Europe is dialing back its criticism of U.S. clean-energy subsidies. The Wall Street Journal reports that, after months of denouncing the measures, European officials now believe the subsidies aren’t as anti-competitive as they feared. Officials had worried that made-in-America provisions attached to some U.S. clean-energy subsidies under the Inflation Reduction Act would steal business from Europe.
But European Union executive vice president Margrethe Vestager, a specialist in competition policy, says companies weigh numerous factors when considering where to invest in projects like wind farms and electric-vehicle battery factories. Vestager says there are plenty of reasons why companies might stay in Europe, and that a subsidy on its own isn’t enough to draw business to the U.S. Europe isn’t just hoping for the best.
The EU’s executive body this month set out proposals that include loosening rules for member government subsidies and speeding up the issuing of permits.
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