By Gary Cuneen, Seven Generations Ahead

November 15, 2024

Inflation Reduction Act and Its Impact Abroad

The largest and most significant climate legislation ever passed by the US government – the Inflation Reduction Act – has been creating manufacturing and deployment jobs (EV batteries, electrolizers, heat pumps, solar components, etc.) in unprecedented fashion in the US, and driving private sector capital investments (160,000 jobs in red districts; 334,565 jobs total in US  and close to $150 billion in investments since August 2022). This manufacturing renaissance has also led to increased exports abroad, the transfer of technology to developing nations without sufficient resources and related cost decreases based on volume. Solar + battery has become the cheapest source of electricity on the planet. In addition, skills and supply chains are developing in underresourced nations, thanks in part to the IRA which is helping to fuel the global clean energy transition. 

Nationally Determined Contributions (NDCs)

Updated NDCs (which on a macro level include each country’s GHG reduction commitments on a timeline and a plan for realizing commitments) will be due next year in Belem, Brazil at COP30. The UN NDC Partnership is a coalition of non-governmental organizations with the task of supporting 130 countries in developing their NDCs. Over the next year, the Partnership will work with countries to integrate climate financing plans as part of NDCs, engage all sectors and constituencies including youth, incorporate climate adaptation components and shore up GHG inventories. While there is no uniform template for NDC plans, technical assistance providers will support NDC development with financing strategies, evidence-based analysis and strategic priorities over the coming year.

Al Gore and Climate Trace

Former US Vice President and co-founder of Climate Trace, Al Gore, continues to be our planet’s smartest and strongest advocate for solving the climate crisis. In his standing ovation-inducing address, Mr. Gore outlined the human GHG generated climate change impacts, citing specific catastrophes that have occurred over the past week, month and year and the cost in human lives, health and dollars. Atmospheric rivers or “bombs” have dumped relentless rains in some areas leading to mass flooding and deaths and destruction, and climate change in other areas has led to multi-year droughts, hurricanes and wildfires. The geographic volume of uninhabitable areas (intolerable heat and conditions) is increasing; 1 billion climate refugees are anticipated within this century; and this year will be the hottest year on record ahead of last year. The scientific trend lines are not disputable and the results include the price tag of $328 trillion over the past decade and an anticipated $25 trillion loss in housing stock by 2050 to name a few data points.

Mr. Gore emphasized that we know how to get to net zero emissions (what’s missing is political will) and the impact of doing so would, over a relatively short period of time, restore balance to our climate and ecosystem. Governor of Washington state Jay Inslee was introduced, and he articulated the importance of Climate Trace and its capacity to measure GHG emissions by city, country, sector and by individual source through satellite and AI technology. Quoting from Muhammed Ali, he said “You can’t hit what you can’t see” and Climate Trace is making GHG emissions visible and traceable. Climate Trace is now able to also measure non-GHG pollutants in regions and cities, the high levels of which correlate to increased deaths, cancer and health issues in poorer countries and cities and communities of color in the US. Whether its Louisiana’s “Cancer Alley” (50 times higher cancer rates) or Warsaw, Poland and the fact that a baby in its first year of life there is ingesting pollution equivalent to smoking 1,000 cigarettes – Climate Trace is able to show the data on macro and micro levels and will be an extremely valuable asset for planning and GHG tracking.