The Inflation Reduction Act (the “IRA”) of 2022 was passed by the Senate on August 7, 2022 and by the House of Representatives on August 12, 2022.  President Biden signed the IRA into law on August 16, 2022. The IRA is intended to put the U.S. on a path to reduce greenhouse gas emissions by 40 percent below 2005 levels by 2030 through tax credits and other budgetary appropriations aimed at incentivizing production of, and investments in, renewable energy.  Among other things, the IRA makes significant changes to existing clean energy credits and creates new credits.  It also provides significant funding for a wide variety of programming initiatives relating to climate change and related topics, including repealing a Trump-era freeze on offshore wind power leases.  We will be sending a second memorandum to clients in the coming days discussing the investment opportunities and practical implications of these changes in law on transactions involving renewable energy and the energy transition.