NORTH CAROLINA — The potential impact of the Inflation Reduction Act, which President Joe Biden recently signed into law, is coming into clearer view.

This week, the White House released information on how the climate and health care bill, supported by Democrats in Congress, will impact states.

These are some of the impacts of the Inflation Reduction Act, according to the White House.

Climate

  • Tax credits would cover 30% of costs to install solar panels and make clean energy home improvements. The White House says this will result in more than 170,000 North Carolina households installing rooftop panels.
  • Rebates of 50-100% would be available to install new electric appliances including stoves, water heaters and heat pumps.
  • Federal grants to help local and state governments adopt the latest building energy codes. The White House says this will save the average homeowner 16% on their utility bills in North Carolina.
  • Buyers of electric vehicles are eligible for up to $7,500 for new vehicles and $4,000 for used electric vehicles. There are specific income restrictions for buyers and there are concerns that many electric vehicles won’t be eligible. 
  • Tens of thousands of North Carolinians living in affordable housing units are eligible for upgrades, including clean energy, electrification, flood-proofing and storm resistance.
  • Commercial building owners can receive a tax credit up to $5 per square foot “to support energy efficiency improvements that deliver lower utility bills.” Small businesses are also eligible for tax credits for buying clean trucks and vans for commercial fleets and installing solar power.
  • The reduction in pollution from the Inflation Reduction Act will result in 100,000 fewer asthma attacks in the United States in 2030, according to the White House. While the legislation makes investments in clean energy, it also benefits the oil and gas industry.

Health care

  • Around 135,000 people in North Carolina will gain health insurance next year, according to projections from the Department of Health and Human Services. 
  • Insulin copays are capped at $35/month for North Carolina Medicare beneficiaries. The White House says in 2020, around 116,000 N.C. Medicare beneficiaries used insulin.
  • Starting in 2025, Medicare beneficiaries with Part D plans will have out-of-pocket costs capped at $2,000. The Kaiser Family Foundation says that will benefit around 51,000 North Carolinians who otherwise would have costs above the cap.

Republicans have expressed numerous concerns about the Inflation Reduction Act.

The nonpartisan Congressional Budget Office concluded the legislation will have a "neglible" impact on inflation this year and next.