A Year After Its Passage, Biden’s Climate Law Ignites New Conflicts at the State Level

Rural Areas Benefit from Infrastructure Bill, Despite Political Divide

Senate Majority Leader Chuck Schumer expressed his satisfaction with the broad reach of the infrastructure bill, stating, “We always knew that it would fall across America, not in one particular state or another.” The bill aims to address neglected rural areas and provide assistance regardless of political affiliation. In fact, more than 60 percent of the 200 project locations announced through July are in Republican-held districts, according to a POLITICO analysis. Companies are strategically selecting project sites where they can be most effective and generate the most resources, particularly in regions with significant manufacturing capacity that has been underutilized.

The implementation of the Infrastructure Investment and Jobs Act (IRA) has sparked debates and controversies across the nation. POLITICO conducted an investigation into the impact of the law in Oklahoma, Michigan, and upstate New York. These regions serve as microcosms of the challenges and opportunities that come with the IRA.

In Michigan, a planned $2.36 billion battery component manufacturing facility in Green Charter Township has faced opposition from residents concerned about the Chinese ties of its sponsor, Gotion Inc. The company is a U.S. subsidiary of Gotion High-tech Co., a Chinese-based international company. Some residents and elected officials have raised concerns about the Chinese Communist Party’s influence on the project. However, Gotion’s vice president of North American manufacturing, Chuck Thelen, has vehemently denied any affiliation with the party and dismissed the accusations as fear-mongering. Supporters of the project argue that it will bring much-needed economic growth to the region, while opponents highlight concerns about transparency, environmental impact, and the use of taxpayer money to support a Chinese company.

Meanwhile, in Marshall, Michigan, Ford Motor Co. is planning a $3.5 billion battery facility in partnership with China-based Contemporary Amperex Technology Co. Ltd. (CATL). The project has faced pushback due to concerns about environmental impact and the loss of farmland. Ford has clarified that CATL will only be involved as a licensor of battery cell technology and a service provider, with no equity in the plant and no involvement in its ownership or control. The company has also emphasized its commitment to mitigating potential environmental risks. Despite the controversy, the project is expected to create 2,500 new U.S. jobs.

In Oklahoma, the IRA has been received more positively. Inola, a town of 1,500 people, is set to benefit from Enel’s plans to build a solar cell and panel manufacturing facility. The $1 billion investment is the largest private investment in the state’s history and is expected to generate 1,000 manufacturing jobs by 2025. Local businesses, such as Bill McAnally’s diner, are excited about the potential increase in customers that the project will bring.

The infrastructure bill’s impact extends beyond political divisions, with rural areas across the country benefiting from the investment. While controversies and concerns have arisen in specific locations, the overall goal of revitalizing neglected regions and stimulating economic growth remains at the forefront. The implementation of the IRA will continue to shape the future of infrastructure development in rural America.

Original Story at www.politico.com – 2023-08-13 11:00:00