‘Big Beautiful Bill’ will have Americans paying higher prices for dirtier energy

  When congressional Republicans decided to cut some Biden-era energy subsidies to help fund their One Big Beautiful Bill Act, they could have pruned wasteful subsidies while sparing the rest. Instead, they did the reverse. Americans will pay the price with higher costs for dirtier energy.

  The nearly 900-page bill that President Donald Trump signed on July 4, 2025 slashes incentives for wind and solar energy, batteries, electric cars, and home efficiency while expanding subsidies for fossil fuels and biofuels. That will leave Americans burning more fossil fuels despite strong public and scientific support for shifting to renewable energy.

Making subsidy reform stick

  Fossil-fuel subsidies impose a significant economic and environmental burden around the world, distorting markets and draining national budgets. In recent years, the total cost of fossil-fuel consumption subsidies worldwide has ranged from $480 billion to $630 billion per year, plus more than $100 billion spent every year in production subsidies.