The U.S. Senate has passed a sweeping package that supporters say will cut climate-warming carbon emissions, lower drug prices for seniors and require higher taxes on corporations and the wealthy .
The legislation is less ambitious than President Joe Biden original national goals, but it’s still an important victory that Democrats hope will boost their chances of holding on to their slim majorities in the House and Senate in November’s midterm elections.
“The Senate is making history,” Senate Majority Leader Chuck Schumer said after raising his fists in the air as Democrats cheered and his staff celebrated the vote with a standing ovation.
“For Americans who have lost faith that Congress can do great things, this bill is for you,” he said. “This bill will change America for decades.”
The Inflation Reduction Act (IRA) encapsulates the party’s ideals of tackling global warming, reducing prescription drug costs and taxing big corporations, with nearly $400 billion of the total funding earmarked for climate action and energetic
It would give the world’s second-most polluting country the power to cut greenhouse gas emissions 40% below 2005 levels by the end of the decade.
After a marathon, a 27-hour debate session and dozens of Republican efforts to torpedo the package, the Senate passed the bill on a 51-50 vote. Vice President Kamala Harris cast the tie-breaking vote .
Because the measure offsets and reduces the federal deficit over time, Democrats argue it will help reduce inflation, an economic liability that could hamper their efforts to maintain legislative control heading into the 2024 presidential election.
President Biden suffers from poor public approval amid high inflation.
Republicans, all of whom opposed the bill, argue it won’t address inflation, calling the measure a job-killing, left-wing spending wish list. They argue that it could undermine growth just as the economy is in danger of falling into recession
Analysis: Historic investment to counter climate change is big win for Biden
Sky correspondent David Blevins in Washington
Democrats are calling it a “game changer” — the first major legislation to counter climate change in 34 years and a $400 billion investment.
It comes amid extreme weather from coast to coast, flash flooding that claimed two dozen lives in Kentucky last week.
There will be hundreds of billions of dollars in tax credits for consumers and corporations that make the transition to green energy.
Oil and gas companies that fail to reduce methane emissions will be penalized, with the aim of reducing emissions by 50% by the end of the decade.
It’s not pressuring them to ditch coal and gas entirely, but the battle between the climate movement and the fossil fuel industry still rages.
Democrats pushed the measures as part of a broader Inflation Reduction Act, cutting medical costs and raising taxes on big business.
It’s a big win for President Biden, keeping the climate commitments he made ahead of November’s midterm elections.
“Democrats are voting again to allow the chaos at the southern border to continue,” Senate Republican Leader Mitch McConnell said in a statement.
The document named Democratic senators Mark Kelly of Arizona, Catherine Cortez Masto of Nevada, Maggie Hassan of New Hampshire and Raphael Warnock of Georgia, who face tough re-election contests in November.
The House of Representatives, the US lower house, where Democrats hold a narrow majority, appears likely to pass the bill when it briefly returns from summer recess for a vote on Friday. Once final congressional approval is obtained, the measure would go to President Biden for final signature.
Independent Sen. Bernie Sanders, who caucuses with Democrats, offered a series of amendments to expand Medicare, create a civilian conservation corps and reduce child poverty, but was defeated by lawmakers from both parties.