Inflation Reduction Act Offers Impact Now and For Generations Ahead
Updated: Mar 10
Act will help families, protect communities, and reduce the deficit over time.
Inflation can lead to a decrease in purchasing power, making it more difficult for low income households to afford basic necessities. Inflation can also increase the cost of housing, transportation, food, and other essential goods, which can be a significant burden on low income families.
Recognizing that inflation makes it more difficult for low income households to afford basic necessities and impacts purchasing power in poorer communities, the Inflation Reduction Act of 2022 specifically addresses the link between our economy, our climate and our health. Specifically, the act is investing billions in communities to support energy efficiency and climate-friendly community redevelopment.
And, on the ground many families are already feeling the benefits.
In this article, Congresswoman Spanberger from Virginia shares real life stories of her constituency and how they are saving on medical costs and prescription drugs.
Greenhouse Gas Reduction Fund
One of the more innovative programs in the Inflation Reduction Act is the Greenhouse Gas Reduction Fund. Through the EPA, the Inflation Reduction Act created a $27 Billion fund that will fund projects that will reduce greenhouse gasses in low income communities.
The Green House Gas Reduction Fund is a program established to reduce greenhouse gas emissions and help low-income communities. The Fund provides grants and loans to support projects that reduce emissions and help create local green jobs. The Fund also helps to fund renewable energy, energy efficiency, and other clean energy projects that reduce greenhouse gas emissions in low-income communities. The Fund also invests in infrastructure and research projects that will help reduce emissions in low-income communities, as well as help to create green jobs. Additionally, the Fund helps to fund climate change education and outreach programs in low-income communities.
To implement the most efficient deployment of these funds, a consortium of credit unions and community development financial institutions (cdfis) has been activated by a nonprofit lending intermediary with experience and capacity to reach neighborhoods designated for these resources. The Greenhouse Gas Reduction fund-eligible applicant, called Ecority, will be working across the country to maximize the number of households able to access the benefits of this program for their health and for their communities.