado, New Mexico, Utah and Arizona.

Idaho, Wyoming and Montana could see energy bills climb just over a hundred dollars a year by the end of the decade.

“If the motivation behind some of these policy changes is to try to reduce energy costs, our evidence suggests that, certainly, these policy changes pull in the opposite direction of that,” said Ben King, associate director with Rhodium Group’s energy and climate practice and a report co-author.

Right now, household electricity costs are relatively flat across the Mountain West, compared to a year ago, according to the federal Energy Information Administration. Electricity prices are slightly up in Utah (2.5%), Arizona (1%), Colorado (0.5%), and New Mexico (0.5%); flat in Idaho, Wyoming and Montana; and down in Nevada (-2%).

This story was produced by the Mountain West News Bureau, a collaboration between Wyoming Public Media, Nevada Public Radio, Boise State Public Radio in Idaho, KUNR in Nevada, KUNC in Colorado and KANW in New Mexico, with support from affiliate stations across the region. Funding for the Mountain West News Bureau is provided in part by the Corporation for Public Broadcasting.

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Kaleb is an award-winning journalist and KUNR’s Mountain West News Bureau reporter. His reporting covers issues related to the environment, wildlife and water in Nevada and the region.