RI House Boosts Clean Energy Tax Credits to Shield Coasts from Erosion

PROVIDENCE — The Rhode Island House of Representatives approved legislation Thursday expanding tax credits for renewable energy installations, a direct response to accelerating coastal erosion fueled by rising sea levels. The bill, which now heads to the Senate, enhances state incentives for solar panels, battery storage and electrification projects in coastal towns including Narragansett, South Kingstown and Westerly, where erosion has claimed dozens of homes and infrastructure in recent years. Sponsors cited projections of $4.1 billion in clean energy investments by 2030, leveraging the federal Inflation Reduction Act's 30% investment tax credit for solar and bonuses for low-income projects.

The measure aligns with Rhode Island's allocation of $32 million for Home Efficiency Rebates and $31 million for Home Electrification and Appliance Rebates under the 2022 IRA, offering 50-100% rebates on heat pumps, electric appliances and energy-efficient repairs for hundreds of thousands of low- and moderate-income households. Proponents, including members of the House Environment and Natural Resources Committee, emphasized the programs' role in reducing carbon emissions and utility bills by at least 20% for qualifying upgrades, directly addressing sea level rise impacts on the state's 400 miles of coastline.

Debate arose from competing bills by House Minority Leader Michael W. Chippendale, R-District 40 (Coventry, Foster, Glocester), introduced March 19, 2026, seeking to repeal the Renewable Energy Growth program and impose a moratorium on net metering and heat pump subsidies (2026-H 7176, 2026-H 7177, 2026-H 7174). Chippendale argued these mandates act as 'hidden taxes' burdening ratepayers, while Gov. Dan McKee's executive order directs the Office of Energy Resources to review net metering for affordability without derailing clean energy goals. The passed bill navigates this tension by expanding incentives rather than curtailing them.