Policy Impact Analysis - 117/HR/9678

Bill Overview

Title: Earth Act of 2022

Description: This bill addresses climate change by establishing requirements concerning renewable energy, zero emission vehicles, regenerative agriculture, and tax incentives related to climate transition costs. Specifically, the bill requires that by 2030, 100% of electricity sold by certain retail electric suppliers must be from renewable energy resources (e.g., wind energy); new motor vehicles (e.g., certain cars and trucks) sold by manufacturers must be zero emission vehicles; land and livestock managed by certain publicly-traded corporations must be managed with regenerative agricultural practices. The Department of Energy (DOE), the Department of Transportation, and the Department of Agriculture (USDA) must create grants to pay up to 50% of the costs of meeting those requirements. DOE must also issue regulations regarding the sourcing, recycling, and disposal of materials used to manufacture renewable energy sources (e.g., equipment that stores renewable energy). The goals of the regulations must be to (1) eliminate the use of rare earth metals in the manufacture of those sources, and (2) ensure the recycling of all such materials. USDA must issue regulations that (1) require the reduction of greenhouse gas emissions resulting from certain land or livestock corporations, and (2) ensure the well-being of animals raised for human consumption or the production of dairy products. The bill also provides tax incentives for electric suppliers, vehicle manufacturers, and such corporations to meet the requirements established by this bill by allowing them to double certain tax deductions for qualified capital climate transitions costs.

Sponsors: Rep. Espaillat, Adriano [D-NY-13]

Target Audience

Population: Global human population

Estimated Size: 331000000

Reasoning

Simulated Interviews

Energy company executive (Houston, TX)

Age: 45 | Gender: male

Wellbeing Before Policy: 6

Duration of Impact: 20.0 years

Commonness: 2/20

Statement of Opinion:

  • The policy's renewable energy mandate will drive innovation but require significant initial investment.
  • With the grants covering 50% of costs, our company is in a strong position to meet these mandates and benefit from tax incentives.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 6
Year 2 7 6
Year 3 7 6
Year 5 8 6
Year 10 9 6
Year 20 9 6

Automotive engineer (San Francisco, CA)

Age: 32 | Gender: female

Wellbeing Before Policy: 7

Duration of Impact: 10.0 years

Commonness: 4/20

Statement of Opinion:

  • I am excited about the push for zero emission vehicles as it aligns with my job and personal values.
  • The transition might be complex, but it's essential for a sustainable future.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 8 7
Year 3 8 7
Year 5 9 7
Year 10 9 7
Year 20 8 6

Farmer (Des Moines, IA)

Age: 56 | Gender: male

Wellbeing Before Policy: 6

Duration of Impact: 10.0 years

Commonness: 3/20

Statement of Opinion:

  • Regenerative agriculture practices will increase operational costs initially.
  • Access to grants can alleviate short-term financial strain, and these practices may enhance long-term sustainability.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 6
Year 2 7 6
Year 3 7 6
Year 5 7 6
Year 10 8 6
Year 20 8 6

Software developer (Los Angeles, CA)

Age: 29 | Gender: female

Wellbeing Before Policy: 8

Duration of Impact: 20.0 years

Commonness: 5/20

Statement of Opinion:

  • Though not directly impacted, I appreciate the focus on climate action.
  • Long-term, I expect these changes to contribute positively to community well-being.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 8 8
Year 2 8 8
Year 3 8 8
Year 5 8 8
Year 10 9 8
Year 20 9 7

Corporate consultant (New York, NY)

Age: 42 | Gender: other

Wellbeing Before Policy: 7

Duration of Impact: 10.0 years

Commonness: 2/20

Statement of Opinion:

  • The policy offers a unique business opportunity to advise clients on compliance and sustainability strategies.
  • Adapting to zero emissions in vehicles and renewable energy supply is market transformative.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 7 7
Year 3 8 7
Year 5 8 7
Year 10 9 7
Year 20 8 7

Retired teacher (Denver, CO)

Age: 63 | Gender: female

Wellbeing Before Policy: 5

Duration of Impact: 10.0 years

Commonness: 5/20

Statement of Opinion:

  • Concerned about potential increases in energy costs despite long-term benefits.
  • The grants might buffer some cost increases, but immediate effects are worrying on a fixed budget.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 5 5
Year 2 5 5
Year 3 6 5
Year 5 6 5
Year 10 7 5
Year 20 7 4

College student (Miami, FL)

Age: 21 | Gender: male

Wellbeing Before Policy: 8

Duration of Impact: 20.0 years

Commonness: 4/20

Statement of Opinion:

  • Enthusiastic about policy measures as they align with my field of study and career aspirations.
  • Positive impact on job market for environmental science graduates.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 8 8
Year 2 9 8
Year 3 9 8
Year 5 9 8
Year 10 9 8
Year 20 10 8

Public school administrator (Chicago, IL)

Age: 50 | Gender: female

Wellbeing Before Policy: 7

Duration of Impact: 10.0 years

Commonness: 4/20

Statement of Opinion:

  • The policy will necessitate updates in educational content, which is positive for raising awareness.
  • Resources may be redirected towards environmental education initiatives.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 7 7
Year 2 7 7
Year 3 8 7
Year 5 8 7
Year 10 8 7
Year 20 7 6

Logistics manager (Atlanta, GA)

Age: 37 | Gender: male

Wellbeing Before Policy: 6

Duration of Impact: 5.0 years

Commonness: 3/20

Statement of Opinion:

  • Concerned about the supply chain implications of renewable mandates.
  • Efforts to comply with the policy could initially drive up costs and operation complexities.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 6
Year 2 6 6
Year 3 7 6
Year 5 7 6
Year 10 7 6
Year 20 7 6

Small business owner (Phoenix, AZ)

Age: 39 | Gender: female

Wellbeing Before Policy: 6

Duration of Impact: 5.0 years

Commonness: 3/20

Statement of Opinion:

  • Transition costs could affect product prices and availability.
  • Long-term benefits are clear, but managing inventory during change is challenging.

Wellbeing Over Time (With vs Without Policy)

Year With Policy Without Policy
Year 1 6 6
Year 2 6 6
Year 3 7 6
Year 5 7 6
Year 10 8 6
Year 20 8 6

Cost Estimates

Year 1: $15000000000 (Low: $12000000000, High: $18000000000)

Year 2: $15000000000 (Low: $12000000000, High: $18000000000)

Year 3: $15000000000 (Low: $12000000000, High: $18000000000)

Year 5: $15000000000 (Low: $12000000000, High: $18000000000)

Year 10: $15000000000 (Low: $12000000000, High: $18000000000)

Year 100: $15000000000 (Low: $12000000000, High: $18000000000)

Key Considerations