How the Inflation Reduction Act boosts listed infrastructure
While its name doesn’t reflect it, the Inflation Reduction Act (IRA) signed into law in August 2022 is the most substantial U.S. legislation ever passed pertaining to climate policy. Approximately $370 billion of the $730 billion package is earmarked for energy and climate change programs. That’s good news for publicly listed infrastructure companies, specifically the owners and developers of wind, solar, battery storage, hydrogen, and nuclear power generating assets.
In the following analysis, we take a closer look at some of the act’s key provisions, the types of businesses most likely to benefit, and why the act should prove advantageous not only for the companies themselves, but also for their customers and for investors seeking compelling opportunities in the listed infrastructure asset class.