Treasury Secretary Janet Yellen touts inflation reduction, clean energy opportunities in Boston visit

On a trip to Boston’s Roxbury Community College, Treasury Secretary Janet Wellen cited successes of the federal efforts to curb inflation and cut costs and build up clean energy infrastructure.

“Instead of the recession many predicted, during the first three quarters of 2023 annualized growth in the US economy was about 3%,” Yellen said Wednesday. “Inflation is now near 3%. And the prices of many key goods have fallen, from televisions down 28% from their peak, to used cars and trucks down 11%, and gasoline prices are down to around $1.90 per gallon from June 2020.”

Yellen toured the Center for Smart Building Technology at Roxbury Community College along with city and state officials and sat down with local clean energy and other leaders before delivering remarks.

Speaking to the economic rebound, Yellen said the markers are “due to the Biden administration’s policies beginning with the American Rescue Plan and continuing with a historic trifecta of legislation: the Bipartisan Infrastructure Law, the CHIPS and Science Act and the Inflation Reduction Act.”

The Treasury Secretary spoke to efforts to lower energy costs for individuals and outlined clean energy opportunities included in the Inflation Reduction Act. These include a $150 tax credit for energy audits of homes, a $1,200 tax credit for energy efficiency home improvements, a $2,000 credit for installing a heat pump and others.

Yellen also stated the department is working on a formal assessment of the cost and she “wouldn’t disagree the cost has risen” from the original estimate of $368 billion.

“But importantly, what that reflects is the effectiveness the tremendous response rate that we’re seeing from the private sector, from cities and states to these incentives,” said Yellen.

In the New England area, Yellen said, there has been a “massive take up” in IRA incentives investing in investments from lowering household energy bills, to energy efficient buildings to wind and solar initiatives.

“These things not only are going to help us address and meet our climate goals, but they’re going to fundamentally make life better for residents and businesses,” said Gov. Maura Healey. “They’re going to lower costs. They’re going to create healthier, more livable communities.”

During the visit school officials showcased clean energy sector workforce development and investments made in clean infrastructure, citing the 2017 $20 million funding for energy conservation measures like the solar canopy over the parking lot.

Yellen noted the college’s clean energy adaptations have saved $800,000 per year and 5 million pounds of carbon dioxide and praised the college’s programs building a skilled workforce to meet the needs of the clean energy sector.

“This college was always ahead of the curve on thinking about leading in energy development,” said RCC President Jackie Jenkins-Scott. “We are proud of the progress we’ve made, but we want you to know that we are not stopping here. We have a lot more work to do in this area. And we are excited to partner with the city, with the state and with the federal government in achieving jobs and opportunities for people in this community.”