1
00:00:02,680 --> 00:00:05,920
Speaker 1: Hi, it's Aksha. I recently joined some of my colleagues

2
00:00:05,960 --> 00:00:09,000
Speaker 1: on our sister podcast called The Big Take to talk

3
00:00:09,000 --> 00:00:12,800
Speaker 1: about what's happened to climate tech in recent years, especially

4
00:00:12,840 --> 00:00:16,840
Speaker 1: since US President Joe Biden signed the Inflation Reduction Act

5
00:00:16,960 --> 00:00:19,200
Speaker 1: last year. It's a topic that comes up a lot

6
00:00:19,239 --> 00:00:21,840
Speaker 1: on Zero as we go out and meet people working

7
00:00:21,840 --> 00:00:25,000
Speaker 1: on climate solutions of all kinds, and the passing of

8
00:00:25,040 --> 00:00:28,520
Speaker 1: the bill has supercharged the US climate tech scene. So

9
00:00:28,720 --> 00:00:31,680
Speaker 1: this week we are sharing that episode with you on Zero.

10
00:00:32,040 --> 00:00:34,080
Speaker 1: I hope you'll enjoy it. If you would like to

11
00:00:34,120 --> 00:00:37,000
Speaker 1: hear more from The Big Take, find it wherever you

12
00:00:37,080 --> 00:00:39,479
Speaker 1: get your podcasts. And if you'd like to read the

13
00:00:39,600 --> 00:00:42,959
Speaker 1: article I wrote with my colleague Eric Rosstin that inspired

14
00:00:42,960 --> 00:00:45,640
Speaker 1: this episode, you can read it on Bloomberg dot com

15
00:00:45,760 --> 00:00:47,279
Speaker 1: or find a link in the show.

16
00:00:47,040 --> 00:01:07,280
Speaker 2: Notes from Bloomberg News and iHeartRadio. It's the Big Take.

17
00:01:10,280 --> 00:01:14,120
Speaker 2: I'm Westcsova Today. How's all that money Joe Biden got

18
00:01:14,160 --> 00:01:16,319
Speaker 2: for green projects being spent?

19
00:01:24,800 --> 00:01:28,360
Speaker 3: Democrats are claiming victory this weekend after finally getting their

20
00:01:28,400 --> 00:01:31,360
Speaker 3: healthcare and climate package through the Senate, known as.

21
00:01:31,280 --> 00:01:33,119
Speaker 2: The Inflation Reduction Act.

22
00:01:33,120 --> 00:01:36,200
Speaker 3: The bill aims to reduce inflation while encouraging greener industries

23
00:01:36,319 --> 00:01:36,880
Speaker 3: to develop.

24
00:01:38,000 --> 00:01:40,560
Speaker 2: It was a big deal last summer when the President

25
00:01:40,640 --> 00:01:44,639
Speaker 2: signed the Inflation Reduction Act, which includes hundreds of billions

26
00:01:44,680 --> 00:01:48,680
Speaker 2: of dollars to slow climate change and speed America's transition

27
00:01:49,040 --> 00:01:52,560
Speaker 2: to clean energy. Less than a year later, that money

28
00:01:52,640 --> 00:01:55,400
Speaker 2: is already being put to use in all kinds of ways.

29
00:01:55,440 --> 00:01:58,320
Speaker 2: But ye might not be able to see it unless

30
00:01:58,400 --> 00:02:01,600
Speaker 2: you know where to look. I'm here with a couple

31
00:02:01,600 --> 00:02:05,680
Speaker 2: of people who do. Climate reporter Eric Rostin.

32
00:02:05,720 --> 00:02:08,240
Speaker 4: The wind doesn't always blow, and the sun doesn't always shine,

33
00:02:08,320 --> 00:02:10,600
Speaker 4: and we need a place to park our electrons when

34
00:02:10,600 --> 00:02:12,200
Speaker 4: we're not using them.

35
00:02:12,040 --> 00:02:16,359
Speaker 2: And senior reporter akshat Rati, who's also host of our

36
00:02:16,400 --> 00:02:20,760
Speaker 2: brilliant sister podcast Zero. It's all about the tactics and

37
00:02:20,919 --> 00:02:25,040
Speaker 2: technologies taking us to a world of zero emissions.

38
00:02:25,360 --> 00:02:27,440
Speaker 1: There are these sets of technologies which you can call

39
00:02:27,520 --> 00:02:32,639
Speaker 1: as enabling technologies, which work across multiple different economic sectors.

40
00:02:32,960 --> 00:02:35,440
Speaker 1: Hydrogen is one of them, Batteries is the other.

41
00:02:35,960 --> 00:02:38,720
Speaker 2: And a little later in the show, Bloomberg Green reporter

42
00:02:38,880 --> 00:02:43,400
Speaker 2: Zarahirgee tells us how this massive cash infusion is starting

43
00:02:43,400 --> 00:02:45,560
Speaker 2: to appear in our day to day lives.

44
00:02:46,160 --> 00:02:48,400
Speaker 3: In the coming year, there's just going to be more

45
00:02:48,480 --> 00:02:52,240
Speaker 3: and more money available that people can claim to help

46
00:02:52,320 --> 00:02:54,920
Speaker 3: make the transition in their own homes and their own

47
00:02:54,960 --> 00:02:58,480
Speaker 3: cars and their own lives to a cleaner, more climate

48
00:02:58,480 --> 00:03:01,040
Speaker 3: friendly life.

49
00:03:01,600 --> 00:03:04,800
Speaker 2: Eric, we all heard a lot about the Inflation Reduction

50
00:03:05,040 --> 00:03:07,200
Speaker 2: Act when it was passed. It was a really big deal,

51
00:03:07,680 --> 00:03:10,120
Speaker 2: and we haven't heard that much about it since then.

52
00:03:10,160 --> 00:03:13,600
Speaker 2: Can you tell us what exactly all that money is

53
00:03:13,720 --> 00:03:14,839
Speaker 2: now going for.

54
00:03:15,760 --> 00:03:20,640
Speaker 4: There's two baskets of things. One of them is probably

55
00:03:20,880 --> 00:03:24,639
Speaker 4: more familiar than the other. The main association people will

56
00:03:24,680 --> 00:03:29,120
Speaker 4: have with clean energy is wind power, solar power, onshore wind,

57
00:03:29,160 --> 00:03:33,119
Speaker 4: offshore wind electric vehicles that line the streets in some

58
00:03:33,160 --> 00:03:37,000
Speaker 4: parts of the country, and there's a lot of money

59
00:03:37,400 --> 00:03:42,000
Speaker 4: and a lot of incentive now for states and communities

60
00:03:42,000 --> 00:03:45,200
Speaker 4: and people to go out and buy those things and

61
00:03:45,240 --> 00:03:47,800
Speaker 4: deploy them even at a faster rate than they already

62
00:03:47,800 --> 00:03:51,360
Speaker 4: have been. Another big part of it is the up

63
00:03:51,440 --> 00:03:54,640
Speaker 4: and coming technologies that people are less familiar with. These

64
00:03:54,680 --> 00:03:58,760
Speaker 4: are infrastructure technologies, things that if this is all successful,

65
00:03:58,800 --> 00:04:00,840
Speaker 4: we may never see them because they're just going to

66
00:04:01,080 --> 00:04:03,960
Speaker 4: keep the lights on, but just do it with different

67
00:04:04,040 --> 00:04:08,240
Speaker 4: kinds of technology, and there's some really exciting, really science

68
00:04:08,280 --> 00:04:12,800
Speaker 4: fiction like technologies that are out there starting to thrive.

69
00:04:13,760 --> 00:04:16,640
Speaker 2: Actually, one thing you write is that, like Eric said,

70
00:04:16,839 --> 00:04:19,400
Speaker 2: wind and solar, these are things that have been around

71
00:04:19,520 --> 00:04:22,840
Speaker 2: for a long time, but now the Inflation Reduction Act

72
00:04:22,960 --> 00:04:25,800
Speaker 2: is really fundying things that are much more difficult, kind

73
00:04:25,800 --> 00:04:28,920
Speaker 2: of like the hard part absolutely.

74
00:04:29,000 --> 00:04:33,080
Speaker 1: I mean, we think about the emissions pie. Only about

75
00:04:33,080 --> 00:04:37,359
Speaker 1: a quarter of emissions, roughly speaking, comes from electricity. The

76
00:04:37,560 --> 00:04:40,880
Speaker 1: other three quarters comes from other stuff. So you've got

77
00:04:40,920 --> 00:04:45,000
Speaker 1: another quarter from transport, another quarter from industry, and another

78
00:04:45,080 --> 00:04:49,000
Speaker 1: quarter from agriculture. Now the actual numbers may vary from

79
00:04:49,000 --> 00:04:51,520
Speaker 1: country to country, but you know that's a really good

80
00:04:51,520 --> 00:04:53,880
Speaker 1: shotcut to have in the brain. So what do you

81
00:04:53,880 --> 00:04:55,880
Speaker 1: do with the other three quarters? And that's where the

82
00:04:55,920 --> 00:04:59,760
Speaker 1: hard stuff comes in. Pick industry, cement, just the chemical

83
00:05:00,000 --> 00:05:04,200
Speaker 1: process itself produces carbon dioxide, regardless of whether you use

84
00:05:04,240 --> 00:05:07,560
Speaker 1: fossil fuels or not. And so in the Inflation Reduction

85
00:05:07,640 --> 00:05:11,120
Speaker 1: Act there are incentives for a technology called carbon capture.

86
00:05:11,320 --> 00:05:13,640
Speaker 1: And we've had that technology for quite some time, but

87
00:05:13,680 --> 00:05:17,160
Speaker 1: it just never got the momentum that it has got

88
00:05:17,240 --> 00:05:19,680
Speaker 1: under the Inflation Reduction Act. And that's going to make

89
00:05:19,720 --> 00:05:23,359
Speaker 1: a real difference in the emissions profile we're going to

90
00:05:23,400 --> 00:05:26,520
Speaker 1: see in the coming future, because that's the emissions profile

91
00:05:26,680 --> 00:05:29,560
Speaker 1: which we've not been able to really reduce.

92
00:05:31,120 --> 00:05:34,120
Speaker 2: Eric, How is the Inflation Reduction Act doing what Akshat

93
00:05:34,279 --> 00:05:35,960
Speaker 2: is saying, How is that money helping this?

94
00:05:36,800 --> 00:05:40,359
Speaker 4: In the most direct way? It is backing companies and

95
00:05:40,400 --> 00:05:44,680
Speaker 4: initiatives and research in some of these very difficult but

96
00:05:44,960 --> 00:05:49,560
Speaker 4: extremely necessary technologies, just like the one that akshot described.

97
00:05:49,800 --> 00:05:54,159
Speaker 4: But there's a fuzzier and possibly more important effect of

98
00:05:54,200 --> 00:05:58,719
Speaker 4: all this as well, and that is the largest economy

99
00:05:58,760 --> 00:06:01,800
Speaker 4: in the world saying we are open for business like

100
00:06:01,960 --> 00:06:04,080
Speaker 4: this is what we're going to do for a living now,

101
00:06:04,520 --> 00:06:08,320
Speaker 4: And the soft power of the mere existence of a

102
00:06:08,360 --> 00:06:13,120
Speaker 4: bill like this will have, you know, incalculable influence.

103
00:06:14,160 --> 00:06:19,919
Speaker 2: Actually, you mentioned concrete as one concrete example of a

104
00:06:20,000 --> 00:06:22,960
Speaker 2: way that you can reduce the carbon effects of a

105
00:06:23,160 --> 00:06:27,479
Speaker 2: really important component of just building. What are some of

106
00:06:27,520 --> 00:06:32,120
Speaker 2: the other hard things that the Inflation Reduction Act is

107
00:06:32,600 --> 00:06:33,480
Speaker 2: trying to fund?

108
00:06:34,279 --> 00:06:36,960
Speaker 1: Another one is hydrogen. This is sort of the fuel

109
00:06:36,960 --> 00:06:39,360
Speaker 1: of the future that's been talked about for quite some time.

110
00:06:39,600 --> 00:06:42,920
Speaker 1: It's a fuel that burns without producing any carbon dioxide.

111
00:06:42,920 --> 00:06:46,680
Speaker 1: Emissions if you're able to produce hydrogen without any corbon

112
00:06:46,720 --> 00:06:50,280
Speaker 1: dioxide emissions attached to it. So far that hydrogen came

113
00:06:50,279 --> 00:06:53,120
Speaker 1: from natural gas, which is where the carbon dioxide problem

114
00:06:53,160 --> 00:06:55,760
Speaker 1: comes from. But if you make it from water and

115
00:06:55,800 --> 00:06:58,760
Speaker 1: renewable electricity, you get this fuel that can be used

116
00:06:58,760 --> 00:07:03,080
Speaker 1: for lots and lots of things. So we're making steel green,

117
00:07:03,960 --> 00:07:08,880
Speaker 1: making fuels like biofuels without the use of carbon from

118
00:07:08,960 --> 00:07:12,920
Speaker 1: fossil fuels, being able to store renewable electricity in the

119
00:07:12,960 --> 00:07:16,120
Speaker 1: form of hydrogen just in tanks so that you can

120
00:07:16,120 --> 00:07:18,520
Speaker 1: burn it when you really need it. There are these

121
00:07:18,560 --> 00:07:21,880
Speaker 1: sets of technologies which you can call as enabling technologies,

122
00:07:22,000 --> 00:07:26,440
Speaker 1: which work across multiple different economic sectors. Hydrogen is one

123
00:07:26,440 --> 00:07:29,400
Speaker 1: of them. Batteries is the other, and that is also

124
00:07:29,400 --> 00:07:32,080
Speaker 1: getting a real boost, not just the traditional lithium ion

125
00:07:32,160 --> 00:07:36,320
Speaker 1: batteries that we know about, but also unconventional ideas which

126
00:07:36,360 --> 00:07:39,240
Speaker 1: are going to be necessary because we need lots and

127
00:07:39,280 --> 00:07:41,920
Speaker 1: lots of cheap batteries to be able to build the

128
00:07:42,040 --> 00:07:45,040
Speaker 1: grid of the future. Think about the grid as a

129
00:07:45,320 --> 00:07:49,160
Speaker 1: series of pipes without a tank, which is weird because

130
00:07:49,240 --> 00:07:52,720
Speaker 1: that means if anybody turns their tap on somebody has

131
00:07:52,760 --> 00:07:54,600
Speaker 1: to turn a pump on to make sure that the

132
00:07:54,640 --> 00:07:56,640
Speaker 1: water reaches them at that instant.

133
00:07:57,400 --> 00:08:00,000
Speaker 4: The idea that we've never really been able to store

134
00:08:00,080 --> 00:08:03,160
Speaker 4: or electricity is actually we could have used it. You know,

135
00:08:03,640 --> 00:08:07,480
Speaker 4: every summer, the hottest week of the year, people inevitably

136
00:08:07,600 --> 00:08:11,480
Speaker 4: use more air conditioning, and the strain on the electrical

137
00:08:11,600 --> 00:08:14,480
Speaker 4: grid and the power plants is tremendous. And so what

138
00:08:14,680 --> 00:08:18,200
Speaker 4: happens is we have special power plants that we turn

139
00:08:18,280 --> 00:08:21,640
Speaker 4: on only for like the hottest weeks of the year,

140
00:08:21,960 --> 00:08:24,760
Speaker 4: and their dormant basically the rest of the year. So

141
00:08:24,800 --> 00:08:27,240
Speaker 4: like that's how we've been doing storage, right, We've been

142
00:08:27,280 --> 00:08:33,319
Speaker 4: storing entire electricity production facilities. So batteries may have been useful,

143
00:08:33,480 --> 00:08:35,440
Speaker 4: you know, at some point before now, but now they

144
00:08:35,440 --> 00:08:38,880
Speaker 4: are absolutely instrumental. The wind doesn't always blow and the

145
00:08:38,880 --> 00:08:41,200
Speaker 4: sun doesn't always shine, and we need a place to

146
00:08:41,240 --> 00:08:44,679
Speaker 4: park our electrons, but we're not using them.

147
00:08:44,960 --> 00:08:47,400
Speaker 1: And so to be able to do that you need batteries.

148
00:08:47,440 --> 00:08:50,719
Speaker 1: But those batteries currently are lithium ion batteries, and these

149
00:08:50,760 --> 00:08:53,440
Speaker 1: are great. They work in electric cars, they might even

150
00:08:53,600 --> 00:08:56,720
Speaker 1: power flying cars. But to be able to use them

151
00:08:56,720 --> 00:08:59,960
Speaker 1: on the grid is sort of wasting a really valuable resource,

152
00:09:00,400 --> 00:09:03,439
Speaker 1: and your electricity will get very expensive if you use

153
00:09:03,480 --> 00:09:06,520
Speaker 1: too much of it. So under the Inflation Reduction Act,

154
00:09:06,520 --> 00:09:09,800
Speaker 1: there are incentives for these new age technologies, one of

155
00:09:09,840 --> 00:09:12,720
Speaker 1: which is this company called Form Energy, which is building

156
00:09:12,760 --> 00:09:16,120
Speaker 1: a seven hundred and sixty million dollar factory to build

157
00:09:16,240 --> 00:09:19,800
Speaker 1: a battery made from rust, which may sound weird, but

158
00:09:19,920 --> 00:09:23,520
Speaker 1: actually rust itself. The process of making it, going from

159
00:09:23,600 --> 00:09:27,560
Speaker 1: iron to rust is a chemical reaction that produces energy.

160
00:09:27,920 --> 00:09:31,079
Speaker 1: Form Energy has figured out how to use that energy

161
00:09:31,120 --> 00:09:34,000
Speaker 1: in the form of electricity, and once you do that,

162
00:09:34,200 --> 00:09:37,920
Speaker 1: you get a battery where the process of rusting creates energy,

163
00:09:38,040 --> 00:09:40,800
Speaker 1: and when you want to store energy, you just unrust

164
00:09:40,800 --> 00:09:43,880
Speaker 1: the battery back to iron. And they have gone on

165
00:09:44,080 --> 00:09:47,120
Speaker 1: and built this megafactory because there is just so much

166
00:09:47,200 --> 00:09:48,480
Speaker 1: demand for their product.

167
00:09:49,240 --> 00:09:54,120
Speaker 2: And you talk to Form Energy CEO Mateo Haramio on

168
00:09:54,200 --> 00:09:57,400
Speaker 2: your podcast zero. Here's a bit of what he had

169
00:09:57,440 --> 00:09:58,400
Speaker 2: to say about the project.

170
00:09:58,920 --> 00:10:00,679
Speaker 5: It will look like shipping in tainer is sitting in

171
00:10:00,960 --> 00:10:04,040
Speaker 5: a field. That's really what it will look like, not exactly,

172
00:10:04,200 --> 00:10:07,640
Speaker 5: sort of a charismatic megafauna power project, if you will.

173
00:10:08,360 --> 00:10:10,760
Speaker 5: But in order to get to the cost targets that

174
00:10:10,800 --> 00:10:13,720
Speaker 5: we're going after sort of can't afford to look like much.

175
00:10:14,559 --> 00:10:16,680
Speaker 2: Eric, you right that the money the government spends is

176
00:10:16,720 --> 00:10:21,559
Speaker 2: then multiplied when companies use it to develop these technologies,

177
00:10:21,600 --> 00:10:25,839
Speaker 2: so the government dollars are actually worth more, potentially a

178
00:10:25,880 --> 00:10:26,360
Speaker 2: lot more.

179
00:10:26,480 --> 00:10:29,360
Speaker 4: The three hundred and seventy four billion dollar estimate that

180
00:10:29,400 --> 00:10:32,600
Speaker 4: we've been kicking around since August is limited, and that

181
00:10:32,679 --> 00:10:34,960
Speaker 4: it doesn't take into account what the rest of the

182
00:10:35,000 --> 00:10:38,520
Speaker 4: economy may do. It's worth taking a step back for

183
00:10:38,600 --> 00:10:41,800
Speaker 4: a second. And like governments, the US government in particular

184
00:10:42,120 --> 00:10:47,319
Speaker 4: tends not to lead national conversations, right. And one thing

185
00:10:47,360 --> 00:10:51,360
Speaker 4: that's laid the groundwork for the IRA is the vast

186
00:10:51,760 --> 00:10:54,400
Speaker 4: number of people in parts of the economy that are

187
00:10:54,480 --> 00:10:57,760
Speaker 4: already trying to do these things. So the IRA is

188
00:10:57,920 --> 00:11:00,800
Speaker 4: met by people who were expecting it or at least

189
00:11:00,800 --> 00:11:03,480
Speaker 4: wishing for it. And what that means is like that

190
00:11:03,600 --> 00:11:06,840
Speaker 4: original three hundred and seventy four billion dollars that the

191
00:11:06,880 --> 00:11:11,760
Speaker 4: Congressional Budget Office projected that this legislation would be worth

192
00:11:12,160 --> 00:11:14,800
Speaker 4: is going to be met in the real world by

193
00:11:15,320 --> 00:11:18,760
Speaker 4: armies of people who are ready to maximize its potential.

194
00:11:19,440 --> 00:11:23,120
Speaker 4: And Credit Suisse has looked at the same numbers and

195
00:11:23,600 --> 00:11:27,240
Speaker 4: has concluded that the actual amount that the US government

196
00:11:27,360 --> 00:11:30,640
Speaker 4: is going to spend is considerably more, possibly twice as much.

197
00:11:31,040 --> 00:11:34,400
Speaker 4: And then they took it a step further and found

198
00:11:34,679 --> 00:11:38,000
Speaker 4: that the private sector is likely to spend another eight

199
00:11:38,080 --> 00:11:42,400
Speaker 4: hundred billion dollars or so, because these provisions send a

200
00:11:42,480 --> 00:11:46,880
Speaker 4: message of confidence to the whole economy that the US

201
00:11:47,080 --> 00:11:51,679
Speaker 4: government is behind these initiatives in dollar and in spirit.

202
00:11:52,640 --> 00:11:56,319
Speaker 2: When we come back, how climate tech is fast becoming

203
00:11:56,559 --> 00:12:07,960
Speaker 2: one of the engines powering the US economy ark shot

204
00:12:08,040 --> 00:12:11,000
Speaker 2: right before the break, Eric was talking about how the

205
00:12:11,120 --> 00:12:14,840
Speaker 2: US spending this money signals to a private industry that

206
00:12:15,559 --> 00:12:17,680
Speaker 2: this is a good bat, that there is a bright

207
00:12:17,720 --> 00:12:20,200
Speaker 2: future here and it's backed up by the US. And

208
00:12:20,320 --> 00:12:24,360
Speaker 2: really the Inflation Reduction Act wasn't the first money being

209
00:12:24,400 --> 00:12:27,760
Speaker 2: spent on this. They were really kind of following on

210
00:12:28,440 --> 00:12:32,840
Speaker 2: a movement that had picked up a lot of speed already.

211
00:12:33,760 --> 00:12:37,240
Speaker 1: Absolutely true. If anything, the US is late to the party.

212
00:12:38,200 --> 00:12:41,880
Speaker 1: The real front runner on spending on clean energy is China,

213
00:12:41,960 --> 00:12:44,600
Speaker 1: which might seem art given it is also the largest

214
00:12:44,679 --> 00:12:48,720
Speaker 1: emitter by a massive margin, but China over the past

215
00:12:48,720 --> 00:12:52,080
Speaker 1: decade has taken a lead on pretty much every green technology,

216
00:12:52,280 --> 00:12:57,240
Speaker 1: solar wind batteries, of course, but also more recently they've

217
00:12:57,280 --> 00:12:59,520
Speaker 1: built a lot of hydrogen, they've built a lot of

218
00:12:59,559 --> 00:13:03,320
Speaker 1: electric they're exporting those electric cars outside of China in

219
00:13:03,400 --> 00:13:07,360
Speaker 1: large numbers now. And then Europe took notice of what

220
00:13:07,480 --> 00:13:09,800
Speaker 1: China is doing and jumped in with what is called

221
00:13:09,800 --> 00:13:12,720
Speaker 1: the Green Deal, which you know, in the European version

222
00:13:12,880 --> 00:13:15,560
Speaker 1: takes a few years because it's a bureaucratic nightmare to

223
00:13:15,559 --> 00:13:20,240
Speaker 1: get legislation through, but it's another five hundred billion euros

224
00:13:20,320 --> 00:13:23,600
Speaker 1: worth of spending that is coming to support all these

225
00:13:23,720 --> 00:13:27,040
Speaker 1: kinds of technologies, not just the old renewable technologies but

226
00:13:27,120 --> 00:13:30,400
Speaker 1: also these advanced carbon free technologies that are going to

227
00:13:30,400 --> 00:13:33,160
Speaker 1: be necessary to meet climate goals. And just to take

228
00:13:33,200 --> 00:13:35,800
Speaker 1: a step back, all of this is happening because of

229
00:13:35,880 --> 00:13:39,880
Speaker 1: the Paris Climate Agreement, which set the goal for the

230
00:13:39,920 --> 00:13:42,840
Speaker 1: world to reduce emissions and to do it at pace,

231
00:13:43,200 --> 00:13:45,840
Speaker 1: and all the countries have agreed to do it. Now

232
00:13:45,920 --> 00:13:49,080
Speaker 1: we are finally starting to see after eighty years that

233
00:13:49,080 --> 00:13:51,400
Speaker 1: that money is going toward the thing that needs to

234
00:13:51,440 --> 00:13:51,959
Speaker 1: be done.

235
00:13:52,520 --> 00:13:55,400
Speaker 4: It's not just that China is the leader who were

236
00:13:55,440 --> 00:13:59,720
Speaker 4: trying to catch up to China is eighty to ninety

237
00:13:59,720 --> 00:14:05,200
Speaker 4: percent of this entire conversation. They make something like ninety

238
00:14:05,200 --> 00:14:09,880
Speaker 4: percent of the anodes that go into lithium batteries, they

239
00:14:09,960 --> 00:14:14,000
Speaker 4: make seventy five percent of other key battery components, They

240
00:14:14,000 --> 00:14:18,680
Speaker 4: make eighty to ninety percent of the materials involved in solar.

241
00:14:18,880 --> 00:14:21,560
Speaker 1: So China is making, as Eric said, all these green

242
00:14:21,600 --> 00:14:25,920
Speaker 1: technologies and at scale. What Europe and America need to

243
00:14:25,960 --> 00:14:28,440
Speaker 1: do is really catch up and make sure that the

244
00:14:28,560 --> 00:14:31,400
Speaker 1: jobs of the future aren't lost all to China. They

245
00:14:31,440 --> 00:14:35,920
Speaker 1: need to build local capacities for these green technologies. And

246
00:14:36,160 --> 00:14:40,880
Speaker 1: we've entered this period of competition among the large powers

247
00:14:41,080 --> 00:14:44,320
Speaker 1: on green stuff, which hadn't happened so far. You know,

248
00:14:44,360 --> 00:14:47,480
Speaker 1: there was this warm, fuzzy feeling around the Paris Agreement

249
00:14:47,480 --> 00:14:50,520
Speaker 1: that we will all come together and work together. And

250
00:14:50,560 --> 00:14:53,440
Speaker 1: that's great and that needs to happen. But the world

251
00:14:53,480 --> 00:14:56,200
Speaker 1: that we are used to is a world of competition,

252
00:14:56,800 --> 00:15:01,600
Speaker 1: and with these big, large legislations in America and Europe,

253
00:15:01,960 --> 00:15:03,880
Speaker 1: that competition has become real.

254
00:15:04,680 --> 00:15:07,960
Speaker 2: And Eric, we've seen a huge amount of venture capital

255
00:15:08,560 --> 00:15:12,240
Speaker 2: flowing into this space. Can you describe what it's going

256
00:15:12,280 --> 00:15:14,080
Speaker 2: to and who's behind it.

257
00:15:15,280 --> 00:15:17,480
Speaker 4: Yes, there's just a I don't even know what the

258
00:15:17,560 --> 00:15:21,400
Speaker 4: right metaphor is. An archipelago a you know, a cheering section,

259
00:15:21,640 --> 00:15:25,880
Speaker 4: a mob of venture capitalists who some of them are new,

260
00:15:26,000 --> 00:15:28,560
Speaker 4: some of them are you know, the oldest hands in

261
00:15:28,640 --> 00:15:33,160
Speaker 4: Silicon Valley, and they have very much internalized what climate

262
00:15:33,240 --> 00:15:37,680
Speaker 4: change must mean for investment patterns and for the development

263
00:15:37,720 --> 00:15:42,800
Speaker 4: of new technologies. So you have everyone from Kleiner Perkins

264
00:15:43,040 --> 00:15:45,320
Speaker 4: probably you know, one of the most famous VC firms

265
00:15:45,360 --> 00:15:48,160
Speaker 4: that was at the beginning of Google and much of

266
00:15:48,200 --> 00:15:50,560
Speaker 4: the rest of the tech economy. You know, you also

267
00:15:50,720 --> 00:15:55,600
Speaker 4: have people who have been working on this for many years,

268
00:15:55,880 --> 00:15:59,720
Speaker 4: often alone and without much fanfare. Energy Impact Partners is

269
00:15:59,720 --> 00:16:02,360
Speaker 4: one of those who have emerged as a leader in

270
00:16:02,400 --> 00:16:06,640
Speaker 4: the space because the space itself is finally reaching the

271
00:16:06,680 --> 00:16:11,040
Speaker 4: big time. Last year, there was seventy billion dollars in

272
00:16:11,880 --> 00:16:16,800
Speaker 4: VC investment in the climate tech space, and we expect

273
00:16:16,840 --> 00:16:19,680
Speaker 4: to see that only rise in the next few years.

274
00:16:20,160 --> 00:16:23,840
Speaker 1: And it's also happening at a time when VC investments

275
00:16:23,840 --> 00:16:26,720
Speaker 1: in all types of other tech is actually declining. So

276
00:16:26,800 --> 00:16:30,320
Speaker 1: climate tech has emerged as this continuing to be the

277
00:16:30,400 --> 00:16:34,720
Speaker 1: bullish bet in an economy which is generally turning sour.

278
00:16:35,480 --> 00:16:38,880
Speaker 4: This is not necessarily software that we're dealing with. These

279
00:16:38,880 --> 00:16:44,200
Speaker 4: are science experiments and infrastructure that require a level of

280
00:16:44,560 --> 00:16:49,560
Speaker 4: scientific savvy and investigation that is not typical to the

281
00:16:49,600 --> 00:16:53,120
Speaker 4: Silicon Valley software economy. And it's just very interesting to

282
00:16:53,160 --> 00:16:56,720
Speaker 4: watch all these smart firms bulk up with the expertise

283
00:16:56,800 --> 00:17:00,360
Speaker 4: they need to make these investments, making sure they're picking

284
00:17:00,360 --> 00:17:02,880
Speaker 4: out products that really have a potential to change the world.

285
00:17:03,760 --> 00:17:07,280
Speaker 2: Actually, that's a really interesting point when you talk to

286
00:17:07,960 --> 00:17:11,840
Speaker 2: the people who are behind this money, what are they saying, like,

287
00:17:11,920 --> 00:17:14,760
Speaker 2: why are they going all in on decarbonization.

288
00:17:15,640 --> 00:17:18,200
Speaker 1: We think of the climate tech economy as a climate

289
00:17:18,200 --> 00:17:21,680
Speaker 1: tech economy, but actually what these VC firms are betting

290
00:17:22,160 --> 00:17:25,560
Speaker 1: is that it's the new economy. That's how the world

291
00:17:25,640 --> 00:17:28,320
Speaker 1: is going to be run in the future. Just think

292
00:17:28,359 --> 00:17:31,320
Speaker 1: of energy. The fossil fuel industry, which is how most

293
00:17:31,320 --> 00:17:34,760
Speaker 1: of our energy came from, still does. It's a ten

294
00:17:34,920 --> 00:17:38,560
Speaker 1: trillion dollar worth of industry, and depending on your year

295
00:17:38,760 --> 00:17:42,240
Speaker 1: when oil prices are high, probably a twenty trillion dollar economy.

296
00:17:42,920 --> 00:17:46,480
Speaker 1: That is the kind of potential that these new technologies

297
00:17:46,520 --> 00:17:49,199
Speaker 1: are going to fill up, and that's a big honeypot

298
00:17:49,240 --> 00:17:52,320
Speaker 1: for investors who can think smart bet the right ideas

299
00:17:52,560 --> 00:17:54,600
Speaker 1: and build the sort of companies that are going to

300
00:17:54,680 --> 00:17:59,160
Speaker 1: replace the EGX on mobiles of the world. The way

301
00:17:59,280 --> 00:18:02,440
Speaker 1: VC makes money is that they make many, many bets,

302
00:18:02,680 --> 00:18:04,680
Speaker 1: and most of them are going to fail, but there'll

303
00:18:04,680 --> 00:18:08,439
Speaker 1: be these spectacular victories which are going to make for

304
00:18:08,760 --> 00:18:11,160
Speaker 1: much of the return of how the fund is created.

305
00:18:11,680 --> 00:18:16,080
Speaker 1: But in doing so, in those failures, they do advanced

306
00:18:16,080 --> 00:18:19,800
Speaker 1: technologies which eventually will pay off. And so the VC

307
00:18:19,960 --> 00:18:23,439
Speaker 1: money is a crucial aspect of how to develop a

308
00:18:23,480 --> 00:18:27,200
Speaker 1: new technology. But obviously these are funds that are looking

309
00:18:27,280 --> 00:18:31,639
Speaker 1: for returns, and they're making bets that will generate returns.

310
00:18:32,320 --> 00:18:38,280
Speaker 4: It's worth taking a step back and recognizing something fundamental.

311
00:18:39,119 --> 00:18:43,199
Speaker 4: There's just no getting around that the economy develop with

312
00:18:43,400 --> 00:18:49,359
Speaker 4: certain stable expectations of what local temperatures are and where

313
00:18:49,400 --> 00:18:55,000
Speaker 4: shorelines are and how powerful storms get. And so, yes,

314
00:18:55,160 --> 00:18:57,800
Speaker 4: there is that saving the world mentality. Yes, it's the

315
00:18:57,880 --> 00:19:01,120
Speaker 4: right thing to do. There's just more and more recognition

316
00:19:01,800 --> 00:19:05,240
Speaker 4: that we need to change the economy to fit the world.

317
00:19:05,840 --> 00:19:08,240
Speaker 4: At this point, it's less let's save the world and

318
00:19:08,320 --> 00:19:10,960
Speaker 4: let's save the economy because the world is going to

319
00:19:11,359 --> 00:19:15,280
Speaker 4: keep on changing and we need an economy that can

320
00:19:15,440 --> 00:19:21,199
Speaker 4: thrive under new circumstances. The good news is that we

321
00:19:21,280 --> 00:19:23,719
Speaker 4: know how to do it, you know. I mean watching

322
00:19:23,720 --> 00:19:25,800
Speaker 4: this space for a long time is Aukshad and I

323
00:19:25,880 --> 00:19:28,640
Speaker 4: have it seemed for a long time that we need

324
00:19:28,680 --> 00:19:33,119
Speaker 4: a million miracles to beat climate change. And the astounding

325
00:19:33,200 --> 00:19:35,680
Speaker 4: thing is that, like just in the last five years,

326
00:19:35,720 --> 00:19:37,479
Speaker 4: we got like a thousand of them, you know, and

327
00:19:37,480 --> 00:19:40,280
Speaker 4: like not even everybody's working on it yet. So there

328
00:19:40,359 --> 00:19:44,600
Speaker 4: is real momentum here and real optimism that we can

329
00:19:44,680 --> 00:19:48,000
Speaker 4: make a dent in this global problem. And since we

330
00:19:48,080 --> 00:19:50,680
Speaker 4: know what to do, we know what the technologies are

331
00:19:50,720 --> 00:19:53,000
Speaker 4: that we need, all we need to do is the work.

332
00:19:53,520 --> 00:19:55,760
Speaker 4: That's what climate change comes down to now, is like

333
00:19:55,920 --> 00:19:57,920
Speaker 4: you want a thriving economy, this is what we got

334
00:19:57,920 --> 00:20:00,199
Speaker 4: to do. We got to replace a billion machines in

335
00:20:00,280 --> 00:20:03,200
Speaker 4: thirty years. So all of this complexity we're talking about,

336
00:20:03,200 --> 00:20:06,520
Speaker 4: the changing markets, the government policies, the money that's coming

337
00:20:06,520 --> 00:20:08,840
Speaker 4: from all sectors, it just comes down to this.

338
00:20:09,320 --> 00:20:12,640
Speaker 2: All we need to do is the work. Akshat, Eric,

339
00:20:12,800 --> 00:20:14,280
Speaker 2: thanks so much for coming on the show.

340
00:20:14,560 --> 00:20:16,040
Speaker 1: Thank you, thanks for having us.

341
00:20:16,920 --> 00:20:19,720
Speaker 2: After the break, how this surge of government cash for

342
00:20:19,800 --> 00:20:32,040
Speaker 2: clean tech may already be working its way into your life.

343
00:20:32,200 --> 00:20:34,639
Speaker 2: The Inflation Reduction Act also has a lot of money

344
00:20:34,680 --> 00:20:39,000
Speaker 2: in it that will more directly apply to consumers. I

345
00:20:39,000 --> 00:20:42,679
Speaker 2: asked Member Green Reporters Zara Hirjee to tell us what

346
00:20:42,840 --> 00:20:45,640
Speaker 2: we'll start seeing from it in our everyday lives.

347
00:20:46,880 --> 00:20:50,520
Speaker 3: One really good place to start is with electric vehicles.

348
00:20:51,119 --> 00:20:54,879
Speaker 3: This guidance just got released on exactly what type of

349
00:20:54,920 --> 00:20:58,879
Speaker 3: electric car can qualify for these new seven five hundred

350
00:20:58,920 --> 00:21:02,800
Speaker 3: dollars tax credit. And we knew once the Climate Bill

351
00:21:03,080 --> 00:21:06,640
Speaker 3: was signed into law last year that these new electric vehicles,

352
00:21:06,920 --> 00:21:09,320
Speaker 3: some of them but not all of them, would qualify.

353
00:21:09,800 --> 00:21:13,360
Speaker 3: So over time, the number of electric vehicles that can

354
00:21:13,520 --> 00:21:16,000
Speaker 3: qualify for this type of text credit, because this isn't

355
00:21:16,040 --> 00:21:18,560
Speaker 3: the only year that it will be in effect, will

356
00:21:18,600 --> 00:21:23,160
Speaker 3: ideally go up as more processes like manufacturers, change their

357
00:21:23,200 --> 00:21:26,399
Speaker 3: supply chain. But right now it is a pretty limited scope.

358
00:21:26,440 --> 00:21:28,200
Speaker 3: It's only ten electric vehicles.

359
00:21:28,920 --> 00:21:32,760
Speaker 2: It's not just that the administration wants these manufacturers to

360
00:21:32,880 --> 00:21:37,280
Speaker 2: make electric vehicles in America, right It's that they're creating

361
00:21:37,320 --> 00:21:41,640
Speaker 2: new standards that make it less desirable to build gasoline

362
00:21:41,680 --> 00:21:46,360
Speaker 2: power cars so that the automakers transition to making electric

363
00:21:46,400 --> 00:21:47,040
Speaker 2: cars instead.

364
00:21:48,280 --> 00:21:52,479
Speaker 3: Yeah, a big part of this administration is trying to

365
00:21:52,560 --> 00:21:57,160
Speaker 3: shift our economy to rely on these kind of greener

366
00:21:57,200 --> 00:22:01,119
Speaker 3: technologies as well as making it easier more affordable for

367
00:22:01,240 --> 00:22:04,639
Speaker 3: people then to be able to buy and partake in

368
00:22:04,680 --> 00:22:09,320
Speaker 3: those technologies. So the electric vehicle tax credits are just

369
00:22:09,600 --> 00:22:13,200
Speaker 3: one of the tax credits or kind of consumer incentives

370
00:22:13,240 --> 00:22:16,200
Speaker 3: that are built into the IRA. There are a host

371
00:22:16,280 --> 00:22:19,240
Speaker 3: of them. They're going to be rebates and other kind

372
00:22:19,280 --> 00:22:23,200
Speaker 3: of ways in which you can directly see a reduction

373
00:22:23,440 --> 00:22:27,240
Speaker 3: on your bills for purchasing, say a heat pump, which

374
00:22:27,280 --> 00:22:30,320
Speaker 3: is an electric way of heating or cooling your home,

375
00:22:30,600 --> 00:22:33,919
Speaker 3: or making other upgrades to your home that make it

376
00:22:33,960 --> 00:22:37,240
Speaker 3: more energy efficient. We don't have all of the guidances

377
00:22:37,320 --> 00:22:40,480
Speaker 3: yet and exactly what we'll qualify and how much money

378
00:22:40,480 --> 00:22:43,879
Speaker 3: you can get because it's a federal law, but some

379
00:22:43,960 --> 00:22:45,720
Speaker 3: of this money is going to be distributed at the

380
00:22:45,720 --> 00:22:47,959
Speaker 3: state level, and we're waiting on the state to kind

381
00:22:48,000 --> 00:22:50,880
Speaker 3: of come out with those guidance. But in the coming year,

382
00:22:51,119 --> 00:22:53,719
Speaker 3: there's just going to be more and more money available

383
00:22:54,000 --> 00:22:57,240
Speaker 3: that people can claim to help make the transition in

384
00:22:57,280 --> 00:22:59,680
Speaker 3: their own homes and their own cars and their own

385
00:22:59,720 --> 00:23:04,200
Speaker 3: lives to a cleaner, more climate friendly life. The White

386
00:23:04,200 --> 00:23:09,360
Speaker 3: Houses set this highly ambitious goal of having electric vehicles

387
00:23:09,560 --> 00:23:13,879
Speaker 3: make up fifty percent of new car sales by twenty thirty.

388
00:23:14,320 --> 00:23:17,119
Speaker 3: Here at Bloomberg, we have this research arm B and

389
00:23:17,200 --> 00:23:21,760
Speaker 3: EF that tracks some of these trends, and even the

390
00:23:21,760 --> 00:23:26,840
Speaker 3: most aggressive transition that they've seen doesn't necessarily hit that.

391
00:23:27,080 --> 00:23:30,760
Speaker 3: This is even more ambitious than what people are projecting

392
00:23:30,800 --> 00:23:31,399
Speaker 3: could happen.

393
00:23:31,640 --> 00:23:33,960
Speaker 2: So it's a bold goal. But they're also.

394
00:23:33,800 --> 00:23:37,480
Speaker 3: Taking so many steps to do that, and the text

395
00:23:37,520 --> 00:23:41,080
Speaker 3: credits are just one small slice of that. In addition,

396
00:23:41,560 --> 00:23:47,800
Speaker 3: they also are proposing new regulations on tailpipe emissions, basically

397
00:23:47,800 --> 00:23:50,760
Speaker 3: saying that in the future, new cars that hit the

398
00:23:50,840 --> 00:23:54,560
Speaker 3: road have to have a lot less pollution coming out

399
00:23:54,560 --> 00:23:58,280
Speaker 3: of their tailpipes than they do today. And people are

400
00:23:58,320 --> 00:24:01,280
Speaker 3: saying that the only way to hit these new standards,

401
00:24:01,400 --> 00:24:05,000
Speaker 3: which admittedly aren't law yet their proposals, would be to

402
00:24:05,080 --> 00:24:09,680
Speaker 3: have a mostly electric vehicle fleet. So basically, we need

403
00:24:09,760 --> 00:24:12,920
Speaker 3: electric vehicles. This is just one more tool in which

404
00:24:12,960 --> 00:24:16,720
Speaker 3: they're pushing everyone from the car manufacturers to consumers to

405
00:24:16,760 --> 00:24:18,120
Speaker 3: switch to electric vehicles.

406
00:24:19,840 --> 00:24:21,919
Speaker 2: You mentioned that how we heat our homes is going

407
00:24:21,960 --> 00:24:25,520
Speaker 2: to change also under this plan. Can you talk about

408
00:24:25,640 --> 00:24:26,399
Speaker 2: why that is.

409
00:24:27,119 --> 00:24:30,200
Speaker 3: Yeah, So, when we think about needing to bring down

410
00:24:30,359 --> 00:24:34,639
Speaker 3: our missions, that is really tied to our use of

411
00:24:34,760 --> 00:24:38,440
Speaker 3: fossil fuels, and we use fossil fuels in pretty much

412
00:24:38,480 --> 00:24:40,439
Speaker 3: every way we live and a big part of that

413
00:24:40,840 --> 00:24:45,800
Speaker 3: is at home, in heating our home and the type

414
00:24:45,960 --> 00:24:49,560
Speaker 3: of equipment that we use in our home. Now, I

415
00:24:49,680 --> 00:24:52,800
Speaker 3: live in a home that is powered by natural gas.

416
00:24:52,880 --> 00:24:55,440
Speaker 3: That's what heats and cools my home, and a lot

417
00:24:55,480 --> 00:24:59,480
Speaker 3: of people in America do. But there are ways to

418
00:25:00,160 --> 00:25:03,800
Speaker 3: cool and you heat your home electrically, and one of

419
00:25:03,840 --> 00:25:06,919
Speaker 3: those tools is a heat pump, which is not a

420
00:25:06,960 --> 00:25:10,199
Speaker 3: new technology. It's something that's been getting a lot of

421
00:25:10,240 --> 00:25:14,119
Speaker 3: attention so to help heat the home as technology that

422
00:25:14,320 --> 00:25:18,560
Speaker 3: takes heat from the atmosphere as warm air and then

423
00:25:18,720 --> 00:25:21,760
Speaker 3: naturally moves it towards the cold parts in your home.

424
00:25:22,200 --> 00:25:25,200
Speaker 3: And then it can actually do the opposite if you're

425
00:25:25,320 --> 00:25:27,919
Speaker 3: using it for cooling your home as well. And the

426
00:25:28,040 --> 00:25:31,640
Speaker 3: nice thing about a heat pump is it's actually really efficient,

427
00:25:31,880 --> 00:25:34,439
Speaker 3: so in the long run it could save you money.

428
00:25:34,760 --> 00:25:36,480
Speaker 2: Now, there are eye upfront costs.

429
00:25:36,560 --> 00:25:37,920
Speaker 4: It's not a.

430
00:25:38,040 --> 00:25:41,440
Speaker 3: Cheap technology, but again that's one of the things that

431
00:25:41,480 --> 00:25:45,359
Speaker 3: this new climate law is hoping to address is by

432
00:25:45,440 --> 00:25:49,840
Speaker 3: offering some incentives, financial incentives to help people feel like

433
00:25:50,640 --> 00:25:53,119
Speaker 3: it is something that they can afford to do. So

434
00:25:53,280 --> 00:25:58,000
Speaker 3: already there is a two thousand dollars text credit for

435
00:25:58,359 --> 00:26:01,720
Speaker 3: purchasing a heat pump in your home, and then they're

436
00:26:01,760 --> 00:26:04,680
Speaker 3: going to be additional money that will be delegated out

437
00:26:04,720 --> 00:26:07,640
Speaker 3: through the state that again we're waiting on some state

438
00:26:07,720 --> 00:26:10,479
Speaker 3: level guidance that should be ready by the end of

439
00:26:10,560 --> 00:26:13,320
Speaker 3: twenty twenty four. That will just be another pocket of

440
00:26:13,400 --> 00:26:15,240
Speaker 3: money to help support that transition.

441
00:26:16,600 --> 00:26:18,400
Speaker 2: Let me ask you that one other thing that we're

442
00:26:18,400 --> 00:26:21,080
Speaker 2: going to be seeing is also another vehicle, and that's

443
00:26:21,320 --> 00:26:24,200
Speaker 2: school buses. Yes.

444
00:26:24,760 --> 00:26:29,119
Speaker 3: So the thing about both the twenty twenty one Infrastructure

445
00:26:29,200 --> 00:26:32,800
Speaker 3: Law and then also the twenty twenty two Climate Law

446
00:26:33,359 --> 00:26:39,919
Speaker 3: is they're pushing transformation across the entire transportation sector, and

447
00:26:40,000 --> 00:26:43,840
Speaker 3: in some cases the two bills are working together with

448
00:26:43,920 --> 00:26:48,600
Speaker 3: overlapping sets of money to really push this transformational change.

449
00:26:48,880 --> 00:26:52,480
Speaker 3: One case is this school bus. You can think about

450
00:26:52,480 --> 00:26:55,760
Speaker 3: the iconic yellow school bus. Most of the school buses

451
00:26:55,800 --> 00:26:58,720
Speaker 3: on the road today are run on diesel, and that's

452
00:26:58,720 --> 00:27:02,600
Speaker 3: a fossil fuel. And also it creates air emissions and

453
00:27:02,640 --> 00:27:06,080
Speaker 3: pollution that pose a threat to kids' health. In the

454
00:27:06,119 --> 00:27:11,080
Speaker 3: twenty twenty one Infrastructure Law kind of delegated five billion

455
00:27:11,240 --> 00:27:14,840
Speaker 3: dollars to the EPA to kind of prop up a

456
00:27:14,920 --> 00:27:19,199
Speaker 3: new clean school bus program. Now that program doesn't just

457
00:27:19,440 --> 00:27:23,919
Speaker 3: fund electric vehicles, but it's sort of turning out to

458
00:27:24,040 --> 00:27:27,600
Speaker 3: be that case in reality. So last year they offered

459
00:27:27,680 --> 00:27:31,560
Speaker 3: their first close to a billion dollars in rebates to

460
00:27:31,640 --> 00:27:36,639
Speaker 3: schools looking to update their school bus fleet, and most

461
00:27:36,640 --> 00:27:41,440
Speaker 3: of those applications were to purchase new electric school buses,

462
00:27:42,000 --> 00:27:47,080
Speaker 3: which again are just a much cleaner, quieter, and healthier

463
00:27:47,400 --> 00:27:50,880
Speaker 3: type of transportation to take kids of all ages to school.

464
00:27:51,320 --> 00:27:53,439
Speaker 3: And then on top of that, you're then going to

465
00:27:53,440 --> 00:27:58,240
Speaker 3: have the IRA with its various electric vehicle tax credits

466
00:27:58,680 --> 00:28:04,119
Speaker 3: and talking to people making school buses and working to

467
00:28:04,240 --> 00:28:07,159
Speaker 3: help kind of get electric school buses out into the world.

468
00:28:07,520 --> 00:28:09,600
Speaker 3: They think that they will be able to take advantage

469
00:28:09,600 --> 00:28:11,960
Speaker 3: of those tax credits as well. And that's a big

470
00:28:12,000 --> 00:28:15,840
Speaker 3: deal because an electric school bus can be up to

471
00:28:15,920 --> 00:28:18,600
Speaker 3: four hundred thousand dollars if not more, and that could

472
00:28:18,680 --> 00:28:21,280
Speaker 3: be four times as expensive as.

473
00:28:21,119 --> 00:28:22,320
Speaker 2: A diesel school bus.

474
00:28:22,560 --> 00:28:25,560
Speaker 3: This will help school districts be able to start to

475
00:28:25,680 --> 00:28:28,480
Speaker 3: afford adding electric school buses into their fleet.

476
00:28:29,240 --> 00:28:30,960
Speaker 2: Zara, thanks for coming on the show.

477
00:28:31,119 --> 00:28:32,320
Speaker 3: Thanks so much for having me.

478
00:28:34,359 --> 00:28:36,320
Speaker 2: Thanks for listening to us here at The Big Take.

479
00:28:36,400 --> 00:28:39,600
Speaker 2: It's a daily podcast from Bloomberg and iHeartRadio. For more

480
00:28:39,640 --> 00:28:43,800
Speaker 2: shows from iHeartRadio, visit the iHeartRadio app, Apple Podcasts, or

481
00:28:43,840 --> 00:28:46,480
Speaker 2: wherever you listen. And we'd love to hear from you.

482
00:28:46,560 --> 00:28:50,080
Speaker 2: Email us questions or comments to Big Take at Bloomberg

483
00:28:50,120 --> 00:28:54,160
Speaker 2: dot net. The supervising producer of The Big Take is

484
00:28:54,280 --> 00:28:59,080
Speaker 2: Vicky Ergalina. Our senior producer is Catherine Fink. Our producers

485
00:28:59,120 --> 00:29:03,960
Speaker 2: are Michael Flair and Mowberrow. Raphael mcili is our engineer.

486
00:29:04,320 --> 00:29:08,400
Speaker 2: Our original music was composed by Leo Sidrin. I'm West Kasova.

487
00:29:08,680 --> 00:29:11,000
Speaker 2: We'll be back tomorrow with another Big Take.