C-MACC Weekly “CRETER” (Climate etc.)
A US Climate Policy – Can It Be True? Can It Last?
- The Inflation Reduction Act – the reworded and watered-down climate policy for the US – stands a chance of passing. We think it could drive some real action.
- We suspect there will be much more debate about the tax aspects of the bill than the climate piece, and much of the climate piece could drive real investment.
- We like the changes to 45Q as we think the incentive is now more equitable and does not penalize the smaller emitters: the higher value will drive investment.
- We look at why some of the proposed materials investments matter – yet more shortfalls in renewable power installation – good for coal, but tighter natural gas.
- Otherwise, it’s reporting season, and we see many presentations displaying how well companies think they are doing on the ESG front – we are seeing a lot of fluff.
See PDF below for all charts, tables and diagrams