The Inflation Reduction Act was passed August 12 in the U.S. House of Representatives and is expected to be signed by President Joe Biden on August 16.
Joe Manchin is the political bridge between the fossil-fuel technology that still powers most heating and cooling systems in the U.S. and new energy technology that has not fully emerged.
The HVAC industry is pretty excited about all the tax credits and rebates that are being offered currently, so now is the time for contractors to lobby their state’s energy office to make sure that their state is applying for IRA money.
Homeowners looking to add solar, EV chargers, high-efficiency heat pumps, and more will soon have access to numerous tax incentives and rebates. HVAC contractors may want to consider offering more of these products and services.
While the IRA includes tax incentives and rebate programs that should benefit the HVACR industry, some officials are wary of provisions they say could result in auditing hassles — and perhaps increased expenses — for their membership.
Given all the current uncertainties in the marketplace, many contractors believe the time to buy a new system may be now, despite industry regulations.
The IRA provides incentives to homeowners looking to replace old equipment that burns fossil fuels with new high-efficiency systems that is powered by renewable energy, and HVAC contractors are needed to install it.
The HVAC industry is preparing for increased interest in high-efficiency products, such as variable-speed compressors and heat pumps, following the passage of the federal Inflation Reduction Act.
A new bill in Congress compliments the Biden administration’s push for IAQ improvements by offering tax credits for IAQ assessments and air-filtration and HVAC system upgrades in many non-residential buildings.
Federal tax credits designed to encourage energy-efficiency measures by homeowners and home builders expired at the end of 2021 but are expected to be revived later this year — and made retroactive.